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Ministry of Trade promotes cooperatives, agricultural zoning


President Museveni admires a product of Soroti Fruit factory. PHOTO PPU

NRM MANIFESTO WEEK |  The 2016 -2021 NRM Manifesto committed to Promote co-operatives and other associations together with the one village–one-product and the agricultural zoning policy for bulking and trade efficiency.

In fulfillment of this commitment, the Ministry of Trade, Industries and Cooperatives mobilized farmers to form Commodity Cooperatives, and so far 1083 Commodity Cooperatives have been formed along the following value chains:

Maize                                113

Cotton                11

Coffee                 353

Dairy                                  83

Livestock                           30

Rice                                    39

Beans                                16

Banana                   28

Cassava                             32

Soya Beans                       11

Irish potato                      39

Groundnuts                     14

Sim sim               05

Oil seeds                           211

Fish                                    67

Sugar cane                       31

Total                                  1,083

The challenge however has been Inadequate funding for technical support and ensuring compliance;  and lack of storage and value addition infrastructure; and low capitalization of most of these Cooperatives remain significant challenges

The Ministry strengthened the Uganda Development Corporation (UDC) in order to spearhead the establishment of strategic industries where the private sector interest has not been forthcoming for a long time. UDC Management team around 90% constituted; with the process of filling the few remaining vacancies in advanced stages.

UDC Portfolio Investments

UDC Portfolio Investments included Soroti Fruit Factory which was commissioned by H.E President Yoweri Museveni in early 2019 and is now operational. There are plans to re-model the mango process line of the factory in order to increase its operational competitiveness.

The two KHTL factories were commissioned and are now operating at 40% capacity; however the corporation in collaboration with KHTL is undertaking an intervention to facilitate the planting of an additional 10 million seedlings before the end of June 2021. Kayonza’s 3rd CTC tea line with a 600kg/hr   capacity line is now fully operational.

Feasibility study that will determine the viability and capacity of the envisaged Zombo CTC tea factory is ongoing. This is ongoing and facility will be prioritised next financial year.    Due diligence and stakeholder engagements aimed at exploring the prospects of undertaking investment partnerships in the cereals/grains sector, aquaculture, tea, etc. are ongoing. Several feasibility studies are being done to create a well-researched and analysed pipeline Project.

Co-investment process as regards the operationalization of the Moroto Ateker cement factory is ongoing. Exploration work being finalised Project requires mobilisation of resources USD 125 m.

In collaboration with NAADS, the corporation has embarked on the operationalization of the Yumbe fruit factory (technical commissioning complete); and operationalization of the Nwoya multi-fruit factory (EPC firm already identified). Commissioning expected  in the next fruit season in December



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