After years of being banned from export to the European Union (EU) due to failure to meet safety and quality standards, the Ugandan pepper market has received a much-needed boost. The EU has lifted the ban on Ugandan peppers after a thorough examination process that proved they now meet the required standards, according to the Ministry of Agriculture, Animal Industry and Fisheries (MAAIF).

A statement by MAAIF dated December 22, 2023, announces that the peppers of genus Capsicum (other than sweet) originating in Uganda have been removed from Annex I to the EU Regulation 2019/1793. This is according to a recent communication received from the European Commission, Directorate-General for Health (DG SANTE).

The EU 2019 audit resulted in Ugandan peppers being moved to annex 1, which is the worst before a ban- this means increased controls, all peppers had to be checked thoroughly.

According to the letter from DG SANTE, the information available indicates a satisfactory degree of compliance, leading to the decision that official controls at a harmonized increased level by national competent authorities at the entry into the Union will no longer be carried out. Instead, routine checks will be performed, streamlining the process for Ugandan pepper exports to the European market.

The move is seen as significant for Ugandan farmers, as it will open up additional markets, maximize earnings and result in an overall economic boost. With the ban lift, Uganda is now allowed to provide peppers to the EU, its largest market and the revenue generated could help to create employment opportunities and reduce poverty.

The Permanent Secretary, Ministry of Agriculture, Animal Industry and Fisheries, Maj. Gen. David Kasura-Kyomukama said, “This positive development is a result of collaborative efforts between the Ministry of Agriculture, Animal Industry and Fisheries, and various stakeholders involved in the pepper production and export chain and reflects the commitment of the Ugandan government and its partners to ensuring the quality and safety of agricultural products for international consumers.” 

The decision is a positive move towards increasing trade relations between Uganda and EU member states and is expected to lead to more investment in the agricultural sector of the country. Ugandan farmers, who have been working on improving the quality of the peppers, have expressed satisfaction with the lifting of the ban and are ready to increase production in response to the new development.

“We welcome the news of the lifting of the restrictions on Uganda’s pepper exports to the EU. This is a sign that when the public and private sector work together on regulatory oversight and self-monitoring and when the private sector observes the SoPs a lot can be achieved. We must however remain vigilant so that we do the same for all FFV exports and not just at point of entry but also at exit points. We thank the NPPO and the private sector for giving us this early Xmas gift and we pledge our commitment to play our role as we rebuild the export so it can boost exports, jobs and incomes.” Fred Zake, Executive Director Hortifresh Association Uganda remarked.

For the EU consumers, the move also means access to a versatile ingredient, peppers, in their diet and presents a crop of potential trade opportunities that speaks to the benefits of globalisation and open trade.

Despite the ban lift, the EU has upheld its stringent standards to protect its consumers, warranting continued vigilance from Ugandan farmers to ensure their produce continues to meet the required regulations.

The lifting of the ban on Ugandan peppers by the EU is a win-win situation for both Uganda and the EU, as it leads to increased trade, reinforces the benefits of international cooperation, and contributes to the growth of the agricultural sector of Uganda.

Odrek Rwabwogo, Chairman of the Presidential Advisory Committee on Exports and Industrial Development (PACEID) applauded all the agencies, public and private, that have been working hard to achieve this milestone. “PACEID is delighted about the European Union lifting the ban on Ugandan peppers. This decision is a testament to the tremendous efforts made by our farmers and exporters in meeting international quality standards. This will open up new markets for Ugandan peppers in Europe, a region known for its high demand & premium prices.” Rwabwogo noted.

The removal of these restrictions is expected to enhance market access for Ugandan peppers in the European Union, contributing to increased export opportunities and economic growth for the country. The Ministry encourages all stakeholders in the pepper industry to maintain the high standards that have led to this favorable decision and to continue working towards the sustainability and growth of the sector.

The Uganda trade delegation yesterday met with the US Assistant Trade Representative for Africa, Ms. Constance Hamilton and the US special envoy to advance Human rights of the LGBTQI+ people, Jessica Stern. The meeting took place in Washington DC at the office of the US Trade representative, Ms. Catherine Tai. The Uganda delegation which included Dr. Olivier Kamanzi, Uganda trade representative in Chicago and Ambassador Roby Kakonge, was led by Odrek Rwabwogo, Chairperson of the Presidential Advisory Committee on Exports and Industrial Development (PACEID) and Senior Presidential Adviser on Special Duties.

