KNCU set to increase coffee production

KNCU set to increase coffee production

THE Moshi based Kilimanjaro Native Cooperative Union Limited (KNCU 1984 Ltd) in Kilimanjaro Region, has begun strategies to boost coffee production.

The KNCU (1984) Ltd Chairman, Mr Philemon Ndossi said they earmark to increase 60 tonnes of coffee produced by KNCU members in the next two years.

 “To achieve this target, KNCU is partnering with the Tanzania Coffee Board (TCB) and the Tanzania Coffee Research Institute (TaCRI) to revive coffee seedling nurseries that will be used to produce coffee seedlings which will be distributed to farmers”, he said at the 37th Annual General Meeting (AGM) of the Africa’s oldest cooperative union which was held in Moshi, recently.

"As part of these efforts we have already revived our coffee seedlings nursery which is situated in Tarakea Kibaoni, within Rombo District; we have also entered into an agreement with the Marangu East Agricultural Marketing Cooperative Society (Marangu East Amcos) to revive the coffee seedlings nursery which is situated at Marangu Rauya which will also be used as a demonstration farm”, he added.

“We have also succeeded through our various stakeholders to obtain more than 60,000 quality coffee seedlings from TaCRI which will be distributed to farmers; if these seedlings thrive upon favourable weather conditions an addition of 60,000 kilos of coffee will be produced by farmers who are our members in the next two years”.

Commenting on the coffee business as far as the union was concerned, Mr Ndossi said the union collected 135 tonnes of coffee both organic and ordinary coffee during the 2021/2022 crop season.

"I am glad to announce to you that non-organic coffee sold through KNCU received an average price of 8,200/- per kilo, been an added income to farmers, compared to other seasons whereby coffee was sold between 4,000/- and 4,500/- per kilo”, he said, adding, the union has projected to collect coffee worth 1b/- during the 2022/2023 crop season.

“Our union has also managed to increase the number of organic coffee growing Amcos to 11 compared to the previous years, whereby there were fewer than 10 organic coffee growing Amcos. The increase of their number will contribute to the increase of farmer's income especially when considering the fact that organic coffee has a higher price compared to ordinary coffee,” he said.

Mr Ndossi said that despite the Union’s achievements, the institution also faced a number of challenges including declining of coffee production in Kilimanjaro Region that brought down coffee harvest by its members to less than 2,000 tonnes a season.

"The situation is largely due to the uncertainty of quality agricultural inputs for farmers as well as the high cost of inputs. These in facts contribute to slowing down of coffee production especially for our members”, he said.

The KNCU (1984) Ltd Finance and Administration Manager Mr Wilbard Lyimo told the AGM participants that the Union had projected a 24.4m/- profit before tax in the 2022/2023 season.

"During the we expect to earn a total of 7.3b/- from coffee exports, 364.9m/- from the coffee roasting unit and a total revenue of 414.1m/- from the Union Café Coffee Shop”, he noted.

He named the other project incomes by the Union as 55.6m/- from the Coffee Tree Hotel and the premium revenue amounting to 162.8m/- from coffee sales through Fair-trade.

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Author: HECKTON CHUWA in Moshi

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