Abstract:
The overall aim of the study was to examine the productivity performance of coffee processing
industries. Methodologically, total sample size was 294 respondents. To select these sample size from
ten coffee processing industry systematic sampling methods were used. for data collection: interview,
questionnaire and focus group methods were applied. Moreover, for data analysis both descriptive
and econometric methods were used. Furthermore, productivity and logistic models were used to
analyze the study. Therefore, the study finding showed that employees working in industries were did
not have got incentives. Furthermore, concerning about total productivity of coffee supplied to
industry and its output minimum, maximum and average productivity are: 0.32, 0.44 and
0.37respectively. From productivity comparison between cherry coffee (wet method of processing) and
dry coffee (dry method of processing), dry method of processing is more productive than wet method
of processing. Therefore, it is strongly profitable, hiring employees those have good education
background level or providing continuous on work training for workers those working in coffee
processing industries by collaborating with local government, non-governmental organization and
coffee processing industry owners.
