From the Field

Monday, June 14, 2021

The Latest on Rwanda's Harvest

The Rwanda harvest is underway! We’re seeing high quality on early and peak harvest lots. Natural processed coffees are on the drying tables now.

Due to unexpected rains, Rwanda’s 2020/21 harvest season was delayed by about a month. However, thanks to our integrated supply chain, fantastic local logistics team and quick documentation turnaround from local government, we’re still able to get lots out on time. Luckily, logistics from washing stations to the port have also been smoother than this time last year, when coronavirus was majorly affecting shipments.

On the farm level, cash prices to growers have jumped from an average in 2019/20 of 81 USC/lb (178.2 USC/kg) green at the farm gate to well over 100 USC/lb (220 USC/kg), which is largely good news for the farmers. We’re anticipating 110 USC/lb (242 USC/kg) as our cross-station average. The main factors for this increase seem to be very strong demand for high-quality washed coffee, a general off-cycle scenario and lastly, more washing stations competing for cherry. For clients, this increase for farmers means that outright prices and diffs remain very firm for Rwanda offers, despite the increase in the C Market above 155.

Our in-country sister company, RWACOF (Sucafina in Rwanda) remains focused on supporting farmers and sourcing traceable, high-quality coffees for clients. Three years of relatively low production have affected producers’ bottom line, so they’re focused on growing incomes for producers.

We’re building the groundwork for additional projects through a new partnership with the London School of Economics (LSE) that will map washing station and farmer data at 22 washing stations. The project will include polygon mapping, soil sampling and living income assessments. This new data will help RWACOF determine the best ways to help reduce production costs and increase overall livelihoods.

We’re supporting farmers by helping to increase their access to banking and financial opportunities. To date, we’ve facilitated 15,000+ fee-free bank accounts for producers and 600+ interest-free cash-flow loans. All RWACOF washing stations double as retail banks where farmers can open a bank account and deposit or withdraw money. They can even use the cherry they’re delivering to repay loans, purchase inputs and more. With more data, the next focus is offering specific services that increase financial inclusion tenfold and promote community wealth growth.

Hand-in-hand with financial inclusion is increasing yields, lowering input costs and improving soil health. RWACOF’s new partnership with The Bug Picture and COPED (one of Rwanda’s largest municipal waste managers) is making affordable, environmentally-friendly organic fertilizer accessible to coffee producers and is helping to save on landfill space. Black soldier fly larvae consume large amounts of organic waste (including coffee pulp) very quickly, turning waste into fertilizer gold. Our new facility is located in Bishenyi at one of COPED’s landfills. The formula we and our partners are currently producing is the result of comprehensive research and collaboration with organizations and local governments to find the ideal balance of the nutrients plants need. 

Producers are receiving better prices for cherry as more washing stations compete for cherry in an off-cycle year. Keep an eye out for incoming lots and speak with your trader about booking Rwandan coffees now.

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