Agric. & Environment
Coffee prices ease on global markets as Vietnam exports weigh on futures
According to the latest Daily Coffee Market Analysis Report by the Ministry of Agriculture, Animal Industry and Fisheries (MAAIF), the September 2026 contract settled at $3,542 (about sh12.91m) per tonne, down $50 (approximately sh182,250) from the previous trading session.
Data from the London International Financial Futures and Options Exchange (LIFFE) showed that Robusta coffee futures closed lower across all major contract positions. (File photo)
By: Nelson Mandela Muhoozi, Journalist @New Vision
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Global coffee prices registered fresh declines on Monday, with both Robusta and Arabica futures falling amid rising exports from Vietnam and improving global shipping conditions.
Data from the London International Financial Futures and Options Exchange (LIFFE) showed that Robusta coffee futures closed lower across all major contract positions.
According to the latest Daily Coffee Market Analysis Report by the Ministry of Agriculture, Animal Industry and Fisheries (MAAIF), the September 2026 contract settled at $3,542 (about sh12.91m) per tonne, down $50 (approximately sh182,250) from the previous trading session.
Similarly, the November 2026 Robusta contract closed at $3,491 per tonne (about sh12,718 per kilogram). According to MAAIF, the decline in Robusta prices was largely attributed to increasing coffee exports from Vietnam, the world’s largest producer of Robusta coffee.
“Soaring coffee exports from Vietnam are bearish for Robusta prices,” the ministry noted in its market report. On the Arabica market, futures traded on the Intercontinental Exchange (ICE) also weakened.
The September 2026 Arabica contract closed at 267.00 US cents per pound, after losing 0.80 US cents during the trading session.
The December 2026 contract dropped by 1.90 US cents to close at 256.00 US cents per pound, while March 2027 futures declined by 2.40 US cents to settle at 252.00 US cents per pound.
MAAIF attributed the decline in Arabica prices to easing geopolitical tensions in the Middle East following the reopening of the Strait of Hormuz, one of the world's most important shipping routes.
“The reopening of the Strait of Hormuz eases supply disruptions and is bearish for prices. The reopening should begin to lower global shipping rates, insurance, fertilizer and fuel costs, thereby reducing costs for coffee importers and roasters,” the ministry said.
“Soaring coffee exports from Vietnam are bearish for Robusta prices,” the ministry noted in its market report. On the Arabica market, futures traded on the Intercontinental Exchange (ICE) also weakened.
The September 2026 Arabica contract closed at 267.00 US cents per pound, after losing 0.80 US cents during the trading session.
The December 2026 contract dropped by 1.90 US cents to close at 256.00 US cents per pound, while March 2027 futures declined by 2.40 US cents to settle at 252.00 US cents per pound.
MAAIF attributed the decline in Arabica prices to easing geopolitical tensions in the Middle East following the reopening of the Strait of Hormuz, one of the world's most important shipping routes.
“The reopening of the Strait of Hormuz eases supply disruptions and is bearish for prices. The reopening should begin to lower global shipping rates, insurance, fertilizer and fuel costs, thereby reducing costs for coffee importers and roasters,” the ministry said.
Local market stable
Despite the softening futures market, Uganda’s physical coffee market remained relatively stable, supported by strong demand for quality beans.
MAAIF data showed that Screen 18 Robusta traded at 177 US cents per pound (ah14,219) per kilogram, while Screen 15 fetched sh13,818 per kilogram. Screen 12 Robusta was quoted at sh13,577 per kilogram.
Among Arabica grades, Bugisu AA commanded the highest price at 261 US cents per pound, translating to sh20,968 per kilogram. Other premium Arabica grades, including Bugisu A and Bugisu PB, were quoted at approximately sh20,887 per kilogram.
Farmgate prices, sales volumes
At the farmgate level, ordinary Robusta coffee (Kiboko) traded between sh11,000 and sh12,000 per kilogram, while Arabica parchment fetched between sh14,500 and sh15,500 per kilogram.
Registered sales on June 22 showed continued strong market activity, with 9,748 bags of Screen 15 Robusta sold, followed by 4,586 bags of Screen 12 and 2,471 bags of Screen 18. Bugisu AA Arabica recorded sales of 780 bags.
