Ethiopian coffee exporters have reported clashing with producers due to their failure to pay for the coffee they buy on time. The Ethiopian Coffee and Tea Authority head stated that they have completely solved this issue by shortening the coffee marketing chain.
Abera Mandefro, a coffee supplier, explained that they receive coffee from producers and deliver it to exporters. However, the exporters have not been making timely payments to the suppliers.
This delay in payment from exporters has prevented the suppliers from being able to pay the producers on time, leading to unnecessary conflicts. Abera Mandefro stated that even when exporters contract to pay on time, they are unable to fulfill the timeline.
On the other hand, coffee exporter Anehar Giad acknowledged the issue but claimed it was caused by the suppliers providing coffee samples of different quality than what they deliver. This quality discrepancy leads to delays in payment as Ethiopian coffee exporters dispute the product.
To resolve the problem, Anehar Giad suggested that suppliers need to ensure the delivered coffee matches the sample they provided. He stated that exporters must pay the full amount on time.
Interestingly, the head of the Ethiopian Coffee and Tea Authority, Dr. Adugna Debala, said they have completely resolved the payment issue that existed a few years ago. He explained that the direct trading system they established between producers, suppliers, and exporters has enabled timely full payments to suppliers, solving the previous problems.
Moreover, Ethiopia announced that it had exported a record-breaking amount of coffee to international markets in June 2024. The Ethiopian Coffee and Tea Authority reported that the country supplied 46,000 metric tons of coffee during this period, generating a revenue of $218 million. Read More…
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