Uganda’s coffee exports edged higher in March compared to the same period last year, buoyed by improved harvests, although declining global prices weighed on overall earnings, according to official data released by the government.
The East African nation exported 671,152 60-kilogram bags of coffee in March, marking a 2.9 percent increase from March 2025, the Ministry of Agriculture, Animal Industry and Fisheries said in a report published late Monday.
The modest rise in export volumes reflects stronger agricultural output, as favorable weather conditions and ongoing investments in the sector helped boost production. Coffee remains one of Uganda’s most important cash crops and a key source of foreign exchange, supporting millions of smallholder farmers across the country.
“Coffee export volumes during the month were higher than March of last year on account of increased coffee production,” the ministry said in its report.
However, the gains in volume were offset by a sharp decline in international coffee prices, which led to a drop in export revenues. Earnings from March shipments fell by 13.6 percent compared to the same month a year earlier, underscoring the vulnerability of commodity-dependent economies to fluctuations in global markets.
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Uganda, Africa’s leading coffee exporter, has been working to expand production and improve quality in a bid to strengthen its position in the global market. The country primarily grows Robusta coffee, though Arabica varieties are also cultivated in higher altitude regions.
Despite the monthly dip in earnings, Uganda’s coffee sector has recorded strong growth over a longer period. In the 12 months leading up to March 2026, the country generated US$2.4 billion in export revenues from coffee, a significant increase from US$1.8 billion in the previous 12-month period.
The surge in annual earnings highlights both increased export volumes and, until recently, relatively favorable global prices. It also reflects government efforts to support farmers through distribution of seedlings, extension services, and initiatives aimed at improving post-harvest handling.
Coffee plays a central role in Uganda’s economy, accounting for a substantial share of export receipts and providing livelihoods for an estimated 1.7 million households. The government has set ambitious targets to further expand production, aiming to reach 20 million 60-kilogram bags annually within the next decade.
Analysts say that while rising export volumes are encouraging, the decline in global prices poses a challenge for sustaining income growth in the sector. International coffee prices have been under pressure due to increased supply from major producers and shifting demand patterns in key markets.
“Uganda’s performance shows resilience in terms of output, but the price factor remains a critical risk,” said an agricultural economist based in Kampala. “Diversification and value addition will be essential to shield farmers from volatility.”
Authorities have increasingly emphasized the need to move up the value chain by promoting local processing and branding of Ugandan coffee. Efforts are also underway to strengthen quality control and access to premium markets, which could help secure better prices for exporters.
Regional competition is also intensifying, particularly from Ethiopia, Africa’s second-largest coffee exporter, which has a strong reputation for high-quality Arabica beans.
Even so, Uganda’s steady increase in production positions it well to capitalize on long-term growth in global coffee consumption, especially in emerging markets.
As the sector navigates price pressures, policymakers and industry players alike are expected to focus on improving resilience, boosting productivity, and enhancing value addition to ensure that the benefits of rising export volumes translate into sustained economic gains.
