Farmgate Price Trend (Last 12 Months, UGX/kg)
Farmgate vs. FOB Price Comparison (US$/kg)
Farmgate vs. FOB Price Spread by Grade (June 2026)
| Grade / Product | Description | Farmgate (UGX/kg) | Farmgate (US$/kg) | FOB (US$/kg) | Spread (US$/kg) | Spread % |
|---|---|---|---|---|---|---|
| Fresh Cherry | Ripe red cherry, wet parchment | 3,000 | $0.79 | N/A | N/A | -- |
| Kiboko (Dry Cherry) | Sun-dried cherry, 12-13% moisture | 7,500 | $1.97 | $2.80 | $0.83 | 29.6% |
| FAQ Robusta | Fair Average Quality clean | 13,200 | $3.47 | $4.25 | $0.78 | 18.4% |
| Screen 18 Robusta | Large bean, premium grade | 14,100 | $3.71 | $4.60 | $0.89 | 19.3% |
| Screen 15 Robusta | Standard export grade | 12,800 | $3.37 | $4.05 | $0.68 | 16.8% |
| Arabica FAQ | Washed Arabica, clean | 19,800 | $5.21 | $6.20 | $0.99 | 16.0% |
| Organic Robusta | Certified organic, premium | 15,600 | $4.11 | $5.00 | $0.89 | 17.8% |
How Farmgate Prices Are Set
The UCDA Indicative Price Formula
Every trading day, the Uganda Coffee Development Authority (UCDA) publishes an indicative farmgate price based on the international ICE London robusta futures contract (or ICE New York for arabica), adjusted for Uganda's quality differential, exchange rate, and processing costs. The formula works as follows:
Farmgate Price = (ICE Futures Price - Uganda Differential) x UGX/USD Exchange Rate - Processing & Transport Costs
The Uganda differential reflects the discount or premium Ugandan coffee commands versus the benchmark futures contract. For Robusta Screen 15, this is typically a discount of US$150-250/tonne below the London contract. This differential is published monthly by UCDA and reflects Uganda's position in the global market.
Competition at Buying Stations
While UCDA sets the indicative price, the actual price a farmer receives is determined by competition among licensed buyers at rural buying stations. In areas with high buyer density (Masaka, Mityana, Mbale, Kasese), prices can be 5-10% above the indicative price as buyers compete for volume. In remote areas with fewer buyers, farmers may receive below the indicative price due to the buyer's transport cost burden.
Quality Premiums
- Screen size: Larger beans (Screen 18+) command a premium of UGX 500-1,000/kg over Screen 15 at farmgate level.
- Moisture content: Properly dried Kiboko at 12-13% moisture earns the full price. Wet or overdried cherry is discounted by UGX 200-500/kg.
- Cup quality: Clean cup, no defects. Premiums of 5-15% for traceable, single-origin lots from recognized cooperatives.
- Certification: Organic, Rainforest Alliance, and Fair Trade certified coffee earns an additional US$0.20-0.40/kg premium at farmgate level.
- Volume: Farmers delivering larger consolidated lots through cooperatives often negotiate better prices than individual smallholders selling 20-50 kg.
Seasonal Price Patterns
Farmgate prices in Uganda follow a predictable seasonal pattern. Prices typically peak during the fly crop (April-June) when volumes are lower and exporters compete for supply. The main crop harvest (October-December) sees a seasonal dip of 5-8% as supply floods the market. Farmers who can store Kiboko and sell during the fly crop period capture higher prices.
What Farmers Get Paid: The Price Chain
Understanding what Ugandan coffee farmers actually receive requires following the bean from harvest to export. Each stage adds value, and each stage takes a cut. Here is how the money moves:
Stage 1: Cherry Price (What the Farmer Harvests)
A farmer picks ripe red cherry and sells it immediately at a collection point or to a travelling buyer. At UGX 3,000/kg for fresh cherry, this is the raw harvest price. Most smallholders sell at this stage because they lack drying facilities or need immediate cash. The buyer (often a middleman or cooperative) bears the cost and risk of drying.
Stage 2: Kiboko Price (Dried Cherry)
Farmers who dry their own cherry (sun-drying on tarpaulins or raised beds for 10-14 days) sell Kiboko at UGX 7,500/kg. About 5.5-6 kg of fresh cherry yields 1 kg of Kiboko after drying, so the farmer who dries captures roughly UGX 1,250-1,360 per kg of original cherry -- a 20-50% premium over selling fresh cherry. The drying step is the single biggest value-capture opportunity for the farmer.
Stage 3: FAQ Price (Hulled Clean Coffee)
Hulling factories buy Kiboko and process it into FAQ (Fair Average Quality) clean green coffee. The hulling yield is approximately 50-52%, meaning ~2 kg of Kiboko yields 1 kg of FAQ. The hulling factory adds value through de-husking, cleaning, grading, and sorting. The FAQ farmgate price of UGX 13,200/kg represents the price at which hullers sell to exporters. The spread between Kiboko and FAQ (~UGX 5,700/kg) covers hulling costs, weight loss, grading labour, and the huller's margin.
Stage 4: FOB Export Price
Exporters buy FAQ from hulling factories and consolidate it into export-grade containers. The FOB price of US$4.25/kg for FAQ Robusta includes the cost of transport to Mombasa or Dar es Salaam port, warehousing, bagging in 60-kg jute sacks, inspection, documentation (phytosanitary certificate, certificate of origin), financing costs, and the exporter's margin. The spread between FAQ farmgate and FOB is typically US$0.70-1.00/kg.
Who Captures What
Of the final FOB price of US$4.25/kg, the farmer typically captures 45-50% when selling Kiboko, or 18-22% when selling fresh cherry. Intermediaries (middlemen, hullers, transporters, and exporters) capture the remaining 50-55%. Cooperatives that own hulling machinery and can sell FAQ directly to exporters can return 60-70% of the FOB value to their farmer members.