Prices of coffee are expected to remain on the low as leading traders continued to feel the pinch of restricted credit flows triggered by the current global economic turmoil.

He said the credit shortage caused by the financial crunch was also affecting producers, who are likely to be forced to reduce their expenditures on investment and maintenance, with a possible reduced supply in the medium term.

The Kenyan coffee industry has not been spared the pinch and prices have kept on a nosedive in the last two months, prompting officials of the weekly Nairobi Coffee Exchange (NCE) to try and appease disillusioned growers.