Rwabwogo made a case for Uganda’s exporters who have for the last 23 years benefited from the Africa Growth Opportunity Act (AGOA) duty and quota free market access to the US and urged US government not use disproportionate force against an ally whose values and relationship have stayed firm on multiple fronts over the years. “Uganda has not violated any trade or human rights law. We continue under President Yoweri Museveni’s capable leadership to score on economic liberalism, supporting free enterprise, protecting our environment, making laws on food safety and building our trade standards”.

He said, “We have never lost our vigour for protecting minorities, workers and leading the charge on regional stability along with ending extreme poverty to keep our nation stable and growing”. He asked, “How can a government that promotes free enterprise, freed women and gave them education and representation along with people with disabilities and hosts over 1.6m refugees be called a violator of human rights of her people? It is a contradiction of mega proportion”.

Rwabwogo said, “We are your best friends for an open engagement with Africa but this has to be done in a respectful and dignified manner especially, on the matters of freedom and rights that you might have. Our leadership has been defenders and fighters for freedom of African people and all our allies and humanity since 1965”. He said Uganda takes exception at the weekly threats and statements sent against people who want to trade with Uganda or visitors, academicians and person to person exchange. These statements you issue to our allies and trading partners on a monthly basis are unacceptable way to communicate to allies and don’t show good will”.

He asked the US government not mix wrong perceptions picked from data sources that aren’t verifiable with our own systems and leaders and use them to judge us harshly. The US state department has lately issued travel advisories, proposed visa restrictions and threatened to remove Uganda from AGOA list, all in three months.

Rwabwogo said, “The US is an important ally and a big signaling market to us and the world in terms of raising capital and technology for enterprises. At USD 18trillion consumption on this market, there is nowhere else we want to be as Ugandans, the reason we have two trade representatives for Uganda in the Mid-west and why President Museveni visited you in December of 2022”.

He added, “If even some of your adversaries who are super powers keep coming here for conversations, why should Uganda be silent when you seem to want to destroy the little trade shoots that are coming up? These trade shoots give jobs to women and youth entrepreneurs who have boot strapped to build their businesses and should be protected from politics”

Uganda’s and US trade in the last three years averages UGX 1.9trillion (about USD550m) with a heavy trade imbalance in favour of the US that sells to Uganda aircraft parts, computers, used clothing, machine parts, generators etc. Uganda exports coffee, vanilla beans, chocolate, dairy products, fish etc. President Joe Biden in October wrote to the speaker of the US House of representatives, Mike Johnson seeking to terminate Uganda’s eligibility on AGOA list of countries in 2024 on account of the gay act passed by Uganda’s parliament in May. Uganda has increased its efforts for trade with the world aiming at USD 6bn in the next five years. PACEID has a target of USD 1bn on the US market and is opening trade hubs in key markets of the world.

Ms. Hamilton said Uganda’s anti homosexuality law ‘demonizes gay people and goes against the values President Biden’s government adheres to. She said, “words matter and this law and the words it uses horrifies many people in the US”. Rwabwogo explained the context of the law as an effort to protect children from the onslaught of curriculum and content that should not be exposed to minors. He asked for rescinding of the January 2024 deadline to allow for more engagement between the two countries in order to protect trade relations. Jessica Sterns raised concerns on what she called ‘documented attacks on gay people and arrests and property damage which causes fear to gay people’. Ambassador Kakonge agreed to follow up on the report from US special envoy on the human rights of the LGBTQ persons.

Dr Kamanzi, who is helping Uganda in Chicago to raise export credit funding and open markets for Uganda said, “I visit Uganda regularly and I have travelled to all corners of the country and I have not seen the claims being made here being committed in Uganda. On the contrary I live in South Side Chicago and I am an American citizen. I am sadly aware every weekend our city of Chicago loses 55 people to gun violence. Should we not be concerned about our internal US issues rather than using disproportionate power against a small peaceful country? He asked.

Earlier, the Uganda delegation which included exporters of leather bags (Seko designs/Arise Kollections), vanilla (Simons Vanilla), fruits and vegetables (Jacana fruits) were hosted by the Centre for International Private Enterprise (CIPE) who invited over 45 corporate business in the US, NGOs, civic groups to explain Uganda’s trade and democracy journey over the also couple of years. Some of the US companies and institutions that attended the meeting included Transformative Energy who are working on green energy projects in Uganda, Boeing Aircraft Corporation, manufacturers of fertilizers, producers of beverages, bankers, lawyers and the Africa Trade Development Center, activists for AGOA extension in Washington DC.

The Uganda delegation met the Hudson institute, members of Congress and address the Press later on Friday.

In a bold and strategic move, Uganda has set an ambitious target to increase its exports to the United States from USD 80 million to USD 1 billion by 2030. The Presidential Advisory Committee on Export and Industrial Development (PACIED) lies at the heart of this initiative, ensuring that Ugandan exporters have unfettered access to markets regardless of political or other forms of disagreements.

