This archive report was first published on 9 July 2020.
On July 7, 2020, the Nairobi Coffee Exchange failed to hold a coffee auction, leaving 12,000 bags of clean coffee unsold. The auction's failure was attributed to the lack of proper transition logistics and the current trading rules not being properly authored.
Agriculture and Fisheries Cabinet Secretary Peter Munya confirmed that plans were underway to review the CMA Coffee Exchange regulations 2020 within the next three weeks, subject to public participation.
The extension of the licenses by CS Munya comes after the 2019/2020 coffee year expired on June 30, 2020, compelling coffee marketing agents to reapply for the document. The exercise was marred by claims of lacking crucial structures.
CS Munya also hinted at ongoing government reforms in the sector, including the Coffee Cherry Advance Revolving Fund. He regretted that the coffee auction did not take off as planned, citing the need for proper transition logistics.
The new Kenya Planters Cooperative Union (KPCU) in Dandora has started operations and received 9,341 bags of parchment coffee between January and May 2020, equivalent to 434 tonnes. The union has sold over 1,000 kilos locally, receiving a payment of about Ksh 18 million.
Chairman of the Kenya Coffee Producers Association (KCPA), Peter Gikonyo, called for the suspension of the coffee exchange regulations until all structures and systems had been put in place, including amending the Cross Act, 2013.
