A total of 30,824 bags of coffee traded at Nairobi Coffee Exchange (NCE) weekly auction on Tuesday earned farmers and estates Ksh1.51 billion ($116.8 million).

Average price in the auction conducted at Wakulima House was Ksh39,732 per 50-kilogramme bag.

Compared with last week’s sale, which traded 31,568 bags at an average price of Ksh38,258, the latest sale recorded a marginal drop in volume of 744 bags but stronger prices, rising by Ksh1,475 per bag.

In the Sale 21 of the current coffee year, a total of 5,638 bags of premium coffee grade AA were traded earning Ksh306 million; while 12,138 bags of grade AB fetched Ksh635.8 million.

According to the NCE report on the auction, brokers’ performance reflected the concentration of volumes among a few dominant marketing agents.

Alliance Berries Limited led the market with 13,019 bags, which earned Ksh652.8 million, followed by Kirinyaga Slopes Coffee Brokerage with 5,346 bags earning Ksh245.7 million.

New KPCU PLC traded 4,739 bags (Ksh235 million), KCCE Marketing Agency traded 2,578 bags for Ksh131 million, Kipkelion Broker Company offered Ksh71 million worth of coffee and Kinya Coffee Marketing Agency sold 994 bags for Ksh48 million.

Smaller offerings came from Coffee Estates Bourgeoisie Brokers (794 bags), Minnesota Coffee Marketers (697 bags), United Eastern Kenya Coffee Marketing Company (631 bags) and Kiambu Coffee Marketing (364 bags).

In the dealers’ category, Ibero Kenya Ltd purchased the highest volume of 13,651 bags at Ksh664 million.

Taylor Winch (Coffee) Ltd followed with 3,066 bags at Sh149 million, C. Dormans SEZ Ltd followed by purchasing 2,852 at Ksh152 million, Sasini (K) Limited bought 2,639 spending Ksh134 million and Kenyacof Ltd closed the five top buyers after purchasing 2,557 bags at Ksh129 million.

According to the NCE Chief Executive Officer Lisper Ndungu, coffee prices have improved despite a drop in volume.

The last two sales, the auction witnessed high volumes of coffee but with reduced average prices. Sale 19 and 20 also saw increased withdrawal of coffee before it was confirmed after the initial sale in the auction.

Ndungu appreciated deliveries of premium coffee qualities in the auction have gone up thus attracting international buyers.

Exchange rate: $1 = Ksh129.35

• A Tell Media / KNA report / By Bernard Munyao

Coffee parchments (File photos)