Uganda's Coffee Industry Faces EU Deforestation Regulation Challenge
Uganda's coffee industry, a vital contributor to its economy, faces a significant challenge in complying with the EU Deforestation Regulation (EUDR). The EUDR, effective from December 31, 2020, requires proof that coffee was not grown on deforested land. With Europe accounting for approximately 72% of Uganda's coffee exports, totaling around 193,000 metric tons in 2023, and projected to reach 6.5 million 60kg bags by 2025/26, the regulation has strategic significance.
Companies like Osapiens and Beyco are stepping in to help Ugandan coffee farms comply with the EUDR. Osapiens' platform, Trabocca, verifies supplier and farmer data for transparency and risk assessment, while Beyco provides a farmer platform with geo-data traceability down to individual plots. These tools are crucial as Uganda is classified as a 'standard risk' country under the EUDR, requiring exporters to carry out full due diligence, including geolocation of every plot, proof of legality for land and labor, and a detailed, verifiable Due Diligence Statement (DDS) before shipment.
The challenge lies in Uganda's coffee production landscape, with much of it coming from smallholder farmers and cooperatives with limited digital infrastructure and informal land records. These factors make compliance with the EUDR's digital traceability requirements complex. However, digital traceability tools are emerging to simplify this process. Our product, for instance, offers mobile-first farm mapping, automated DDS generation, real-time compliance alerts, and blockchain-backed traceability.
The EU Deforestation Regulation presents a significant hurdle for Uganda's coffee industry, but it also presents an opportunity for technological innovation. With the EU market being so crucial to Uganda's coffee trade, the adoption of digital traceability tools is not just a compliance issue but a strategic necessity. These tools can help Uganda's coffee supply chains meet the EUDR's requirements efficiently, ensuring the continued success of Uganda's top agricultural export.
