K7mil for coffee subsidy

Business

THE Government and Eastern Highlands have put in an additional K7 million towards a price subsidy for coffee farmers in the province, according to the Coffee Industry Corporation (CIC).
CIC acting chief executive officer Charles Dambui said the price support initiative supported by Government to increase coffee prices was fixed at K6 per kilogramme for parchment coffee.
“To increase coffee production and meet higher goals, we must firstly help the people who own the coffee trees and I applaud the Government for giving this additional funding to increase the factory door price” he said.
Dambui said the Government had already allocated K10 million through CIC to support the coffee price.
“This funding will support the current market price to be fixed at K6 per kilo for Arabica coffee and K2/kg for cherry coffee.”
Dambui said there was a need for price support policy to be captured and delivered through partnership programmes with the district and provincial governments.
In Jiwaka, the Government through CIC will work with five registered and genuine coffee dealers who will pay a parchment price of K6/kg and cherry price at K2/kg.
The same approach will be done with three buying points in Western Highlands, two buying points in Enga and Chimbu, three buying points in Eastern Highlands, two in Morobe and one for East and West Sepik for Robusta coffee.
Dambui said CIC was already in dialogue with respective buying operators in the main coffee growing provinces and the disbursement of funds had commenced.
Meanwhile, Prime Minister James Marape announced at a recent event in Jiwaka that the commodity price support programme would receive K200 million annually following the initial support of K50 million last November.

One thought on “K7mil for coffee subsidy

  • What about the new growth areas such as East New Britain Province who are preparing for a bigger harvest in the coming months after the interventions of PPAP in coffee development in the Province. The price support will definitely encourage growers in ENB, NIP, WNB and Bougainville to plant more especially when they are competing against the dominating crops such as cocoa and copra. ENB being the buying depo for the New Guinea Islands provinces should be given the support at this time. The TIME is just RIGHT for such Intervention.

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