BLIDA PORT, ALGERIA — Uganda is positioning itself to capture a dominant share of North Africa’s lucrative beverage market, launching an aggressive diplomatic and trade push to supply 120,000 tonnes of coffee annually to Algeria. If realized, the target would represent nearly a quarter of Uganda’s total national export volume, securing a key strategic footprint for the country’s flagship agricultural export.
The ambitious push follows an ongoing commercial agreement that will see Algeria procure 60,000 tonnes of Ugandan coffee by December, valued at tens of millions of dollars. The effort aligns with Uganda’s broader strategy to boost foreign exchange earnings through direct foreign government procurement and bilateral trade partnerships across Africa.
Quarterly Export Breakdown & Regional Contractors
The current trade arrangements are powered by three primary private sector exporters, drawing supplies from key coffee-producing hubs across Central and Southwestern Uganda:
| Exporter | Regional Hub | Quarterly Volume | Contract Value (Quarterly) |
| Wendi Farm | Masaka | 10,000 tonnes | $55,000,000 |
| Gadesam | Kigezi | 2,500 tonnes | $15,000,000 |
| Banta | Mbarara | 1,500 tonnes | $9,000,000 |
| Combined Totals | — | 14,000 tonnes | $79,000,000 |
Together, these quarterly shipments total 14,000 tonnes, generating $79 million in revenue every three months for Ugandan agribusinesses and smallholder farming communities.
Diplomatic Push at Blida Port Logistics Hub
Speaking during a comprehensive inspection tour of the Blida Port shipping yard on the outskirts of Algiers, Uganda’s Ambassador to Algeria—who also serves as the Dean of the Diplomatic Corps—H.E. John Chrysostom Alintuma Nsambu, praised the strong bilateral ties between Kampala and Algiers.
“I feel honored that H.E. the President entrusted me to be his ambassador to Algeria, a nation known for its deep solidarity. It is because of this solidarity that they have committed to supporting Uganda’s economy by opening up their market to us,” Nsambu stated while addressing officials at the maritime facility.
Algeria spends an estimated $1.4 billion annually on coffee imports. Ambassador Nsambu noted that his embassy’s immediate goal is to convince Algerian state procurement entities to increase Uganda’s annual quota from the current 60,000 tonnes to at least 120,000 tonnes.
Commercial Diplomacy and Institutional Support
Ambassador Nsambu credited the Ministry of Finance, Planning and Economic Development for backing the initiative through targeted trade funding. He specifically commended the Permanent Secretary and Secretary to the Treasury (PSST), Dr. Ramathan Ggoobi, for including the mission in Algiers under the government’s Commercial Diplomacy Program.
Ordinarily, eligibility for commercial diplomacy funds is limited to traditional trade hubs managed under foreign affairs frameworks. However, following an official visit to Algiers by Dr. Ggoobi two years ago, the Ministry of Finance allocated dedicated resources to empower the Ugandan embassy to negotiate direct market access.
“These are the direct efforts of PSST Ggoobi, and I want to use this opportunity to thank him immensely. I want to assure him that even bigger results are yet to come,” Nsambu added, emphasizing that public-sector alignment has been critical to opening closed state markets.
Structural Bottlenecks and Financing Challenges
Despite the strong momentum, ambassadorial officials highlighted several systemic challenges preventing Ugandan traders from fully exploiting the 120,000-tonne quota:
-
High Commercial Lending Rates: Local financial institutions lend to coffee exporters at standard commercial interest rates. This inflates working capital costs, making Ugandan coffee less price-competitive against global exporters backed by subsidized agricultural credit.
-
Freight and Logistics Costs: Transporting cargo from landlocked Uganda to North African ports presents significant freight and shipping overheads compared to coastal competitors.
National Export Context
Uganda remains Africa’s top exporter of Robusta coffee and the continent’s second-largest overall producer, producing roughly 500,000 tonnes (8.8 million 60-kg bags) annually. Driven by high global market prices and expanded domestic production, Uganda’s annual coffee export revenues recently topped $2.4 billion.
Securing a permanent 120,000-tonne quota in Algeria would provide a stable, high-volume market for Ugandan coffee, protecting local farmers from global market volatility while strengthening intra-African trade under the African Continental Free Trade Area (AfCFTA).
The post Inside Uganda’s Multi-billion Coffee Deal with Algeria as Museveni’s Envoy Alintuma Nsambu Pushes for 120,000 Tonnes Export Mark appeared first on Watchdog Uganda.

