The Nairobi Coffee Exchange is mandated to manage the coffee central auction in the country. To achieve its mandate as the manager of the trading floor and the overseer of the settlement of coffee sales proceeds as efficiently and to the benefit of the coffee industry, we are guided by the Crops Act, the Capital Markets Act, the Crops (Coffee) (General) Regulations 2019, the Capital Markets (Coffee Exchange) Regulations 2020 and the Nairobi (Coffee) Exchange Trading Rules 2024.
The Exchange is currently developing a 5-year strategic plan, as we desire to articulate the government’s vision and the BETA agenda in the agricultural sector and in particular, the coffee sub-sector as envisaged in Vision 2030.
The commitment of the Exchange is that it will be able to meet the needs of coffee stakeholders by embracing the best practices, improving the institutional capacity of the Exchange, engaging in strategic partnerships for the benefit of the trade and embracing technology through the implementation of the Strategic Plan.
Ms. Lisper Ndung’u
Chief Executive Officer
Integrity - Transparency - Accountability - Innovativeness - Professionalism
The first coffee auction was inaugurated in September 1935 when the first coffee was auctioned under KCA.
The function of coffee marketing was placed under the Coffee Marketing Board (CMB) which was established under the Coffee Marketing Ordinance No. 6 of 1946. In 1960 the Coffee Industry Ordinance and the Coffee Marketing Ordinance were merged to form the Coffee Ordinance Cap 333.
Following independence from the British in 1963, Kenya organised their coffee industry around a weekly government-run open auction system.
The coffee marketing function has evolved over the years around various legislations. Act 13 of 1971 abolished the CMB and consolidated the function of coffee marketing with the regulatory functions of the CBK. Since then, CBK controlled the industry up to July 2001 when a new Coffee Act was enacted to amend Cap 333 that specified new roles for CBK as an industry regulator.
The Coffee (General) Rules of 2002 gave an association the mandate to manage NCE. In 2006, section 62 of the rules was further amended to specify Kenya Coffee Producers & Traders Association (KCPTA) as managers of the NCE, until July 2013.
Via Legal Notice no. 79 of 2012, the amendment entrenched NCE in coffee law and the Exchange would be managed by an Exchange Management Committee as provided for by the Nairobi Coffee Exchange Trading Rules, 2012.
Presently, the Exchange is in a transition under the management of the Nairobi Coffee Exchange Transition Working Committee, focusing on implementing the Exchange’s role in the new regulatory framework.
THE NINE MEMBER WORKING COMMITTEE ON THE TRANSITION OF THE NAIROBI COFFEE EXCHANGE INTO THE COFFEE EXCHANGE PROVIDED UNDER THE CAPITAL MARKETS (COFFEE EXCHANGE) REGULATIONS 2020 AND THE CROPS (COFFEE)(GENERAL) REGULATIONS, 2019. ALSO PRESENT IS THE CEO; NCE
Large coffee estates cover more than five acres or produce over 20,000 kg of cherry annually for three years. They use advanced techniques and infrastructure for higher production and quality. Small coffee estates cover less than five acres or produce under 20,000 kg of cherry annually for three years. Often family-owned, they have limited resources but can still produce high-quality, coffee.
Coffee traders, licensed to buy clean coffee at the Exchange, handle export, local sale, or value addition. They facilitate coffee movement from producers to the market. Coffee exporters specialize in exporting clean coffee to international markets, adhering to regulations and standards for quality and traceability. Both traders and exporters connect Kenyan coffee producers with global consumers.
The Agriculture and Food Authority (AFA) in Kenya is a state corporation established under the Crops Act of 2013. It regulates, develops, and promotes the value chains of scheduled crops to enhance economic growth. AFA consolidates former regulatory bodies and oversees various directorates, including horticultural, nuts, food, industrial, coffee, and fibre crops
Smallholder farmers are growers who cultivate coffee on small plots, often less than five acres, typically relying on family labor. They usually join cooperatives or associations to pool resources and access markets more effectively. These farmers play a crucial role in the coffee supply chain, contributing to local economies and often focusing on sustainable and high-quality coffee production.
The United Nations Sustainable Development Goals (SDGs) are targets for global development adopted in September 2015, set to be achieved by 2030. All countries of the world have agreed to work towards achieving these goals.