Global shipping disruptions are driving up coffee prices, with rising freight and fuel costs tightening supply and lifting market performance, according to the latest Daily Coffee Market Analysis Report from the Ministry of Agriculture, Animal Industry and Fisheries (MAAIF).
The report links the upward trend in prices, particularly for Arabica coffee, to disruptions in global shipping following the closure of the Strait of Hormuz, a key trade route. The situation has increased shipping, insurance, and fuel costs, placing pressure on importers and roasters while supporting prices on international markets.
Arabica Prices Gain on Supply Pressure
Arabica coffee futures on the New York market recorded gains across major contracts. The May 2026 contract closed at 309.75 US cents per pound, up 8.85 cents, while July rose to 302.35 US cents per pound, gaining 8.15 cents.
The price increases reflect tightening global supply conditions driven by logistical disruptions and higher transportation costs.
Robusta Market Mixed Despite Low Inventories
Meanwhile, Robusta coffee futures on the London market showed mixed performance. The May 2026 contract dipped slightly to $3,664 per tonne, while later contracts posted gains, with July rising to $3,568 and November to $3,447 per tonne.
MAAIF attributes the mixed trend to tighter ICE inventories, which have fallen to a two-month low, prompting short covering in the market.
Strong Domestic Prices for Ugandan Coffee
On the local market, Ugandan coffee prices remain firm. Robusta Screen 18 is trading at about UGX 15,155 per kilogram, while Screen 15 stands at UGX 14,739.
Arabica varieties continue to fetch higher prices, with Bugisu AA quoted at UGX 25,302 per kilogram, reflecting strong demand for premium grades.
Farmgate Prices Hold Steady
At the farm level, prices remain stable. FAQ coffee is trading between UGX 12,000 and UGX 12,500 per kilogram, while Kiboko ranges from UGX 6,000 to UGX 6,500.
Arabica parchment is quoted between UGX 14,500 and UGX 15,500, with Drugar coffee (clean) ranging from UGX 14,000 to UGX 15,000 per kilogram.
