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Buganda, Uganda Breweries extend Ngule deal

CHEERS: Waweru (left) and Mayiga toast to an extended partnership between Buganda Kingdom and UBL

Kampala, Uganda | THE INDEPENDENT | Buganda Kingdom, through its investment arm, Majestic Brands has today extended a partnership with Uganda Breweries Limited (UBL) to manufacture Ngule, the kingdom’s official beer. The contract was signed at Bulange Mengo by the leadership of Majestic Brands and Eunice Waweru, Finance and Strategy Director of Uganda Breweries in the presence of Katikkiro (Prime Minister) Charles Peter Mayiga.

In January 2016, UBL and Buganda entered a partnership to produce Ngule, the kingdom’s official beer under a revenue sharing agreement that is beneficial to both entities.

“Through this partnership, we are keen on job creation and generating wealth for His Majesty’s subjects. The product is manufactured using local materials sourced from farmers with the purpose of raising household incomes and alleviating poverty. Ngule is one of the kingdom’s innovations (obuyiiya) which is a key agenda on Buganda’s 5-year strategic plan,” said Mayiga.

Ngule is made from local ingredients; cassava and sorghum, which are exclusively sourced from Ugandan farmers through UBL’s Local Raw Materials Program. Sold at a recommended retail price of sh2,500, Ngule is one of the most affordable beers on the market.

“This extension is a demonstration of our commitment to investing significantly to support the growth of Ngule, a home grown brand. The product is affordably priced and well poised to grow given its market potential to offer quality and value to consumers,” said Eunice Waweru, Finance and Strategy Director, Uganda Breweries.

Since launch, Uganda Breweries has paid the kingdom royalties worth over sh1.062 billion from revenues earned from Ngule, in accordance with contractual obligations. Ngule is a Luganda word that means ‘crown’ or ‘reward’.

“This partnership was one of our solutions to raising income levels for both the kingdom and its people and I can confirm that it has been mutually beneficial” said Charles Peter Mayiga.

The Katikkiro said Ngule is one of the many initiatives of the kingdom and urged the people to continue supporting their King. The beer was launched in January.

Ngule is one of the most affordably priced beers on the market, a deliberate decision by UBL to get more Ugandans consuming formal beer and moving away from illicit alcohol that is of questionable quality and potentially hazardous.

“The positive outcomes from this beer have not only been felt by the kingdom. Employment opportunities for distributors, sellers and farmers have been created in Buganda. We have also been able to pay taxes to the national treasury thereby increasing incomes to the country,” Mayiga concluded.

Waweru commended the Buganda Kingdom for being valuable partners which has led to a budding partnership that has also extended to joint community initiatives.

“We have worked with both the Kabaka Foundation and Nabagereka Foundation establishing joint projects to improve health and access to clean water and sanitation facilities; benefitting an estimated 26,000 people. We look forward to extending this partnership in Environmental and Social aspects to improve the wellbeing of the communities which we serve,” Waweru added.

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