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Uganda

ABI DEVELOPMENT EXTENDS 16BILLION TO UCDA TO SECURE UGANDAS COFFEE MARKET IN EUROPE

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In a bid to beat stringent European Union Regulation for Deforestation-free Products (EUDR) for Uganda’s coffee,aBi Development has extended sh16billion to Uganda Coffee Development Authority to register all farmers so that Uganda secures Coffee market in Europe.
Uganda exported 6.13 million bags of coffee in fiscal year 2023/2024, up from 5.76 million bags in the year before, the UCDA said. “This represents an increase of 6.33 percent and 35.29 percent in quantity and value respectively,” the statement said.
Moses Nyabila, the CEO of aBi Development, told coffee stakeholders in Kampala that his organization has extended sh16 billion to Uganda Coffee Development Authority to update stakeholders on the efforts being made to implement Uganda’s National Action Plan on EUDR.
On 5th December 2022, the European Union (EU) Parliament approved the EU Regulation for deforestation-free products (EUDR) to ensure supply chains remain free from products that cause deforestation.
The deforestation regulation which takes effect from 30th December 2024 requires that exporters of commodities such as coffee, cocoa and their derivatives submit specific documentations to export to the EU market.
Nyabila said aBi is committed to see Uganda retain the EU market that takes over 60% of Uganda’s coffee exports.
“We are providing catalytic support. The aBi Board approved UGX 16 billion that will go towards awareness creation, setting up a coordination unit and a down payment towards the Traceability System (registration of farmers),” Nyabila said, adding that by close of the year (2024), about one million coffee farmers will have been registered. Uganda has an estimated 1.8 million coffee farmers.
“The traceability system will ensure that all coffee farmers are registered and visible. The quality of their coffee will be reflected in the price,” he said.
He pledged to mobilise more resources because it is estimated that Uganda requires about shs 100 billion to be fully compliant with the EUDR. The registration of farmers is set to kick off in September.
Dr. Gerald Kyalo, the Director Development Services at UCDA said government is committed to ensure that Uganda continues to access the EU market by being compliant with the EUDR requirements.
He applauded aBi and other development partners for mobilizing resources to support Uganda’s efforts to comply with the EUDR rules.
Kyalo disclosed that government has committed funds totaling Shs13.9billion in the 2024/25 budget towards registration of coffee farmers.

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