This archive report was first published on 18 September 2019.
On September 18, 2019, Kenya's coffee prices experienced a significant boost, increasing by 6 percent in the latest auction.
The price surge was attributed to higher quality beans and a price surge at the New York Exchange, where coffee prices shot up from 95 US cents (Sh98.61) per pound to 104 US cents (Sh108) in the latest sale.
Nairobi Coffee Exchange (NCE) chief executive officer Daniel Mbithi attributed the increase in demand for the commodity to the good quality of beans, which positively impacted the price.
“New York registered high prices this week, which helped to lift up the value of the local commodity,” said Mr Mbithi.
Kenya sells over 95 percent of its coffee to the international market, making the country heavily reliant on the world market to cushion the price from external shocks.
However, NCE's Mr Mbithi warned that the trend in good prices might not hold for long, as volatility persists and expected high volumes from leading producers are poised to have a negative impact on earnings in the coming days.
