Uganda: Cinnamon Market 2024

Cinnamon Market Size in Uganda

The Ugandan cinnamon market amounted to $X in 2022, therefore, remained relatively stable against the previous year. Overall, consumption posted significant growth. Cinnamon consumption peaked at $X in 2016; however, from 2017 to 2022, consumption remained at a lower figure.

Cinnamon Production in Uganda

In value terms, cinnamon production stood at $X in 2022 estimated in export price. Overall, the total production indicated a resilient expansion from 2012 to 2022: its value increased at an average annual rate of +6.6% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production increased by +1.7% against 2019 indices. The growth pace was the most rapid in 2016 when the production volume increased by 47% against the previous year. As a result, production reached the peak level of $X. From 2017 to 2022, production growth remained at a lower figure.

The average yield of cinnamon (canella) in Uganda was estimated at less than X kg per ha in 2022, leveling off at 2021. Overall, the yield saw a relatively flat trend pattern. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2022, the cinnamon harvested area in Uganda totaled less than X ha, remaining constant against the year before. In general, the harvested area showed a relatively flat trend pattern.

Cinnamon Exports

Exports from Uganda

In 2022, after five years of growth, there was significant decline in shipments abroad of cinnamon (canella), when their volume decreased by -18.6% to X tons. In general, exports saw a precipitous contraction. The growth pace was the most rapid in 2021 when exports increased by 52% against the previous year. The exports peaked at X tons in 2012; however, from 2013 to 2022, the exports remained at a lower figure.

In value terms, cinnamon exports contracted to $X in 2022. Overall, exports faced a precipitous curtailment. The growth pace was the most rapid in 2020 when exports increased by 27% against the previous year. The exports peaked at $X in 2012; however, from 2013 to 2022, the exports remained at a lower figure.

Exports by Country

India (X tons), the UK (X tons) and Germany (X tons) were the main destinations of cinnamon exports from Uganda, together accounting for 79% of total exports. Kenya, the United Arab Emirates and Denmark lagged somewhat behind, together comprising a further 5.6%.

From 2012 to 2022, the biggest increases were recorded for Kenya (with a CAGR of -20.3%), while shipments for the other leaders experienced a decline.

In value terms, the largest markets for cinnamon exported from Uganda were India ($X), Germany ($X) and the UK ($X), together comprising 74% of total exports.

In terms of the main countries of destination, Germany, with a CAGR of -22.8%, saw the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced a decline.

Export Prices by Country

The average cinnamon export price stood at $X per ton in 2022, rising by 15% against the previous year. In general, the export price recorded a strong increase. The most prominent rate of growth was recorded in 2016 when the average export price increased by 56% against the previous year. As a result, the export price reached the peak level of $X per ton. From 2017 to 2022, the average export prices remained at a somewhat lower figure.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was Denmark ($X per ton), while the average price for exports to Kenya ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Denmark (+42.6%), while the prices for the other major destinations experienced more modest paces of growth.

Cinnamon Imports

Imports into Uganda

In 2022, the amount of cinnamon (canella) imported into Uganda declined to X tons, shrinking by -6.9% on the previous year. Overall, imports, however, recorded significant growth. The pace of growth was the most pronounced in 2017 when imports increased by 313%. Over the period under review, imports hit record highs at X tons in 2021, and then dropped in the following year.

In value terms, cinnamon imports reduced dramatically to $X in 2022. Over the period under review, imports, however, recorded a significant increase. The pace of growth appeared the most rapid in 2017 with an increase of 722% against the previous year. Over the period under review, imports hit record highs at $X in 2021, and then fell rapidly in the following year.

Imports by Country

In 2022, Kenya (X tons) constituted the largest cinnamon supplier to Uganda, with a 45% share of total imports. Moreover, cinnamon imports from Kenya exceeded the figures recorded by the second-largest supplier, the United Arab Emirates (X tons), twofold. The third position in this ranking was taken by China (X tons), with a 19% share.

From 2012 to 2022, the average annual rate of growth in terms of volume from Kenya amounted to +155.9%. The remaining supplying countries recorded the following average annual rates of imports growth: the United Arab Emirates (+80.5% per year) and China (+99.8% per year).

In value terms, Kenya ($X) constituted the largest supplier of cinnamon (canella) to Uganda, comprising 79% of total imports. The second position in the ranking was taken by the United Arab Emirates ($X), with a 14% share of total imports. It was followed by China, with a 3.2% share.

From 2012 to 2022, the average annual growth rate of value from Kenya totaled +188.5%. The remaining supplying countries recorded the following average annual rates of imports growth: the United Arab Emirates (+103.2% per year) and China (+95.0% per year).

Import Prices by Country

In 2022, the average cinnamon import price amounted to $X per ton, reducing by -23.6% against the previous year. In general, the import price, however, continues to indicate a strong increase. The most prominent rate of growth was recorded in 2021 an increase of 107% against the previous year. As a result, import price attained the peak level of $X per ton, and then dropped dramatically in the following year.

There were significant differences in the average prices amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was Kenya ($X per ton), while the price for Tanzania ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Kenya (+12.7%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform