Like many Ugandans, coffee has been an essential part of my life for as long as I can remember. I grew up in Kishabya village, nestled in the lush hills of Sheema district in southwestern Uganda—an area known for its fertile soil and ideal conditions for cultivating Robusta coffee, which is indigenous to our country.
My parents, like millions of other smallholder farmers across Uganda, worked tirelessly to grow coffee. But despite their hard work, they rarely saw the full value of their crop.
Instead, middlemen from Kampala bought beans at low prices, resold them at a profit, and reaped the majority of the rewards. Sadly, this story is not unique—over 1.8 million smallholder farms, which make up 99% of Uganda’s coffee production, face the same challenge.
That inequality in the supply chain inspired me to start my own coffee company—one that not only produces premium Ugandan coffee blends but also prioritizes social impact, helping fellow farmers access fairer markets and better incomes.
Uganda’s Coffee Paradox: High Potential, Low Returns
Coffee is Uganda’s most valuable agricultural export, contributing 20–30% of foreign exchange earnings for the past two decades. Nearly 12 million Ugandans rely on the coffee industry for income. Yet, the industry has been stuck in low-value export chains, with minimal processing or branding done locally.
• Uganda produces 3–4 million 60 kg bags annually, a figure that has remained largely stagnant.
• The average smallholder earns just $435 per year, well below the poverty line.
• Most exports are unbranded, disappearing into global supermarket blends without any trace of their Ugandan origin.
The Ugandan Coffee Development Authority (UCDA) has recognized these issues and laid out an ambitious roadmap to increase exports to 20 million bags annually by 2030. But to succeed, Uganda needs to diversify its export destinations and tap into emerging coffee markets—particularly China.
China’s Growing Love for Coffee: A Window of Opportunity
China’s coffee market is exploding. While per capita consumption remains low compared to the West, it is growing at a staggering 20% per year—ten times the global average.
• Chinese consumers are increasingly turning to foreign brands for unique coffee experiences.
• The bulk of China’s imports currently come from Vietnam (49%), Indonesia (14%), and Malaysia (7%).
• African coffee remains underrepresented but increasingly in demand, especially single-origin and specialty blends.
Ugandan coffee fits this niche perfectly—with its rich, earthy Robusta and floral Arabica grown on high-altitude farms, it has untapped appeal in the Chinese market.
Digital Platforms and African Precedents: Rwanda and Ethiopia Lead the Way
In 2018, Rwanda, in partnership with Alibaba’s Electronic World Trade Platform (eWTP), launched a coffee livestream campaign on Tmall, one of China’s biggest e-commerce sites. The result?
3,000 bags sold out in under a minute, and online coffee sales increased by 400%. Ethiopia followed with its own cooperation agreement in 2019.
These examples show that digital platforms can transform African coffee exports by giving small brands access to millions of Chinese consumers—without needing a physical presence.
Uganda is beginning to follow suit:
• The UCDA has hosted coffee expos in China, in partnership with the Ugandan Consulate in Guangzhou.
• A partnership with Yunnan Coffee Exchange (YCE) was signed in 2019 to improve Uganda’s coffee quality and access to Chinese distribution channels.
• Collaborations with Alibaba and WeChat are underway to promote Uganda’s coffee digitally.
These developments have already helped me connect with clients across Shanghai and Seoul, showing the vast potential of this strategy.
Challenges Remain: Uganda Lags Behind Competitors
Despite these efforts, Uganda’s total coffee exports to China are still modest:
• In 2020, Uganda exported only 3,000–4,000 tonnes of coffee to China.
• Ethiopia exported over 6,000 tonnes, while Kenya’s Java House now exports 10–15 tonnes monthly via its Chinese distributor.
To compete, Uganda must scale up its coffee infrastructure and investment ecosystem, particularly for smallholder farmers.
Unlocking Growth: What More Can Be Done?
1. Finance for Farmers
Many smallholder farmers lack access to affordable credit due to:
• High interest rates
• Limited collateral
• Lender perceptions that agriculture is too risky
China can support Uganda by:
• Facilitating microloans via institutions like the Bank of China, which has already piloted this in Kenya
• Supporting Uganda’s Agricultural Credit Facility (ACF) to provide soft loans to coffee farmers
• Funding farmer training programs in sustainable and value-added production
2. Improve Infrastructure
Uganda is landlocked, and its coffee must travel long distances on poor roads to reach ports in Mombasa, Kenya.
The Standard Gauge Railway (SGR) extension, with China’s support, can dramatically cut costs and improve export efficiency.
3. Value Addition at Home
Uganda must move beyond just exporting beans. Local processing (roasting, packaging, branding) adds value and creates jobs.
China can help by:
• Investing in processing facilities
• Creating joint ventures with Ugandan entrepreneurs
• Promoting brand awareness of Ugandan coffee in Chinese retail markets
A Shared Dream: From Ugandan Hills to Chinese Coffee Cups
My dream is to one day open a chain of Ugandan coffee shops across China—where customers can enjoy the bold, unique flavor of Ugandan coffee and learn the story of the farmers behind each cup. But this vision won’t be realized through passion alone.
It requires:
• Deepened trade and investment partnerships
• Fair market access
• And above all, collaborative development efforts between Uganda and China
With the right support and shared vision, Uganda’s coffee story could become China’s next success story—one cup at a time.
