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15,000 households benefit from a Shs2.3 billion coffee processing facility

The facility to be operated by the Uganda Coffee Farmers Alliance (UCFA), has a capacity of 5,000 metric tonnes and will positively impact families across four districts including Kassanda, Mubende, and Kiboga.

by J Andrew
March 3, 2025
in Agriculture, Business, News
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A new coffee processing facility in Mityana district, valued at shs2.3 billion, is set to benefit at least 15,000 households.

This initiative, funded by a €600,000 grant from the European Union (EU), aims to support 26 local cooperatives in improving coffee quality and enabling direct exports to Europe.

The facility to be operated by the Uganda Coffee Farmers Alliance (UCFA), has a capacity of 5,000 metric tonnes and will positively impact families across four districts including Kassanda, Mubende, and Kiboga.

It has an impressive daily capacity of 50 metric tonnes, enhancing UCFA’s total processing capabilities.

It is aimed at enhancing processing capabilities and elevate Uganda’s coffee export potential to compete in the global market.

The facility boasts a range of features, including offices, a laboratory, a coffee storage area, a shed for coffee storage, a state-of-the-art cleaning, hulling, and grading facility, as well as a mechanical dryer, all of which greatly enhance both production capacity and quality.

EU accounts for about 70% of Uganda’s coffee exports, mainly through key importers like Italy and Germany.

Karolina Hedström, the Head of Cooperation at the EU Delegation in Uganda, emphasized the EU’s dedication to sustainable development in Western Uganda and other parts of the country.

“Our initiatives aimed at improving forestry and coffee production demonstrate our commitment to fostering economic growth, which will benefit countless households”.

Tony Mugoya, the CEO of UCFA, emphasized that the EU’s support has been vital in enhancing the value of Ugandan coffee.

He noted that the organization has benefited from matching grants, which has allowed them to set up coffee processing facilities and offer essential training to farmers in forestry and agronomy.

He revealed that UCFA received € 500,000 as part of a broader initiative that includes six organizations.

He highlighted UCFA’s additional processing plants located in Luweero and Kamuli.

He also underscored UCFA’s preparedness for the EU Deforestation Regulation (EUDR), saying they have already developed their own comprehensive farmer registration process and traceability system.

“We are committed to ensuring that 100% of our farmers are registered and traceable by December of this year. Our system is already operational, positioning us to fully comply with the EUDR,” he added.

In addition to exploring coffee projects, the EU delegation also toured a transmission pole treatment plant operated by the New Forest Company (NFC), which emphasizes the importance of the forestry and timber value chain.

Tags: EUMinistry of Agriculture
J Andrew

J Andrew

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