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Kenya Coffee Output Seen up 38 Pct in 2008/09

Source: Reuters
15/07/2008

Nairobi, July 14 - Kenya's coffee output will rise 38 percent to 57,830 tonnes in 2008/09 (Oct/Sept) crop year, from an estimated 41,861 tonnes this year, on improved farming practices and good weather, a trade association said on Monday.

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A terrible bout of Coffee Berry Disease (CBD) caused a drop in production in 2007/08 but a crop survey by the Kenya Coffee Traders Association (KCTA) held in May showed that unseasonal rains caused flowering in January-March.

"Due to unusual intense flowering of the coffee trees in January, a big proportion of the late crop will mature and ripen earlier than normal by nearly two months," the Kenya Coffee Traders Association (KCTA) said in a report.

"The resultant outphasing of the berry development and the CBD cycles is also expected to reduce crop losses attributable to the disease."

The report also said the increased production would be on account of improved husbandry practices, favourable weather and the impact of the biannual production cycle.

The association said 62 percent of the crop would be grown by smallholder farmers and 38 percent by large estates.

Most coffee farmers have received increased earnings from their harvest which motivated them to produce more which KCTA said was reflected in the higher production forecasts.

"Due to higher realisations, crop husbandry is improving in most of the coffee growing areas. Innovative ways of delivering extension services in partnership with value chain players have also emerged," it said.

The group however said rising costs of fertilisers, fungicides, fuel and new levies on irrigation water could undermine growth of coffee in the medium term.

"Moreover, underlying problems within co-operatives, in some of the regions, remain a major bottleneck to the full recovery of the (sub) sector," it said.

Reforms in the industry, like allowing farmers to negotiate directly with buyers, have also boosted the crop.

Kenya accounts for less than 1 percent of the global coffee output but its Arabica beans are favoured by roasters who blend them with coffee from other regions.



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