Agriculture and Livestock Development Cabinet Secretary Sen. Mutahi Kagwe has announced the full opening of coffee auctions to the international market. The move aims to ensure that farmers receive fair compensation that aligns with global coffee prices, as the government seeks to modernize and strengthen the value chain.
Speaking in Nyeri County—a region famed for its high-quality coffee—Kagwe emphasized that coffee trading can no longer remain restricted to a select few. “Coffee auctions can no longer be the preserve of a few individuals. They must now be open to the entire international market,” he declared.
The reform is the result of inter-ministerial consultations with Cooperatives CS Wycliffe Oparanya, and leverages digital infrastructure developed during Kagwe’s previous tenure as ICT Minister. This technology will now facilitate real-time international participation in auctions and immediate payments to farmers.
“It is unjust to exclude global buyers who are ready to offer better prices. By opening the market, we’ll uplift the value chain and ensure our farmers benefit from their hard work,” Kagwe added.
This policy shift comes as Kenya’s coffee sub-sector shows renewed momentum. In the 2023/2024 season, clean coffee production rose to 49,501 metric tons. The average cherry price increased to KES 81.05 per kilogram, up from KES 71.97.
Nyeri County continues to lead the revival, with some factories, such as Ruarai under Ruthaka FCS, paying as much as KES 145.70/kg. With over 103 wet mills and 33 million kilograms of cherry processed last season, the region is also at the forefront of digital traceability and premium direct exports to markets in the U.S., Japan, Korea, and Scandinavia.
Kagwe also unveiled plans to install solar panels in coffee factories, aiming to cut energy costs and promote sustainability. This is part of a broader government strategy to improve profitability through infrastructure modernization, subsidised inputs, and market diversification.
With global coffee prices surging and new reforms in place, Kenya’s farmers are poised for a more prosperous future in the global specialty coffee market.
