NAIROBI, May 27 (Xinhua) -- The call for Africa to move beyond being merely a supplier of raw materials in the global coffee industry is growing stronger in coffee-producing countries like Kenya, Ethiopia and Uganda.

One of Kenya's strategies to achieve this goal has been the formation of smallholder coffee cooperatives.

According to the African Fine Coffees Association, Kenya's coffee sector comprises approximately 800,000 smallholder farmers who are organized into around 500 cooperatives.

By doing so, small-scale farmers can pool resources, share knowledge, and improve the quality and consistency of their coffee.

This collective approach not only empowers farmers economically but also contributes to the sustainable development of the coffee industry in Kenya, said Karuga Macharia, vice chairman of the association.

He explained that due to the limited availability of suitable land for coffee cultivation, Kenya's coffee industry is focusing on increasing per-tree yields to boost overall production without expanding farmland.

Currently, cooperatives are assisting farmers in enhancing per-tree yields, with some reports indicating that well-managed trees can produce up to 40 kilograms annually, said Macharia.

In Kenya's Kirinyaga County, the Mutira Farmers' Cooperative Society, comprising approximately 8,000 smallholder farmers, is leveraging the region's unique volcanic soils and favorable climate to produce high-quality coffee that is in demand on the international market.

Victor Munene, an agronomist with the cooperative, noted that the cooperative provides fertilizers and pesticides to farmers on credit, allowing them to repay the loans after delivering their coffee cherries.

"This system ensures that farmers can access necessary inputs even when they lack immediate funds, thereby improving both the yield and quality of their coffee," said Munene.

He added that the cooperative offers both online and in-person training sessions, as well as telephone consultations, to support farmers.

In addition, the cooperative also regularly hires agronomists to conduct soil sampling and analysis, enabling precise identification of the nutrients required for optimal crop growth.

In recent years, the Kenyan government has intensified its efforts to support and reform the nation's coffee industry through several key initiatives.

One major initiative has been the establishment and expansion of the Coffee Cherry Advance Revolving Fund, which provides unsecured loans to smallholder farmers to ease their access to credit.

The government has also introduced a "three-day payment guarantee" under the Direct Settlement System platform, ensuring that farmers receive payment within 72 hours after delivering their coffee cherries, a significant improvement from the previous approval period of 5 to 14 days.

Earlier this year, several government departments jointly rolled out new policies aimed at further improving coffee farming techniques, expanding cultivation into non-traditional regions and enhancing transparency in the auction system.

According to the Kenya National Bureau of Statistics, the country's coffee export volume rose by 12 percent in 2024 to 53,519 tons. Export earnings also increased, climbing from 251 million dollars in 2023 to 296 million dollars in 2024.

NEW MARKET AND OPPORTUNITY

In addition to organizing smallholder farmers into cooperatives to strengthen collective bargaining power, several African countries are also working to boost value addition in the coffee sector by developing local brands.

Ethiopia, currently Africa's largest coffee producer and the fifth largest globally, produces approximately 600,000 tons of coffee annually.

In recent years, the country has taken significant steps to restructure its coffee industry, shifting from raw bean exports to customized, value-added products, as it climbs up the value chain.

To support this transition, the Ethiopian government has introduced a range of policies, including registering national coffee trademarks in key international markets and actively promoting Ethiopian coffee brands globally.

In 2004, recognizing that most of its coffee producers were smallholder farmers, the Ethiopian government launched the Ethiopian Fine Coffee Trademarking and Licensing Initiative.

This initiative registered trademarks for three renowned coffee-producing regions: Yirgacheffe, Sidamo and Harar.

Uganda has also been making concerted efforts to enhance value addition in its coffee sector.

Ugandan President Yoweri Museveni has consistently emphasized that increasing value addition is central to the development of the country's coffee industry.

In 2024, he signed the National Coffee (Amendment) Bill into law, which encourages the establishment of a transparent coffee auction system to protect farmers from exploitation by middlemen and promotes the growth of local processing enterprises focusing on value-added coffee products.

Kenya, Ethiopia and other African coffee-producing countries are also fostering South-South cooperation to enhance their positions in the global coffee industry by expanding their sales networks through trade fairs and e-commerce platforms, targeting emerging markets such as Egypt, Nigeria and China. ■