Coffee entrepreneur strikes deal with Total Uganda

City business man and coffee entrepreneur, Andrew Rugasira, has signed a five year memorandum of understanding with total Uganda, allowing him to operate a coffee shop at all Total fuel stations in the country.

The deal, according to Rugasira will provide a platform for growth in domestic coffee consumption, said to be standing at 200,000 bags per annum.

"Our domestic coffee consumption is still low because investment in this sector is still lacking. Once a platform such as this is provided, many Ugandans will come out to consume a cup and this is good for our economy," he said.

Rugasira, who is currently bidding for the presidency of the Uganda Chamber of Commerce, said domestic coffee consumption has been increasing over the last 10 years, peaking 200,000 bags with more than 40 coffee shops in Kampala alone.

"Now we want to spread the shops across the country, and change the statistics in domestic consumption of coffee," he said.

Statistics from the Uganda Coffee Development Authority show that Uganda exported 3.5 million bags of coffee (red beans each 60kg) earning the country sh671b ($266m) in 2012.

"It is humbling to see that such an international company can partner with local entrepreneurs like me, to promote the interests of our country, especially in line with the private sector," he said.

Rugasira said less than 20% of the country's coffee exports last year underwent the full value addition process of roasting and grinding.

"With a little value addition, the crop would have fetched us at least$ 443m (sh1.493trillion) on the foreign market with another $ 10m (sh 33.7b) in domestic consumption," he said.

Total's country managing director, Florentino de loppinot, said the partnership is in line with the company's policy which aims to support local entrepreneurs across their area operations in Africa.

"We will continue to support Ugandans in any way we can, because in doing so, we create jobs and contribute in another way to economic growth," he said.

He said the coffee shops are expected to create at least 400 new jobs over the next one year, with another 30 jobs created annually for the next five years.

Total is one of the major fuel retailers in the country, operating at least 125 outlets scattered all over the country.