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Tanzania Seen by Coffee Board Almost Doubling Output in 2012-13

Feb. 14 (Bloomberg) -- Tanzania may almost double coffee output in the 12 months through June on beneficial rain, Adolph Kumburu, director general of the national coffee board, said.

Production may rise to 65,000 metric tons from 33,400 tons in 2011-12, Kumburu said in an interview at a coffee conference today in Kampala, Uganda’s capital. Robusta coffee may account for 30,000 tons, versus 11,500 tons a year earlier, he said.

East Africa’s third-biggest economy plans to raise production to 80,000 tons by 2016 as new trees are planted, according to the board. Coffee demand is growing about 2.5 percent a year, the International Coffee Organization estimates.

“We want to take advantage of growing global demand,” Kumburu said. “Coffee is one of the sectors we are using to improve household incomes.”

Tanzania, which consumes about 3 percent of its output, earned $235 million from coffee exports in 2011-12, according to data from the board. The U.S., Japan and Germany import the beans, the data show.

Tanzania harvests its crop starting in April. Arabica is grown in the northern and southern regions and robusta is more prevalent in the northwestern region known as Kagera.

To contact the reporter on this story: Fred Ojambo in Kampala at fojambo@bloomberg.net

To contact the editor responsible for this story: Paul Richardson at pmrichardson@bloomberg.net

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