Kenya Coffee Output Expanding

WASHINGTON - May 13/06 - SNS -- Kenya's coffee industry is experiencing a marginal increase in performance, primarily attributable to weather and improved coffee price, according to a recent report from the U.S. agricultural attache for the country.

The Coffee Board of Kenya (CBK) estimates production for 2004-05 at 45,245 metric tons (MT) of arabica and no robusta coffee, for a 6% decline from the previous year. Production in 2005-06 is estimated at 49,980 MT; while this season's crop could total 54,000 MT.

The increase is attributed to favorable weather, increased production from non-traditional coffee farming areas and improved coffee prices. Coffee prices have frequently fallen below the cost of production during the last decade.

However, prices have recovered for the 2004-05 and 2005-06 seasons. Coffee earnings have been on the increase primarily due to good prices and quality.

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