Kenneth Barigye, the Managing Director at Mountain Harvest SMC Ltd, has been marketing and promoting Uganda’s coffee. His company, Mountain Harvest, has won several quality awards
Uganda’s coffee quality is ranked third best globally, according to beanpoet. The 2020 ranking was based on coffees from around the world harvested from 2010 to 2018 and graded by 1,229 professional tasters certified by the Coffee Quality Institute. Uganda’s Mountain Harvest coffee has won several quality awards at national, regional, continental and international levels. In this exclusive interview with Business Focus, Kenneth Barigye, Mountain Harvest SMC Ltd’s, Managing Director, reveals the secrets behind their consistent production of quality coffee and shares tips on how coffee farmers and other value chain actors can further improve coffee quality and fetch premium prices.
Below are excerpts from the interview;
Q: Mountain Harvest SMC Ltd has won several quality accolades, with the latest being the 1st and 3rd place in the recently concluded African Taste of Harvest Coffee Competitions held during the 21st African Fine Coffees Conference and Exhibition in Tanzania. What do the recent wins mean for Mountain Harvest and Uganda’s coffee sector at large?
A: Indeed, it is true that Mountain Harvest has been winning quality accolades for several years. This year is special because we got a coffee that won a competition that had Africa’s top-quality producers from Ethiopia and Kenya. We also got a quality review of 92 points by the Coffee Review of Portland Maine. Uganda has always been known in the region as a producer of inconsistent quality and that was the reason I started Mountain Harvest.
I wanted to challenge the misconception that good, quality coffee comes from Ethiopia and Colombia. By winning these competitions, but most importantly a competition that had Ethiopian coffees, Mountain Harvest has proved that Uganda too can produce premium quality if we set our efforts to it.
For Mountain Harvest and Uganda, these wins have three significant effects on our operations. The first one is a validation of our model – a model that focuses on producing top premium specialty quality. This is proof that we have mastered the right processing protocols and moving forward we can focus on increasing the volumes; the second is allowing us to achieve prices that are usually not possible for Uganda. For long, Uganda has been getting prices that are close to the world market price. With these wins, Mountain Harvest is attracting competition from buyers and the associated premium prices. What is important is that when a few coffees win and attract premium prices, then the rest of the coffee is also sought after and this demand comes with competition by buyers which drives prices higher.
Lastly, the cost of marketing coffee especially in new markets for unknown countries like Uganda is prohibitive. When you win such a big competition, buyers in countries you have not targeted before come for your coffee and this makes your entry into such markets easy.
Q: Your company has attended so many events-national, continental and international. What benefits do you get from a regional event like the African Fine Coffees Conference and Exhibition compared to international ones?
A: It is not right to compare the regional events with the international events. Each event has its own unique offerings and this informs your objectives when attending. The regional African Fine Coffees Association allows producers to attend because of how close it is to our countries and the lack of strict visa requirements. It also attracts buyers who are familiar with Africa. This offers opportunities for us to learn from other successful producers in the neighboring countries while tapping into the buyers coming to Africa with a clear interest in African coffee.
The international events on the other hand offer unparalleled opportunities for connection, growth, and inspiration. We go to experience the latest technology while taking advantage of several engaging lectures and hands-on workshops to enhance our expertise, refine our craft, and scale our businesses to new heights. I would encourage Ugandan producers to attend these events to unlock business-transforming opportunities and stay ahead in the specialty coffee industry.
Q: Mountain Harvest has always scored highly in terms of quality. Is this a true representation of Uganda coffee generally?
A: Uganda’s coffee comes off the tree with all the necessary quality attributes one needs. We only destroy quality through improper handling such as harvesting under ripes or over ripes coffee, inconsistent processing and lack of drying facilities. So yes, Uganda’s coffee has the highest possible quality potential.
Q: What does Mountain Harvest do to ensure its coffee is of high quality?
A: Mountain Harvest invests in the farmers, infrastructure, staff, systems and protocols. For the farmers, we focus on offering training on soil nutrition, coffee tree management, and proper coffee picking. When a coffee tree is well-fed, it will have cherries with high sugar content. High sugar levels of 18 brixs (measurement of sugar content in an aqueous solution) and above contribute significantly to the quality of a coffee cup.
