Jiwaka coffee export signals major economic boost for province

Jiwaka will now see an increase in its internal revenue, boosting its economy through coffee exports.

This economic boost is becoming evident as Wahgi Mek Plantation Ltd begins exporting its 250 tonnes of green bean coffee currently in production.

The first container shipment, containing 300 bags valued at K600,000, travelled to Lae for overseas shipment on Tuesday.

During the launch of Wahgi Mek’s first coffee export overseas on Tuesday, May 05th, Board Chairman of WMPL, Gabriel Tai, told the public that WMPL has successfully transitioned from setup to commercial operations.

Mr Tai said that, out of the K20 million allocated by the National Government through the Jiwaka Provincial Government, management has only spent K5 million on purchasing coffee cherries and has already produced 250 tonnes of green bean coffee.

“An expected K8.7 million in FOB [Freight on Board] sales is now ready for export overseas, generating a positive gross margin and net profit.”

Mr Tai added that this inventory-to-sales conversion is the immediate lever to sustain operations while long-term rehabilitation and processing investments are phased in.

Jiwaka Provincial Governor, Simon Kaiwi, who officiated the ribbon cutting of the first lot of green bean containers on Tuesday, was satisfied with the management in successfully delivering what his government had anticipated.

Governor Kaiwi said the revival of WMPL is one of his key policy priorities and that he has devoted the last three years to securing funding for the project.

He said the occasion marked another important day in celebrating the revival of Jiwaka’s economic hub.

Governor Kaiwi also commended the management and staff for their efforts in effectively utilising the funding to achieve results.