Kenyan coffee prices fell 14% during the weekly auction on March 5, 2019, as global market conditions continued to pressure the commodity. A 50-kilogramme bag of coffee sold for Sh15,600, down from Sh18,700 in the previous sale, marking the lowest price since January 2019.
The Nairobi Coffee Exchange (NCE) reported that premium AA-grade coffee fell to Sh22,300 per 50-kilogramme bag, a 21% decline from Sh28,400. Despite adequate volumes of high-quality coffee entering the market, prices remained depressed due to international demand fluctuations.
Global coffee prices have declined since November 2018, reaching 98 cents per pound in early March 2019. This trend contributed to a 13% drop in coffee earnings for Kenyan farmers between January and April 2019, with revenues falling to $41 million (Sh4 billion) compared to $47.7 million (Sh4.77 billion) in the same period the previous year.
The NCE had previously anticipated stable prices through March 2019 as central Kenya’s main coffee crop entered the market. However, persistent global price declines have offset these expectations, according to the exchange’s market analysis.
