Coffee auction takes off with 12,000 bags on sale
Auction of coffee at Nairobi Coffee Exchange (NCE) will finally take place today as ministry of Agriculture Cabinet Secretary Peter Munya gazetted a notice amending the Crops Act, 2013 extending marketing licenses for the next one year.
Through the amendment of the Crops Act 2013 Coffee General Regulations 2016, marketing agents have had their licences extended for another year to June 30, 2021 through a special Kenya gazette notice dated July 13.
During the Sale 24, over 12,000 clean bags of coffee will be offered for sale, ending confusion and simmering row between some government agencies and farmers.
NCE management committee confirmed the auction will take place today with quantity that was due for sale on July 7, offered for sale.
“Yes the auction will take place and we are all set. Quantity of clean coffee that will be offered for sale is what was due one week ago.
We had not added any new samples from the marketing agents,” said Daniel Mbithi, NCE chief executive officer.
Trading licences
The auction would have taken place yesterday if Munya had signed the gazette notice last week. He signed the notice on Monday extending trading licenses of agents.
Coffee auction are normally held on Tuesday of every week and sometimes on Wednesday in case Tuesday happens to be a national or international holiday.
Small-scale farmers under Kenya Coffee Producers Association said the suspension of auction increased loss to farmers, especially for those who had borrowed loans.
“As farmers, we have existing contracts with marketing agents and we have released our coffee to them for sale,”Chairman Peter Gikonyo said last week.
He said farmers have loans and deferred payments mean increased interests on them.