Coffee farmers’ analysis
Coffee farmers and traders say they are closely monitoring developments in Vietnam’s production levels and global shipping costs, both of which are expected to influence coffee prices in the coming months.
Kava Atungire, a coffee farmer from Ndugu Farmers Limited, confirmed that coffee prices are currently declining. He explained that a surging harvest in Brazil is boosting global supply, which is expected to drive prices down even further.
However, Joshua Himbisa, a coffee farmer from Rwampara, said that farm gate prices have been improving in his area. “I anticipate that the coffee market is likely to get a boost in terms of price increase because the price has been steadily increasing over the last week,” he said.
However, he noted that most people on the farms are still drying their coffee and preparing to sell it.
Coffee export highlights for May 2026
A total of 617,49160-kg bags of coffee valued at $151.7million (sh571 billion) were exported in May 2026 at an average price of $4.1/kilogram, US cents 2 lower than $4.3/Kilogram in April 2026, and $1 lower than the $5.1/kilogram in May 2025.
This was a decrease of 21.6% and 37.4% in quantity and value, respectively, compared to the same month last year (May 2025).
Coffee exports for twelve months (June 2025-May 2026) totalled 8.6 million 60kg bags worth US$ 2.3 billion (sh8.3Trillion) compared to 7.4million 60kg bags worth $ 2.1 billion (sh7.7 trillion) in the previous year (June 2024-May 2025).
This represents an increase of 16% and 11% in quantity and value, respectively. About 65% of the total export volume was exported by the top 10 exporters, with Export Trading Company(U) Ltd leading in terms of market share (11.6%) out of 75 companies that performed during the month lower than 70% in the month of April 2026.
Despite the softening futures market, Uganda’s physical coffee market remained relatively stable, supported by strong demand for quality beans.
MAAIF data showed that Screen 18 Robusta traded at 177 US cents per pound (ah14,219) per kilogram, while Screen 15 fetched sh13,818 per kilogram. Screen 12 Robusta was quoted at sh13,577 per kilogram.
Among Arabica grades, Bugisu AA commanded the highest price at 261 US cents per pound, translating to sh20,968 per kilogram. Other premium Arabica grades, including Bugisu A and Bugisu PB, were quoted at approximately sh20,887 per kilogram.
Farmgate prices, sales volumes
At the farmgate level, ordinary Robusta coffee (Kiboko) traded between sh11,000 and sh12,000 per kilogram, while Arabica parchment fetched between sh14,500 and sh15,500 per kilogram.
Registered sales on June 22 showed continued strong market activity, with 9,748 bags of Screen 15 Robusta sold, followed by 4,586 bags of Screen 12 and 2,471 bags of Screen 18. Bugisu AA Arabica recorded sales of 780 bags.
Coffee farmers’ analysis
Coffee farmers and traders say they are closely monitoring developments in Vietnam’s production levels and global shipping costs, both of which are expected to influence coffee prices in the coming months.
Kava Atungire, a coffee farmer from Ndugu Farmers Limited, confirmed that coffee prices are currently declining. He explained that a surging harvest in Brazil is boosting global supply, which is expected to drive prices down even further.
However, Joshua Himbisa, a coffee farmer from Rwampara, said that farm gate prices have been improving in his area. “I anticipate that the coffee market is likely to get a boost in terms of price increase because the price has been steadily increasing over the last week,” he said.
However, he noted that most people on the farms are still drying their coffee and preparing to sell it.
Coffee export highlights for May 2026
A total of 617,49160-kg bags of coffee valued at $151.7million (sh571 billion) were exported in May 2026 at an average price of $4.1/kilogram, US cents 2 lower than $4.3/Kilogram in April 2026, and $1 lower than the $5.1/kilogram in May 2025.
This was a decrease of 21.6% and 37.4% in quantity and value, respectively, compared to the same month last year (May 2025).
Coffee exports for twelve months (June 2025-May 2026) totalled 8.6 million 60kg bags worth US$ 2.3 billion (sh8.3Trillion) compared to 7.4million 60kg bags worth $ 2.1 billion (sh7.7 trillion) in the previous year (June 2024-May 2025).
This represents an increase of 16% and 11% in quantity and value, respectively. About 65% of the total export volume was exported by the top 10 exporters, with Export Trading Company(U) Ltd leading in terms of market share (11.6%) out of 75 companies that performed during the month lower than 70% in the month of April 2026.