Growing Pains: The Challenges of Coffee Growing in Uganda

Tackling Predatory Brokers

One of the most pressing issues we encountered was the presence of predatory brokers. In Uganda, these brokers often offer prices as low as 50% of a crop’s true value, exploiting farmers who are in urgent need of cash. Our direct trade model bypasses these middlemen, allowing us to negotiate directly with farmers. This approach ensures that they receive a fair, transparent price for their coffee, helping improve their financial stability and reward their hard work.

Tackling Predatory Brokers

Access to affordable capital is another significant challenge. In Uganda, banks charge exorbitant interest rates—up to 24%—making loans both unaffordable and risky. This often leaves farmers at the mercy of predatory brokers. Our direct trade partnerships help by including pre-finance options that offer essential funds at reasonable terms. This support allows farmers to invest in their operations without falling into debt traps.

Adapting to Weather Changes

While weather is beyond our control, direct trade enables us to work closely with growers to address the challenges posed by unpredictable weather. Through regular communication, we collaborate on practical solutions, such as constructing low-cost drying sheds or implementing other adaptive measures. This cooperative approach helps mitigate issues like excess rain during drying periods, which can affect coffee quality and processing.

Key Insights from Our Journey