Uganda receives US$2.9M grant to boost coffee, cocoa value chains 

UGANDA – Uganda’s agriculture sector has received a boost with the launch of the UGSH10.8 billion (US$2.9M) Coffee and Cocoa Value Chain Development Project (CoCoDev) Matching Grant Scheme. 

The project aims to support 134 commercial farmers in enhancing coffee and cocoa production. 

Gerald Kyalo, Director of Development Services at the Uganda Coffee Development Authority (UCDA), announced that the 134 grantees will add 3,236 acres of coffee and 442 acres of cocoa to Uganda’s production base.  

Within three years, once these new plantations reach full production, it is estimated that the grantees will contribute 1,456 metric tonnes of coffee and 2,228 metric tonnes of cocoa to the global market.  

Based on current prices, the expected market value for this additional output is approximately US$4.95 million. 

The CoCoDev project, funded by the European Union and implemented by UCDA, focuses on increasing commercial coffee and cocoa production outside traditional growing regions.  

Kyalo emphasized that many of the grantees will be pioneering coffee and cocoa cultivation in these non-traditional areas, further expanding Uganda’s agricultural reach. 

The National Coffee Roadmap, signed by President Yoweri Kaguta Museveni in 2017, aims to boost Uganda’s coffee production to 20 million 60 kg bags by 2030, with an anticipated annual foreign exchange earning of US$1.5 billion. 

Kyalo also urged the grantees to source planting materials from certified nurseries and expressed gratitude to the European Union for its generous support of Uganda’s agricultural development. 

Daniel Kisekka, Technical Advisor for the CoCoDev project, explained that the matching grant is a reimbursement scheme designed to aid commercial coffee and cocoa farmers.  

Under this scheme, farmers must initially invest their own funds to set up plantations, after which they will receive 100 percent reimbursement for their expenses. 

The reimbursement covers key costs such as the purchase of seedlings, land preparation, planting, and climate change adaptation measures, with reimbursement amounts ranging from UGSH32 million (US$8,614.23) for 10 acres to UGSH160 million (US$43,071.15) for 50 acres. 

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