Ocir-café targets 28,000 tonnes of coffee this year

Rwanda’s Coffee Development Authority (Ocir-café) is targeting to produce about 28,000 tonnes of coffee for export this year. Rwanda exports about 30 percent to the United States of America (USA), 45 percent to Europe and about 20 to Africa and Asia.

Tuesday, January 13, 2009

Rwanda’s Coffee Development Authority (Ocir-café) is targeting to produce about 28,000 tonnes of coffee for export this year. Rwanda exports about 30 percent to the United States of America (USA), 45 percent to Europe and about 20 to Africa and Asia.

The Ocir-café Director General, Alex Kanyankole said, "These tonnes will generate about $60m (Rwf32.8 billion) of foreign exchange earnings.

This represents a 27 percentage increase from last year’s production and a 30.4 percentage increase in revenues. Last year, 22,000 tonnes of coffee were produced and the industry generated $46m (Rwf25.9 billion) of earnings. 

The 2008 production and revenues were below the projections. Following the intensive application of fertilisers and planting of genetically tested seedlings, 29,000 tonnes of coffee were projected with $50m (Rwf28 billion) of revenue.

The failure to meet the projections was attributed to seasonal and climatic variations that did not stimulate production.

"Different provinces in the country experienced different rain variations which affect production,” Kanyankole explained during a press conference on Monday.

"The decrease in production drew back the coffee earnings, from the expected US$50 million (Rwf28 billion) to about US$46 million (Rwf25.9 billion),” he added.

However with the projected production and revenues, Ocir-café has come-up with strategies aimed at meeting the targets. Some strategies are geared towards value addition, production increase and other towards marketing to the coffee.

The Director General said that 10,000 tonnes of fertilizers will be distributed to farmers to increase their coffee trees productivity, adding, "We will also use about 55,000 litres of pesticides to fight pests that affect productivity.”

Ocir- café is planning to set-up a coffee roasting plant that will handle about 2000 tonnes of coffee. "This is part of the value addition strategies which also determine coffee profitability,” he explained.

With the expected increase in production, Kanyankole said that Ocir-café will continue with promotion efforts such as the East Africa Fine Coffee Conference and Exhibition (EAFCE).

Last year, Ocir-café organised the Cup of Excellence (CoE) competition as part of the promotional strategies, where winning coffees were sold online by auctioning. International coffee connoisseurs were the bidders.

Other promotional and marketing packages include seeking for new markets and participation in international coffee trade fairs.

Rwanda now is an emerging grower of specialty coffee, producing some of the world’s top grades. It is among Rwanda’s leading export cash crops, others being tea, fresh fruit and Vegetables. In the recent past, tourism has overtaken coffee as the leading exchange earner in the country.

The steady increase in coffee earnings is partly due to initiatives to raise coffee standards and targeting high-value markets such as the US and Europe.

Sustaining Partnership to Enhance Rural Enterprises and Agribusiness Development (SPREAD), a USAID organisation assisting farmers in value addition is helping farmer in Rwanda.

Backed by a government, SPREAD has helped establish links with over 40 international buyers and roasters.

Ends