The New Kenya Planters Cooperative Union (New KPCU) has launched an ambitious 2023–2027 strategic plan aimed at increasing coffee farmers' earnings from Kes70 (US$0.54) to Kes135 (US$1.04) per kilo by 2027. The Kes7.9 billion (US$61.1M) plan focuses heavily on revamping old warehouses and enhancing efficiency through public-private partnerships (PPPs). These initiatives are expected to bolster farmers’ bargaining power with buyers, leading to better returns. To fund the plan, New KPCU seeks financial support from the government under the Medium-Term Expenditure Framework (MTEF), while also mobilizing additional resources from development partners and internal revenue streams.
A phased approach will drive growth in both farmer earnings and cooperative revenue. By 2027, farmers’ earnings are projected to increase incrementally to Kes135 per kilo, while New KPCU’s revenue is expected to rise from Kes135 million to Kes600 million. The cooperative will prioritize activities such as agronomy support, coffee marketing, and the Coffee Cherry Advance Revolving Fund (CCARF), alongside modernizing milling and warehousing facilities. Digitizing company processes and expanding the market share from 3 percent to 14 percent are also key targets.
Since its establishment, New KPCU has made significant strides, including disbursing over Kes1 billion (US$7.7M) under CCARF to benefit 90,000 farmers and achieving a 300 percent increase in coffee milling and marketing volumes. The strategic plan builds on these successes to improve the livelihoods of coffee farmers and strengthen the cooperative's position in Kenya’s coffee industry.
