The price of coffee hit a new high this week as the auction continued to register sterling performance, which started in January.
The rally saw the value of a 50 kilogramme bag rise from Sh26,418 last week to Sh28,480 in Tuesday’s sale, the highest price in the last one year.
Nairobi Coffee Exchange (NCE) had predicted high prices at the auctions following an increase in the quality of the commodity.
“The good price registered is attributed to better quality beans from central Kenya coming to the market following delays triggered by the wet weather last year,” said NCE chief executive officer Daniel Mbithi.
The value of Kenyan coffee dropped by Sh422 million in the year to December 2017 as low quality beans lowered the price of the beverage.
A Coffee Directorate report indicates that the value of the crop dropped to Sh2.2 billion last year from Sh2.6 billion the previous year.
The country seeks to raise the amount of coffee roasted locally from five to 10 per cent annually over the next five years.