Kenya Co-operative Coffee Exporters Limited (KCCE) was founded on 25 th June 2009, registered as a Co-operative Society under the Co-operative Societies Act of 2004 and licensed as a Coffee Marketing Agent by Coffee Board of Kenya (current Coffee Directorate).
The establishment of Kenya Co-operative Coffee Exporters Limited (KCCE) was supported by the Government under the Ministry of Co-operative Development and Marketing in response to the dire need for Kenyan coffee farmers to have more control over marketing of their produce in order to realize higher net returns. It was formed to address the various challenges that were facing the coffee sector related to production, quality, marketing and value addition of coffee.
The highest organ of the Society is the AGM attended by the shareholders and the Board. According to KCCE registered by-laws, the rights of the members are exercised through their elected delegates/authorised representatives who have the right to attend and participate in decision-making and vote at all general meetings of the Society.
The KCCE structure comprises of the following; –
(a) The Annual General Meeting (AGM) – Comprises of 74 representatives from 74 co-operatives, and 14 Delegates from Co-opholdings.
(b) The KCCE Board – The delegates in turn have elected 10 Directors to represent them at the National level. 6 Directors represent the Coffee Regions elected at the grassroots, and 4 are from Co-opHoldings (the anchor shareholder). The Directors in turn have elected the Chairman and the Vice Chairman. The Board has 12 Directors who include the Commissioner for Co-operatives and KCCE Managing Director.
(c) Subsidiaries Boards – KCCE has two subsidiaries; Kenya Co operative Coffee Millers and Kenya Co-operative Coffee Dealers. The Board has appointed Directors to these subsidiaries to provide leadership.
(d) Management – The Chief executive Officer is the link between the Board and the Management. The CEO is responsible for the day-to-day management and operation of the society. The Management has 53 employees and it has a relative flat structure for ease of communication. In addition to the two subsidiaries, KCCE has distinctive Departments; Field services that support farmers in production, processing of coffee for markets and relationship management; Logistics Department that handles warehousing of coffee, stocks management and shipping; Commercial Department that handles Quality assurance, and trading of coffee that includes price determination, contracting for direct sales and cataloguing for the local coffee auction; Finance and administration for accounting, budgeting, payments to farmers, and staff management.
KCCD is a wholly owned subsidiary of Kenya Cooperative Coffee Exporters and whose mission is to add value to and package pure Kenyan Arabica coffee for both the local and export markets. KCCD acquires all its coffee from the Nairobi Coffee Exchange. Thereafter, it is roasted, ground and packaged. Throughout the whole process, KCCD acquires the right quality of coffees to allow for the perfect Shiriki blends that bring out the right Kenyan coffee attributes.
KCCD’s vision is in line with the overall KCCE mission of a prosperous small scale coffee farmers who is in control of their business. KCCD’s core values are:
- Quality- Delivering a high quality product consistently.
- Customer Service- Enthroning the customer and keeping our promise.
- Integrity- Telling the truth always.
Kenya Co-operative Coffee Millers (KCCM)
In order to facilitate service delivery to farmers, Kenya Co-operative Coffee Millers was established. It currently operates a dry mill in Sagana: the heart of the coffee growing region.
The key achievements have been the ability for the farmer to follow their produce through the dry milling process. KCCM has been able to achieve reduced milling loses and transparency in grading.