From Origin

Price of coffee won’t rise despite high production cost

Dodoma. The government has said it will not raise the price of coffee despite reported increase of production costs.

The Deputy Minister of Agriculture, Ms Mary Mwenjelwa told Parliament on Monday, February 5, 2018, that the government will instead scrap off 17 levies imposed on coffee growers in an effort to relieve them of the tax burden.

This, she said, would help promote the cash crop’s competitiveness in markets.

Ms Mwanjelwa was responding to a question raised by Kigoma North MP, Peter Serukamba who sought to know the government’s plans in increasing the price of coffee, saying that the cost of production of the crop was now higher than the price of the cash crop thus not being profitable to farmers.

In response, Ms Mwanjelwa said the price of coffee – especially Arabica Coffee – is set according to the New York Commodities Market while for Robusta Coffee, the price is determined according to quotations on the London International Financial Futures and Options Exchange. “The government cannot alter this,” she insisted.


By Syriacus Buguzi @TheCitizenTZ -1



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