By Nathan Etengu
Bugisu Cooperative Union (BCU) made a net profit of sh130.8m in 2002/2003 trading season, much lower than the previous yearâ€™s sh486,949,620.
The board chairman, Stephen Wakyaya, told the BCUâ€™s 47th annual general meeting at Mt. Elgon Hotel recently that poor quality coffee contributed to the decline.
Wakyaya said BCU spent sh87m to hand-sort the poor quality coffee delivered to the factory.
He said BCUâ€™s turnover was sh6.29b compared to the previous yearâ€™s sh6.55b.
Wakyaya told the 312 delegates from nine Arabica Coffee-growing zones in Bugisu that BCU spent much on electricity.
He said the low productivity and international coffee prices also contributed to reduced net profit.
Wakyaya said the union had re-scheduled for 10 years its $1.6m debt owed to the Swiss-based Jobbing Field Properties Limited.
The debt was used to service an outstanding loan owed to the Uganda Development Bank and the defunct Uganda Commercial Bank.
Wakyaya said BCU would pay $15,000 per month at a 6% interest.