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Since the beginning of the month of Katit (February), the domestic coffee trading price has shown an increase unlike previous trends.
Although there are variations depending on the location and grade in Addis Ababa, the increase has been observed across all market areas.
For example, we have heard from consumers that one kilogram of coffee, which was sold a month ago at a certain price, has increased by 200 to 300 birr, and this week it is being sold between 800 and 1,000 birr.
Based on this, we inquired with the Ethiopian Commodity Exchange (ECX), which collects and publishes the daily market prices of coffee and other products.
Dawit Mura, the Corporate Communication Manager at the institution, noted that coffee prices fluctuate daily depending on the market. He explained that the price increase observed in recent days is partly due to an imbalance between supply and demand.
He added that this occurs when the amount of coffee entering the market through the modern trading system decreases.
Mr. Dawit Mura also clarified that the government's focus on coffee is primarily directed toward exports. It has been said that the government prefers exporting coffee to earn foreign currency rather than meeting domestic demand.
The high number of coffee consumers in the country is another reason cited for the rising domestic coffee prices in Ethiopia.
Data indicates that about half of Ethiopia's coffee production is used for domestic consumption.
The official emphasized that regulating and monitoring the coffee trade supply chain to ensure it operates systematically is necessary to prevent further escalation of domestic coffee prices.
Although one kilogram of coffee has been selling for up to 1,000 birr this week, according to the Ethiopian Commodity Exchange’s announcement, on February 26, 2025 (Ethiopian Calendar: Yekatit 26, 2017), the trading price of washed coffee intended for domestic use was 9,917 birr per "feresula" (a unit equivalent to 17 kilograms).
Beyond collecting and disseminating market data to ensure transparency in trading prices between merchants and consumers, the Ethiopian Commodity Exchange does not have the authority to dictate prices.
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Ethiopia ranks first in Africa and fifth globally in coffee production, following Brazil, Vietnam, Colombia, and Indonesia, according to available data.
Maniyazewal Getahun
Category
Celebrity
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