| Abstract: | This study seeks to examine the factors affecting export performance of Oromia coffee
farmers’ cooperative union. To address the objective, descriptive as well as explanatory
research design employed. To acquire the intended information the study used different data
collection instruments mainly self-administer questionnaire and semi-structure interview. The
study sample covered 138 respondents that randomly selected from members of
representatives of general assembly and permanent employees found in OCFCU head office
in Gelan, Oromia. The data collected analyzed with the aid of descriptive statistical
techniques and regressions analysis using SPSS Version 22. The study found that the coffee
export performance of the OCFCU is moderate and not significant changes were observed on
export performance of the OCFCU during the last five years (2017/18 – 2021/22). The results
showed that export-marketing performance of OCFCU critically hampered by lack
technology innovation, the problem of meeting importers quality standards, low value
addition to exportable coffee and export barriers. As well as lack of access to better coffee
varieties, inefficiency in gov’t institutions in improving export procedures, lack of good
agronomic practices among union members, the presence of lower price in world coffee
market, coffee price movements, climate change and coffee wilt disease. According to the
findings, six of the nine factors examined in this study (product characteristics, union-specific
characteristics, export marketing characteristics, environmental factor and financial access)
are significant in predicting the export performance of the union. More so, despite
aforementioned challenges, the study identified prospects concerning the future coffee export
performance of union that among other include, the potential of the country to produce and
supply differentiation coffee products like, fine specialty, relatively low labor costs, the
recent economic reform and process of liberalization. As well as increasing in coffee demand,
the commitment and strength of management of the union are opportunities identified by
respondent in relation to coffee export performance of union. Based on the finding the study
recommends the union to maximize the existing opportunities at hand and address the
aforementioned challenges through collaborative and deliberate action. |
