Six giant European companies control the multi-billion shilling coffee business in Kenya, raising concerns about possible price manipulation. With coffee prices at the auction only a fraction of the market prices - which hurts farmers - the Government has recommended the formation of a coffee pricing committee.

However, the proposal is being fought by what the Government has termed forces that have long benefited from the over-regulated market.

Through various subsidiaries, the six companies have seized control of the value chain of the prized bean from the farm to the consumer’s table. The firms collectively bought around 70 per cent of the beans, worth Sh16 billion, sold through the Nairobi Coffee Exchange for the financial year ended September 30. Analysis of past trading data confirms the dominance was worse in earlier years, dating back to colonial times.

Read more at: https://www.standardmedia.co.ke/business/article/2001277882/how-foreigners-control-coffee-trade-to-farmers-disadvantage