For infrastructure, Mountain Harvest has invested in motorized pulping machines and Colombia-style solar drying facilities that control both temperature and humidity. As a company that works with limited resources, we have recycled locally available tanks into fermentation tanks.
For staff, we have invested in trainings for our staff including bringing consultants from Colombia, Brazil and Burundi and sending our staff for trainings in Ethiopia, Rwanda and Burundi. Our compensation system also recognizes the importance of processing quality coffee and rewards the staff’s effort.
When it comes to systems and protocols, Mountain Harvest has worked with a number of universities including Kyambogo University and the Coffee Quality Institute to develop processing protocols and quality management systems. These range from anaerobic, yeast and bacteria fermentation to infusion for naturals, honeys and washed coffees.
Q: What practical tips and advice do you give to fellow farmers on how to improve coffee quality and succeed in regional and international markets?
A: Start by acknowledging what you are setting yourself to do, the fact that you know less and focus on learning. For you to succeed, you need to identify role models and learn from them. I spend a lot of time between Ethiopia, Rwanda, Burundi and Colombia. Luckily enough my colleagues in Uganda don’t have to travel – Mountain Harvest has the knowledge and skills now.
Another important tip is around commitment to being the best. Most of us in Uganda are impatient. Moving a coffee from an 81 score to a 92 takes time and requires patience. It is not a 12-month plan. It takes at least 36 months of consistent improvement.
Q: Quality coffee should attract premium prices. Is Mountain Harvest and the farmers it deals with earning premium prices for the quality coffee produced?
A: Indeed, quality coffee attracts premium prices. The minimum price for Mountain Harvest is about twice the market price. That does not mean that Mountain Harvest is making twice as much. For us to deliver a high-quality coffee, we invest heavily in farmer training and coffee processing. This increases our cost of production. Therefore, although we get 100% higher than the market price, our profit per unit will not go higher than 20%.
Our farmers are also paid premium prices with a minimum 20% above the market price. We also give them services that include training in regenerative agriculture, financing for income diversification into avocado, macadamia, legumes, rabbit keeping and bee keeping. We also construct processing stations for them and provide micro loans to them.
Q: You’ve participated in many international coffee events and competitions. What makes Uganda’s coffee special from other world coffees?
A: Unfortunately, there is nothing special. I wish I could claim that our coffee is special, but it is the same. Coffee becomes special if it is processed well, and any country can do this.
Q: As a commercial farmer, processor and exporter, what key challenges is Uganda’s coffee sector facing and how can they be addressed?
A: There are several challenges, but I will pick the key ones. One is financing – there is no way a Ugandan company can succeed while borrowing money at rates above 20%. Second is skills – whereas coffee contributes close to 20% to our GDP, there is no special school for coffee agronomy, coffee processing or coffee quality assessment. I think the government should invest in a special coffee curriculum. Third is inconsistency in quality – our coffee is processed at almost 1.8 million processing centers and this leads to inconsistent quality. My recommendation is that we promote central processing of coffee where farmers deliver cherry at cooperatives and companies’ central processing units. This has already shown great potential for quality improvement in a number of neighboring countries. Fourth is marketing and branding – the government has left marketing coffee mainly to the private sector. We need the government to invest in marketing and branding of our coffee in the target markets if we are to change the perception that Uganda is a risky coffee origin. Fifth is enforcement of quality standards – our country has the appropriate laws in place to ensure only good coffee gets into the supply chain. The problem is the lack of enforcement. We need active government enforcement of quality standards starting with coffee ripeness.
Q: What’s your final message to coffee stakeholders?
A: I know the government is working hard to ensure we add value to our coffee which is a good thing. It will create jobs and give Uganda much more money as roasted coffee attracts more money. I hope the government can give the same attention to adding value to green coffee through quality improvement. Higher quality of coffee attracts higher prices which is good for the country, good for the exporters and definitely good for the farmers.
Good insights. Thank you Mr. Barigye