Delegation’s Efforts

The delegation, expertly led by PACEID Chairman Odrek Rwabwogo, is a testament to Uganda’s commitment to diversifying its export portfolio. Alongside Rwabwogo, notable figures such as Dr. Olivier Kamanzi, Dr. Dennis Matanda, and Uganda’s Ambassador to the US, Roby Kakonge, represent a united front. The delegation’s composition, encompassing members from the export community in industries like leather, fruits and vegetables, vanilla, and dairy, underscores the broad scope of Uganda’s export ambitions.

Key Meetings and Discussions

In a series of pivotal meetings, the delegation engaged with significant figures in the US trade landscape on 7th December 2023. A notable meeting with Ms. Constance Hamilton, Assistant US Trade Representative for Africa, and President Joe Biden’s special envoy on Human Rights of LGBTQI+ persons, highlighted the discussions’ depth and breadth. The agenda centered on fostering mutual interests, strengthening trade relations, and addressing human rights issues, reflecting a holistic approach to international diplomacy.

Economic Impact and Future Prospects

The drive to boost exports is more than just a trade strategy; it’s a lifeline for economic growth and job creation in Uganda. By expanding its export base, Uganda is not only looking to enhance its economic footprint but also to provide sustainable employment opportunities for its young population. The initiative, however, does not come without challenges. Navigating the complex waters of international trade, especially in a politically charged global environment, requires a delicate balance of diplomacy and economic savvy.

As Uganda embarks on this ambitious journey, the importance of maintaining robust and open trade relationships, even in the face of political disagreements, cannot be overstated. With a clear vision and a comprehensive strategy, Uganda is poised to not only meet but potentially exceed its export goals, paving the way for a prosperous future.

The Presidential Advisory Committee on Exports and Industrial Development (PACEID) on Wednesday, December 6, 2023 convened several ministries, departments, and agencies (MDAs) to discuss the TradeXchange, a digital export transformation platform being developed by Technology Associates at their offices along Yusuf Lule Road, Plot 23 in Kampala. The MDAs overwhelmingly pledged full support to the TradeXchange Platform that is key for Digitalization and growth of Uganda’s exports.

The orientation meeting with the MDAs was facilitated by PACEID so that Technology Associates could provide an update on the progress made thus far and to share a detailed plan, including the objectives, schedule, methodology and tool to be used during the Needs Assessment and requirements Gathering phase for stakeholder feedback and buy-in.

The key stakeholders in the meeting included officials from Ministry of Agriculture, Animal Industry and Fisheries (MAAIF), National Information Technology Authority Uganda (NITA-U), Uganda Export Promotion Board (UEPB), Uganda Coffee Development Authority (UCDA), Uganda Revenue Authority (URA), Hortifresh (FFV) Association Uganda and Ministry of Trade, Industry and Cooperatives (MTIC).

TradeXchange seeks to help exporters simplify trade processes and navigate complex procedures and regulations. Through this platform, Ugandan businesses will be able to connect with buyers and sellers worldwide, find competitive pricing and product opportunities, and submit and track electronic trade documents. All of these processes are streamlined using technology, resulting in time and cost savings for businesses turning to export.

The platform is intended to make a significant impact on the export industry in Uganda, as it tackles some of the most common barriers that local businesses face in the international market.

During the meeting, Technology Associates Chairman Girisch Nair highlighted TradeXchange’s potential to transform the entire Ugandan export industry, boosting the country’s export performance, and ultimately contributing to the country’s economic growth. He further emphasized the importance of support from MDAs in this process. “We need to come together as a nation to use TradeXchange to harness great technologies and move exports forward. This is very important as we embark on this project” stated Girisch Nair. He appreciated PACEID led by Chairman Odrek Rwabwogo for current strategies already being implemented to incentivize export-oriented businesses and initiatives.

Matthew Bagonza, PACEID Head of Administration/Operations expressed gratitude towards the MDAs and the private sector stakeholders for responding to the invitations to attend the orientation workshop. He asked NITA-U to provide guidance during this journey so as to avoid making mistakes. “We hope to establish an advanced sustainable national digital platform and ecosystem to manage Uganda’s trade activities across borders.”

Bagonza informed the meeting that Rwabwogo was unable to attend because he is currently out of the country on a similar cause making a case for Uganda’s exports. “Chairman is passionate about trade and exports in particular. He wants to improve our export earnings and is urging exporters to embrace the use of technology”.

Uganda has a target of USD 6bn in the next five years as export revenues across key products in selected markets.

