1. Investment Opportunities in the
Ugandan Agriculture Sector
Presentation
by
Hon. Hope R. Mwesigye
Minister of Agriculture, Animal Industry and Fisheries
at the EMRC 2010 Agribusiness Forum
3rd – 6th October
Speke Resort Munyonyo, Kampala
2. Introduction
• Special welcome to delegates to the Uganda
Country Special session
• Appreciate the EMRC continued cause to
promote Agricultural Development in Africa
3. Agriculture in Uganda
• Agriculture most important
sector in Africa
• 22% of Uganda’s GDP
• 77% of Uganda population
depends on Agriculture
• 48% of total Uganda
exports
• Agriculture led growth key
for Uganda’s Development
4. Agricultural policy options supportive to
investment in the agricultural sector in Uganda.
-
Enhancing production and productivity
Strong regulation and quality assurance
Supportive physical infrastructure
Pests and disease control
Promoting investments in agro-processing and
value addition
- Reforming and strengthening sector institutions
- Enhanced surveillance and monitoring of the water
bodies
5. Overall Macro Policy framework
Government has put in place sound macro
economic framework conducive for investment
e.g. liberalization, privatization, incentive
regimes, abolition of export taxes, investment
guarantees, externalization of funds, and setting
up of Uganda Investment Authority as a one stop
centre for investor services.
6. Agricultural Sector Objectives
• Increase incomes of farming households by
increasing production and productivity
• Ensure household food and nutrition security
• Create on-farm and off-farm employment
opportunities
• Promote value-addition to agricultural products
• Promote domestic and external trade in
agricultural products
7. Why invest in the Ugandan agricultural sector
• Rising domestic, regional and international
markets for agricultural commodities
• Rising global demand for food; an opportunity
for increased production
• Renewed support of agriculture at national,
continental and global levels
• Membership to bigger market, EAC, COMESA,
EU, AGOA, etc
8. Investment opportunities in the
Agricultural sector in Uganda
1. Dairy and dairy products
(1.5 bn lts annually with
potential to more than double)
- Powdered milk production
- Flavoured and UHT Milk
- Production of butter and ghee
- Cheese production
- Cream and ice-cream
- Establishment of collection centres and
distribution facilities, etc.
9. Meat and meat products
• Beef exports; (12 m cattle, 13 m Goats, 38m poultry, all with
potential to more than double)
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Modern abattoirs
Leather processing
Small ruminant production
Goats and chicken
Animal feeds processing and distribution
Commercial breeding and production of semen
for local and export market
10. Fisheries sub sector
i.
Manufacture of value added fish products
e.g. canned fish, fish sausages, fish soups,
etc; (382,000mt of fish landed annually)
ii. Aquaculture development – premium
species e.g. cage fish, eel fish, etc
iii. Leather processing for export
iv. Dry/smoked fish for local and regional
markets
11. Cotton and textiles
• High class textile manufacture especially
for regional markets (Potential of 500,000 bales
annually)
• Mixed fibre production e.g. fibre yarn and
fabrics
• Tailoring and designing school on large
scale and commercial basis
12. Fruits and Vegetables
• Processing of organic fruits and
vegetables for export
• Processing of fruit and vegetables
• Export of dehydrated fruits
• Export of fruit concentrates
13. Floriculture
• Industry growing at a fast rate of 25%
in a year
• Expansion of Rose industry
• Growing of other floriculture plants
other than roses
• Manufacture of green house plastics
• Manufacture of packing materials
14. Cocoa, Coffee, Tea
• Establishment of high value processing plants
- Coffee; Uganda 9th in the World and 2nd in Common
Wealth.
• Cocoa – 15,000mt with potential to double
• Branding of Ugandan tea – Sold at Mombasa auction
and used to blend other teas.
15. Agribusiness services
(i) Cold chain
(ii) Packaging
(iii) Cargo freight
(iv) Inputs manufacture; e.g. tractors, vaccines,
irrigation equipment, chemicals
(v) Agricultural Insurance
(vi) Establishment of an agricultural bank
(vii)Construction of warehouse chain facilities
across the country.
16. Other opportunities in the sector
• Honey processing for export
• Cassava processing for industrial starch
both for local and external markets
• Packaging of beans and pulses for export.
17. Some success stories of Agribusiness projects
• Uganda Breweries linkage with barley
Commercial Farmers Association – Production
of beers
• Kinyara Sugar Company – Linkage with sugar
commercial outgrowers – sugar production and
processsing
• Sameer Agriculture and Livestock Ltd. – Dairy
processing, Dairy cooperatives
• Tianjin Machinery Company (U) Ltd. – Farm
Inputs Manufacture
18. Success stories Cont’d
• BIDCO Palm Oil Project – Vegetable Oil
Production and processing
• Kaweeri Coffee Project – Coffee production and
processing
• Green Fields (U) Ltd. – Fish processing
