Coffee prices at the weekly Nairobi auction have risen 75 per cent since the first sale of the year following an increase in high quality beans.
The average price of a 50-kilo bag rose to a high of Sh38,784 in Tuesday’s auction from Sh22,119 in the first sale of this year.
The value of the Kenyan coffee has been consistently on the rise since the beginning of the year with Nairobi Coffee Exchange (NCE) saying the series of good prices should continue up to next month.
“We are getting good coffee from farmers and this has led to high demand of our coffee at the auction, a move that has helped to increase the value,” said chief executive officer Daniel Mbithi.
The coffee currently trading at the auction is coming from the main season crop in central Kenya.
The harvesting season starts in October with supply running all the way to March.
Last year the crop was hit by drought that affected most parts of the country leading to postponement of auctions at some point.
Coffee prices dropped 13 per cent in four months to January as low international prices and delay of coffee in getting to the market at the end of last year affecting the revenue.
Data from NCE indicates earnings dropped to register Sh4.7 billion ($47 million) from Sh5.5 billion ($55).