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Farmers receive Sh105million from direct coffee sale to Korea

Coffee farmers have hit a jackpot with the first direct export paving way for unprecedented earnings for smallholders.

Last month, the farmers union flagged off seven-grain containers to South Korea as part of the ongoing reforms in the sector to ensure farmers maximise their profits.

Through a statement, Kipkelion Brokerage Company owned by the society Samuel Marindany said they successfully exported a total of 134.4 metric tonnes of coffee valued at $908,160 (Sh103.5 million).

A kilogramme of the coffee cherry that was sold directly to a buyer in South Korea fetched Sh116 compared to an average of Sh76 that farmers would have received at the Nairobi coffee auction, which marks a break from the current system that is in the stranglehold of middlemen.

The consignment will earn the farmers about Sh15.6 million.

“This is a historic achievement for small-scale coffee farmers across the country as it is a clear demonstration that given an opportunity and with support, farmers have the potential to rise to the occasion and produce, mill, meet export requirements, negotiate and export our coffee across the entire globe,” said Marindany.

South Korea is the fourth-largest buyer of Kenyan coffee after Belgium, Germany and the United States.

Its coffee industry is ranked the eleventh largest in the world, with annual consumption of about 512 cups per capita and over 110,000 coffee cafés. It is a lucrative market for Kenya.

The export deal was sealed in July last year during the Coffee Expo held in Seoul that saw a number of farmers drawn from several coffee cooperatives interact directly with South Korean importers.

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Last year, Kenya renewed the cordial bilateral relations with South Korea after a three year-standoff, facilitating for negotiation of tariffs reduction, especially on coffee.

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