Coffee is one of East Africa’s most important exports, yet the past year has shown just how fragile the sector can be. Prices have swung sharply, reaching as high as $4.20 per pound before falling to $2.88 in July. For smallholder farmers and cooperatives across the region, these changes have made it nearly impossible to plan ahead, manage budgets or predict earnings. While high prices may seem positive at first glance, the real challenge comes from volatility itself. Without access to credit or tools to manage price risks, farmers are left vulnerable to sudden drops that can erase months of hard work.
To address these challenges and open new doors for opportunity, East African governments and businesses have come together to form the Coffee Advocacy Working Group (CAWG). This new platform brings together policymakers, coffee industry leaders, financial institutions and regional partners to find practical ways to support coffee farmers and businesses. It is designed to serve as a space where strategies can be discussed, coordinated and put into action. That means focusing not only on accessing global markets and advocating for fairer policies but also creating financial tools and training that can help farmers weather unpredictable conditions.
The initiative is part of a broader vision being championed by the International Trade Centre (ITC) through its MARKUP II project. ITC has decades of experience supporting small businesses across Africa and with the African Fine Coffees Association, it helped bring the Coffee Advocacy Working Group to life. The group first came together during early discussions at the African Fine Coffees Conference & Exhibition in Dar es Salaam in February. Its first official meeting took place on 16 April, followed by another on 16 July. These meetings made clear that there is both urgency and opportunity in working collectively to safeguard the livelihoods of coffee producers.
One key area of focus is how to manage risk more effectively. Coffee is one of the most traded commodities in the world but unlike large corporations, smallholder farmers often do not have access to the tools that can protect them from big price swings. This means that when markets fall, they face immediate and often devastating losses. Afreximbank and the Inter-African Coffee Organisation highlighted the importance of collaborative financial solutions that are tailored for farmers, as well as the need for reliable data and targeted training. Such resources could help producers better anticipate market shifts and make decisions that protect their incomes.
The group is now studying models from other countries and regions where coffee farmers have developed systems to cushion themselves from volatility. Whether through insurance schemes, new credit mechanisms or better collective bargaining strategies, these approaches could be adapted to East Africa’s context. By learning from these examples, CAWG aims to create tools that are accessible, affordable and effective for local farmers and small businesses.
The establishment of CAWG also shows the growing importance of regional collaboration in the coffee sector. For years, producers and exporters often worked individually, competing for access to markets and struggling against fluctuating prices. Now, there is a recognition that a unified, coordinated approach can provide far more stability and impact. By bringing together government agencies, private sector leaders and international partners, CAWG gives coffee stakeholders the chance to speak with one voice, ensuring that policies and financial mechanisms reflect the realities of the people who grow and trade coffee every day.
This collaborative effort also ties directly into the opportunities created by the African Continental Free Trade Area (AfCFTA). By removing barriers to intra-African trade, AfCFTA could open new regional markets for East African coffee, reducing reliance on traditional export destinations and giving producers more options. Combined with CAWG’s work on risk management, this could help coffee farmers diversify their buyers, stabilize incomes and ultimately strengthen their businesses.
The wider framework for this initiative is MARKUP II, a programme funded by the European Union and the East African Community. Its goal is to support small and medium-sized enterprises, improve livelihoods and boost export competitiveness across the region. By investing in value chains like coffee, it helps farmers and businesses not only compete globally but also trade more sustainably within Africa. The creation of CAWG is one concrete step in this journey, showing how coordination at the regional level can translate into real support for farmers on the ground.
For East Africa’s coffee farmers, the stakes are high. Coffee is not just a crop; it is a source of income for millions of families and a driver of local economies. By coming together to address volatility, strengthen financial tools and expand market access, the Coffee Advocacy Working Group gives farmers a better chance to thrive in an uncertain world. It is a reminder that even in the face of global challenges, collaboration at the regional level can deliver solutions that protect livelihoods, promote resilience and build a more sustainable future for one of Africa’s most important industries.
