Kenyan Coffee Production Plummets 50%

NAIROBI - May 7/02 - SNS -- Kenyan coffee bean production for 2001/2002 was 51,700 metric tons (MT), a 50% drop from the previous year's production value.

According to the USDA, the decline in performance in the sector is mainly due to farmer low morale, poor payment, co-operative wrangles and general low husbandry practices.

Forecasts from the current field conditions indicate a 20% rise in crop production during the 2002/2003 season. The major problem will be finances for harvesting the crop and consequent marketing. The increase will mainly be attributed to good weather conditions, slight improvement in husbandry and the prevailing indications of improved prices.

Presently the sector is trapped in a myriad of problems ranging from low farmer morale, complex production issues, marketing and policy matters. The long awaited Coffee Act came to force in April and completes the partial liberalization of the Kenya coffee industry. The marketing role hitherto a preserve of the Coffee Board of Kenya (CBK) has been taken over by private coffee marketing agents.

The CBK estimates that about 2-5% of Kenya's output is consumed locally. There are efforts in the new Coffee Act to concentrate on local promotion to expand markets and sales.