Country Report Burundi February 2011

The domestic economy: Coffee and tea earnings are up

The Autorité de régulation de la filière cafe du Burundi (ARFIC) has forecast that the 2010/11 crop will be 31,000 tonnes, significantly higher than in 2009/10, when production fell to 6,381 tonnes. Coffee harvests are cyclical, with good years generally alternating with poor ones, and this season's harvest forecast is in line with production in 2008/09.

Prices for the national coffee crop have been rising in recent months, in line with global trends, reaching US$4.1/kg in December, although this is still much lower than the price for branded, specialty coffees of the kind Rwanda now produces, that can sell for US$22/kg and upwards. The Office du thé au Burundi (OTB), meanwhile, reported in late December that earnings from the sector have been hit by falling international tea prices, but that nonetheless total revenue for January-November 2010 was US$16.9m, better than the US$14.2m earned for the same period the year before, owing to higher volumes and improved quality.

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