Kenya allocates US$770,950 for Nairobi Coffee Exchange specialty coffee laboratory

The laboratory is expected to support a proposed micro-lot auction for specialty coffee, while a digital platform will expand access for local and international buyers.

KENYA – Kenya’s President William Ruto has directed the government to provide Kes 100 million (US$770.95K) to establish a world-class coffee quality analysis laboratory at the Nairobi Coffee Exchange (NCE) within six months, in a move aimed at strengthening specialty coffee marketing and access to international markets. 

Ruto issued the directive to Agriculture Cabinet Secretary Mutahi Kagwe during an Agriculture and Food Security town hall at Jamhuri Park in Nairobi on Thursday. 

The proposed laboratory will support a planned specialty coffee auction, particularly for micro-lots containing fewer than 10 bags. The initiative follows concerns that Kenya’s conventional coffee auction system does not adequately cater to specialty coffee producers. 

A representative of the NCE said the exchange was developing a dedicated auction that would allow local and international buyers to participate, supported by an internationally recognised quality analysis facility operating under ISO-certified standards. 

“You remember we had a conversation. Coffee exchange is to implement something we are calling a special auction, which will be for specialty coffees, particularly micro lots that are less than 10 bags,” the representative told The Star. 

The representative said the exchange had previously discussed a Sh50 million pledge from the President towards establishing the laboratory. Ruto subsequently directed Kagwe to secure Kes 100 million to ensure the project proceeds. 

The NCE representative indicated that the facility could be established within six months. 

“Realistically, we can say in the next six months we should have a lab,” the representative said. 

The President said the laboratory would create opportunities for farmers producing specialty coffee to reach global markets. The exchange is also developing a digital auction platform intended to enable buyers worldwide to purchase coffee through the NCE. 

The proposed specialty auction would provide a dedicated marketplace for smaller quantities of high-quality beans, separate from conventional coffee traded through the exchange. 

Discussions also covered the timing of payments to coffee growers. The NCE said proceeds from coffee sales reach a grower’s account within five days of a transaction. Growers may be individual farmers, cooperatives or associations. 

Farmers operating through cooperatives can choose to aggregate their coffee before selling it, depending on their cooperative’s arrangements. This can be relevant for producers harvesting small quantities of red cherries at different times. 

The announcement comes as Kenya’s 2026/2027 coffee auction season begins. The first Nairobi auction reportedly raised Kes 801 million from 17,084 bags weighing 50 kilogrammes each. 

In the 2025/2026 coffee year, farmers earned Kes 41.63 billion (US$320.95M) from auction sales, approximately Kes 6 billion (US$46.26M) more than in the previous season, supported by relatively firm prices and market demand. 

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