Coffee farmers earn big as Nairobi auction nets sh553 million

Kenyan coffee farmers have earned a significant boost this week after the Nairobi Coffee Exchange recorded sales worth Ksh553.1 million. The auction, held in Nairobi, saw 10,494 bags of coffee sold to twelve local and international buyers. This is a major increase from the previous week’s total of Sh190.5 million, signaling renewed strength in the market.

The auction featured beans from farmers affiliated with both cooperative societies and private estates. The most sought after grades were AA and AB, which are known for their size and quality, and often attract higher prices in the international market. Grade AA fetched ksh70.6 million from 1,210 bags, while AB earned ksh232.3 million from 4,253 bags.

The highest price per bag was recorded by Mugaya Factory, part of the Mutira Cooperative Society in Kirinyaga County, whose AA coffee sold at Ksh50, 388 for a 50 kilogram bag. Other notable prices came from Kapsaos Toretmo coffee marketed by Alliance Berries at ksh48, 837 per bag, Kamuthanga coffee sold through United Eastern at Ksh48,320 and Kangiri coffee brokered by New KPCU at ksh47,804 per bag.

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Eight licensed brokers participated in the auction. Kirinyaga Slopes earned the most, bringing in Sh160.3 million from 3,027 bags. Alliance Berries followed closely with ksh133.4 million from 2,479 bags, while Kinya earned Ksh105.4 million after selling 2,019 bags. Other brokers included CEBBA, Meru, New KPCU, Minnesota and United Eastern, who sold varying volumes of coffee and contributed to the overall earnings.

On the buying side, Louis Dreyfus purchased the highest volume of coffee at 3,171 bags. C. Dormans followed with 2,284 bags, while other buyers included Africoff, Kenyacof, and Sasini. The strong turnout from buyers helped drive up prices, particularly for high grade coffee.

The Nairobi Coffee Exchange has shown signs of recovery in recent weeks. Earlier this month, an auction brought in Ksh637 million from the sale of 12,144 bags, with some AA-grade bags selling for over Sh51, 000. In June, the market hit a record Ksh1.5 billion in one week after the sale of more than 28,000 bags. This week’s strong performance adds to that momentum and is a promising sign for smallholder farmers who rely on coffee as a major source of income.

With Kenya continuing to promote reforms in the coffee sector, including efforts to ensure better pricing and market access, this auction result is being viewed as a positive step toward revitalizing one of the country’s most important export industries.

By Benedict Aoya

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