TANZANIA- The European Union-supported Market Access Upgrade Programme (MARK-UP) has noted a double increase in East Africa’s coffee export earnings following an increase in volume of the coffee exports to the European Union.
The MARK-UP is a regional development initiative that provides support to small and medium-sized enterprises (SMEs) in the East African Community (EAC) focusing on Burundi, Kenya, Rwanda, Tanzania, and Uganda.
The Programme aims to contribute to the EAC region by increasing the value of both extra and intra-regional agricultural exports, with the main focus on exports to the European Union.
Details into the increase in earnings from EUR 488 million in 2018 to the current EUR 1.1 billion in the four years were revealed during the launch of the second phase of the MARK-UP (MARK-UP II) on Tuesday.
The MARK-UP II launch was attended by the EU Ambassador to Tanzania, Ms. Christine Grau, the International Trade Centre executive director Ms. Pamela Coke-Hamilton, and EAC Secretary General Dr. Peter Mathuki.
Earlier in May, Kenya and Uganda had projected an increase in their coffee exports in the marketing year 2023/24, as government efforts to increase production start to bear fruits.
According to the Global Agricultural Information Network-Gains, Uganda’s production is projected to reach a record high of 6.85 million 60 kg bags attributed to good rainfall and the maturation of new high-yielding Robusta varieties planted between 2017 and 2019.
Kenya’s production is also projected to increase by 6.7 per cent to 800,000 bags due to recovery from drought conditions and higher fertilizer application.
At the launch of MARK-UP II, it was announced that the programme would be executed in the next four years at a cost of EUR 40 million- which is equal to the cost of implementing phase 1 of the project.
Ms. Grau quickly demonstrated the EU’s commitment to supporting East African companies, fostering sustainable growth, and creating decent job opportunities.
“Our joint efforts to strengthen the region’s agricultural and horticultural sector will help small businesses become more competitive on the international stage and help deliver on the sustainable priorities of the region and the continent,” she noted.
On her part, Ms Coke-Hamilton emphasized that MARK-UP II will also be implemented jointly by the EU, EAC, and the International Trade Centre (ITC).
According to the EAC secretariat, MARK-UP I reached 37,819 SMEs, empowering them to become more competitive in the international market. Furthermore, more than 115 companies achieved a collective US$16 million in sales and exports.
The secretariat also revealed that MARK-UP I helped draw in US$1 million investment for over 70 small businesses and the launch of MARK-UP II will unlock the full potential of agribusinesses within the EAC.
Dr. Mathuki also projected that the implementation of MARK-UP II will strengthen EAC’s small businesses through enhanced regional and international trade in close partnership with the East African Business Council (EABC) focusing on avocado, cocoa, coffee essential oils, and French beans.
He concluded by emphasizing that MARK-UP II’s success depends on the continued inclusion of women and youth in trade.