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Logisticians keen to address fragmentation challenges in the industry

FILE PHOTO: Freight trucks

Kampala, Uganda | THE INDEPENDENT | Uganda freight forwarders are urging industry players to come together and speak with one voice on issues that affect the industry.

According to Hussein Kiddedde, the Chairman Uganda Freight Forwarders Association (UFFA), the industry is fragmented which means that they don’t know their members and their key concerns.

He says the launch of the national logistics platform in 2017 has help them advocate some issues but fragmentation continues to dog the industry.

Kiddedde said the fragmentation of the industry creates significant difficulties in the quantification of those involved in the industry, the services these small companies can provide and the skills required to grow the industry.

He was addressing journalists in Nakasero Kampala on Tuesday where he announced the second Regional logistics expo 2019 scheduled for August 22, 2019.

The expo is expected to connect industry players, discuss challenges and opportunities that the industry must confront.

Kiddedde said they would continue advocating to see Uganda become a regional logistics hub as the country already acts as a transit place for different countries including DRC, South Sudan, and Rwanda.

A logistics hub is a center or specific area designated to deal with activities related to transportation, organization, separation, coordination and distribution of goods for national and international transit, on a commercial basis by various operators.

Charles Kareba, the Managing Director Kargo International, said like Dubai, Uganda can position itself as a key logistics center for the neighbors.

This calls for the enabling regulation of the players to iron out quacks, and friendly infrastructure including roads and airports.

Uganda ranks at 72nd on the World Bank’s Logistics Performance Index (LPI) 2018 but behind Kenya (68th) and Rwanda (65th).

Kenya has access sea ports while Rwanda has worked on their regulations and online processes. This makes business movements swiffer.

Uganda has poured billions of shillings in roads, electricity, and the national airline that are key ingredients for a business hub.

The country is constructing another international airport in Hoima. This infrastructure could be key to transforming Uganda into a logistics hub.

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