Gov’t: Uganda coffee not to face EU sanctions

Kampala, Uganda | THE INDEPENDENT | The Government has assured Ugandans, especially players in the coffee value chain, that the country’s industry will not be adversely affected by the European Union Deforestation Regulations (EUDR), which come into force on December 30 this year. The EUDR is a framework by the EU aimed at supporting environmental protection and curbing greenhouse gas emissions worldwide. It sets directives that agricultural exports to the EU must not have benefited from environmental destruction or deforestation.

While the regulations target exports like cattle (including beef), cocoa, coffee, palm oil, rubber, soy, and wood, Uganda’s concern is mainly about coffee because the EU buys 65 percent of the country’s commodity. The EUDR requires that by deadline day, all coffee producers hoping to have their coffee exported to the EU must have complied with the requirements that include being mapped for traceability purposes, the data on the farm and the farmer captured and included in the national database.

With less than four months to the deadline, there is worry that not much has been done and that the country stands to lose out. However, the Ministry of Agriculture, Animal Industry and Fisheries says that it is establishing systems to issue due diligence certificates to exporters by October 15th to meet EUDR requirements. Keimusya Rauben, Assistant Commissioner, Coffee Production, says that so far 1.5 million farmers and their farms have been registered, and that by that date all the farmers, estimated to be between 2.5 and 2.8 million, will have been captured in the database and issued with traceability numbers.

He was speaking at a multi-stakeholder dialogue organized by SEATINI Uganda, in partnership with the Department of Coffee Development under the theme: “Unpacking Uganda’s EUDR Risk Classification and Exploring Options for Compliance”.

In May this year, the EU classified Uganda as “Standard Risk Country” under the EUDR, which means that exporters must do full due diligence on the coffee farms, “a move with far-reaching implications for Uganda’s coffee exports,” according to SEATINI Uganda.

Commissioner Keimusya says this should not cause worry for Ugandans as it does not necessarily mean that Uganda is doing badly, and that on the contrary, the country is leading most of Africa in compliance with the EU regulations.

The December 30 deadline targets large coffee farmers, while the compliance deadline for smallholder farmers has been set at June 2026. Some farmers, however, are worried that many have not been reached out to, with others thinking registration of farmers is a ploy to capture them into the tax system.

Patrick Nayum Akab, a farmer in Mbale adds that even the other usual or expected extension work is no longer been felt at the grassroots since the Uganda Coffee Development Authority (UCDA) was abolished last financial year. “Farmer registration under EUDR in some coffee-growing areas lacks clear communication and sensitization, leaving many farmers confused about the process,” he says, adding that they are concerned that without proper sensitization, EUDR enforcement, such as restrictions on selling coffee due to deforestation, could negatively impact farmers.

However, Keimusya says the functions previously conducted by UCDA remain the same under the department of coffee development under the ministry, as all the former staff of the authority staff were incorporated in the new arrangement. Speaking at Jane Nalunga, the executive director of SEATINI-Uganda and also a coffee farmer, hailed the efforts of the government and other partners, but remains skeptical that many farmers remain ignorant and confused about this matter.

Nalunga also expressed worry that the readiness process by Uganda seems to be being driven by a focus on the large coffee farmers, yet a significant part of the product comes from the smallholder farmers, who need urgent information. According to her, the country should not be looking at the deadline of December because, as early as September, the exporters will already be buying coffee for the December export period. She is worried that for the farmers, the enforcement of the EUDR comes earlier than what is actually on paper.

The Ministry of Trade, Industry and Cooperatives is of the view that the local and continental coffee markets should be developed quickly to avoid the hitches that come with dealing with the international markets.

Georgina Nampeera Mugerwa, Acting Assistant Commissioner at the Ministry, says the African market offers dynamic opportunities for coffee value chain players, requiring coordinated efforts at national and regional levels to remain competitive.

“Trade facilitation initiatives, such as simplified customs procedures and the electronic single window platform, are helping ease coffee exports, especially important for landlocked countries like Uganda,” she said.   Under the EU Deforestation Regulation (EUDR), countries are classified based on their risk of deforestation when producing commodities like coffee, and this classification impacts the level of scrutiny during import into the EU.

High-risk countries face the most stringent compliance checks, while low-risk countries have the least. Standard-risk countries fall in between. The EUDR aims to ensure that products placed on the EU market are deforestation-free and legally produced.

Country Classifications 

Only four countries: Belarus, North Korea, Myanmar, and Russia are classified as “High Risk”, meaning that operators sourcing from these countries must conduct full due diligence and submit a due diligence statement.  At least 9 percent of EUDR goods from high-risk countries will be subject to checks by competent authorities.

The Standard Risk category has 50 countries, notably the world’s largest producers, including Brazil, Indonesia, Malaysia, and Uganda. Exporters getting products from standard-risk countries are also subject to full due diligence obligations, like those sourcing from high-risk countries, and must also submit a due diligence statement.

The difference is that only 3 percent of EUDR goods from standard-risk countries will be subject to checks by competent authorities. The majority of the countries (140) are in the Low-risk category, including all 27 EU states, the US, and China. Other Asian countries in this category include Laos, India, and Vietnam, which together accounted for 28.7% of European green coffee imports in 2023/2024.

In Africa, Rwanda, Kenya, and Burundi are also classified as low-risk, contributing a combined 1.6 percent market share.  Sourcing from low-risk countries allows for simplified due diligence. They are required to collect basic information and verify that there is no indication of sourcing from standard or high-risk countries. If no such risk is identified, a detailed risk assessment is not required.

However, operators must still submit a due diligence statement confirming compliance. Only 1 percent of EUDR goods from low-risk countries will be subject to checks by authorities, according to online resource Due Diligence Design.

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