- Global coffee prices declined sharply in 2026, triggering financial risk for Ethiopian exporters holding inventories.
- Exporters face losses as current prices fall below previously held stock purchase price levels.
- Coffee generates over $1 billion annually, remaining Ethiopia’s top foreign exchange earner.
- Large volumes of unsold stock increase exposure to price volatility and liquidity pressure.
- Authorities warn continued hoarding could amplify sector-wide financial losses.
- Exporters urged to release stocks immediately to limit further price-driven losses.
why it matters?
With over $1 billion in annual export value, price declines and stockpiling risks can significantly reduce Ethiopia’s FX inflows and strain exporter finances.