PACEID Executive Committee Member Mahmood Hudda presented the Digitalization Master Strategy to the MDAs stating that its implementation will not only be crucial for Ugandan SMEs but also for larger exporters looking to expand their market reach. ”The collaboration between PACEID, Technology Associates and MDAs will be vital to ensure that TradeXchange fulfills its potential as a driver of economic growth for the Ugandan business community.”

Dr. Paul Mwambu, Commissioner- Crop Inspection and Certification at MAAIF welcomed the initiative noting that the engagement was good and timely adding that the ministry is looking forward to working with PACEID and Technology Associates to make TradeXchange a reality. “This platform will certainly improve our market access. Traceability will be better because we shall have actual data. This digitization process makes so much sense and speaks to all the challenges we are facing in export. I applaud Technology Associates and PACEID. MAAIF fully endorses what you have put on ground”.

He however cautioned that there must be due diligence. “This will help to know the key importers and exporters and what has been traded. Such information is required for us to make informed decisions regarding trade.”

Dr. Mwambu urged members to embrace the digital era as it reduces risks of forgery involving paper work saying that since going digital with E-phyto, interceptions have reduced by 97%.

Andreas Nocolaides, CEO- Great Lakes Coffee Uganda Ltd suggested that the developers of TradeXchange be sensitive when it comes to data collection as the data belongs to the farmers. “This is an amazing opportunity to have uniformity for brand Uganda. Transparency will transform our economy.” he expressed.

Godson Mwesigye, Ag. Assistant Commissioner, Uganda Revenue Authority- Customs pledged the tax body’s full support and requested that PACEID coordinates this project to ensure traders are abiding by the laws. “The integrity of our business people (exporters) must be checked. URA is here to fully support this project.”

NITA-U Director Collin Babirukamu reaffirmed their support and commitment to seeing platforms like TradeXchange succeed. “This TradeXchange project is a move in the right direction and it resonates with our E-single window. It will definitely help with export verification.”

Samuel Kawalya, Senior Trade Information Executive at Uganda Export Promotion Board (UEPB) emphasized the importance of the TradeXchange platform. “Companies do business but countries trade. We are ready to work together to ensure the country continues to do sustainable trade and also change the mentality of our business people and have a good reputation out there.”

The insights gathered during this workshop will be instrumental in guiding the project through its next phase as Technology Associates expressed its commitment to helping Ugandan exporters succeed in the international market.

Other members in the meeting were; Mwanje John and Caroline Nankinga (both from MAAIF), Atwine Loyce from Fresh Cuts Uganda Ltd, Nsamba Taufeeq, Augustine Ssekyondwa (both from NITA-U), Steve Huges from Uganda Agribusiness Alliance, Maria Bisamaza, Allan Agaba, Jonathan Kaweesa, Joshua Magambo, Rowland Nkahebwa, Victor Mugasa (all from PACEID), Ajesh Sasi, S. Kaleeswaran, A. Balachandran, Naveen Kumar, Henry Tumusiime, Douglas Onyango, Suresh Thirumalaisany, Kwaiwia Humphrey and Resper Nyivuru (all from Technology Associates).

Key private sector players in the export industry were today, Tuesday December 5, 2023 updated on TradeXchange, a digital export transformation platform being developed by Technology Associates in partnership with the Presidential Advisory Committee on Exports and Industrial Development (PACEID). The meeting was held at Technology Associates offices along Yusuf Lure Road, Plot 23.

Technology Associates (TA) is a leading, award-winning IT Systems Integrator operating from 6 country offices in East & Central Africa for over 25 years. Their 300 associates have undertaken national-scale, enterprise technology projects in over 17 countries across the continent.

The engagement between the private sector and Technology Associates was part of the week-long orientation workshop facilitated by PACEID to provide updates on the progress of TradeXchange in order to share the plan, methodology and tools to be used for the needs assessment and requirements gathering phase.

In August 2023, PACEID signed a Memorandum of Understanding (MoU) with Technology Associates and CargoX to develop a sandbox model of TradeXchange as a digital frontier to solve the trade facilitation gaps identified. The platform aims to revolutionize the export industry by digitizing and streamlining the process. It seeks to simplify and enhance the efficiency of export transactions, reducing paperwork, and making the entire process more transparent and accessible.

The day’s session kicked off with a briefing from Douglas Onyango, the Project Manager explaining to the private sector that the engagement was more of a needs assessment to establishing under which components of the export ecosystem they (exporters) belong to.

Mr. S. Kaleeswaran (Business Solutions Lead) and Mr. A. Balachandran (Technology Lead) from Technology Associates made a presentation highlighting the four pillars upon which TradeXchange will operate; E-registry pf businesses, E-registry of farmers, Supply chain traceability and Consignment certification. “The platform also incorporates blockchain technology to ensure the security and immutability of transaction records, making it more reliable and trustworthy,” noted Mr. Kaleeswaran.

During the orientation meeting, Technology Associates team responsible for the development of TradeXchange showcased the various features and functionalities of the platform. They explained how it simplifies the export process by providing a one-stop digital platform where exporters can access all the necessary tools and resources.

“As PACEID expands Uganda’s market reach and enhances value addition, the TA-CargoX Consortium will provide a robust, globally compliant digital trade platform as the surest means to integrate Uganda into the global trade network. TradeXchange shall automate the import and export value chain, provide visibility in the trade supply chain, ensuring transparency, reliability and save costs directly for all participants”. Mr. Girisch Nair, Chairman Technology Associates says about the platform.

Mahmood Hudda, PACEID Executive Committee Member highlighted the platforn’s potential to drive Uganda’s exports saying TradeXchange will be a blockchain-based collaboration platform that streamlines processes and enhances information flow among farmers, producers, traders and government bodies. “It helps government offer more efficient regulation on accreditation, quality and produce traceability in a secure manner, promoting trust between participants, preventing fraud, and minimising disputes.”

The orientation meeting was attended by prominent private sector exporters, who expressed their appreciation for TradeXchange and its potential to transform the export landscape. Dr. James Kanyijje, CEO of KK Foods Limited applauded PACEID for the initiative and is looking forward to the benefits TradeXchange will offer. “We have had challenges with establishing the actual figures as far as exports go. Ministry of Agriculture will ask me for export figures of bananas and I am unable to tell because I am one exporter and we have over 140 companies exporting. So, I believe this platform will help not only exporters but the whole country as well to easily track its exports revenues.” Dr. James Kanyijje remarked. He however emphasized the need for more and improved infrastructure to be able to export smoothly.

Loyce Atwine from Fresh Cuts Uganda Limited emphasized the need for continuous updates and refinements to meet the evolving demands of the export industry. She, like other exporters, expressed concern over the high cost of operation in the export industry.  

Steven Kasalirwa, CEO of Kastus Investment Uganda Ltd, a vanilla and cocoa exporting company, welcomed the idea of TradeXchange and highlighted its potential in revolutionizing the export industry. “It will be a game changer and will simplify the process as it will bring all the export stakeholders in one space.”

Additionally, the exporters provided valuable feedback and suggestions for further improvements on the platform.

The meeting concluded with PACEID expressing their commitment to supporting TradeXchange and facilitating its widespread adoption. They recognized the platform’s potential to drive economic growth, job creation, and overall industrial development. Uganda has a target of USD 6bn in the next five years as export revenues across key products in selected markets.

Ajesh Sasi, Lead-Project Delivery thanked all for their time and valuable insights which he believes will contribute to the improvement of the platform.

Uganda has signed an agreement with the airport of Nis, some 200 kilometers south of Belgrade the capital of Serbia, to handle cargo from Uganda into the Balkans and Eastern Europe. The airport named after the third century Roman emperor Constantine the Great who was born in the region of Nis, receives 150 large size cargo trucks daily with transit goods to Greece, Albania, Macedonia and other Balkan nations of south-Central Europe. The airport also handles large volumes of tourism passengers in the region during summer in Western Europe.

Nis Constantine the Great Airport is the second largest and second busiest airport in Serbia, after Belgrade Nikola Tesla Airport.

The agreement was brokered by Uganda’s Trade Representative in the region, Mr. Bratislav Stoiljkovic. Bratislav believes that securing this space is a step closer to getting Uganda’s value-added products into Serbia and the entire Balkan region through a fully integrated logistics value-chain. H.E President Yoweri Museveni opened a trade hub (Uganda Connect) in Belgrade the capital of Serbia in July this year. The hub has generated demand for visits to Uganda and orders to source products from Uganda. Uganda Connect is a facility promoting Ugandan exports in Serbia and the European market.

Serbian investors including Kafica Moja, one of the largest coffee sellers in hotels and supermarkets in Serbia, Croatia and Montenegro, will be processing and exporting roasted coffee from Uganda to the Balkan region. The company was invited by President Museveni when he visited Serbia to open a trade summit in July 2023.

The agreement signed on Saturday 4, October 2023, at the airport with the Managing director of the Nis Constantine the Great Airport Facility Mr. Mihaldjo Zdravkovic, gives Uganda exporters more than 750 square meters of storage and shipment space for the shipment to the onward seaports of the neighbouring Thessaloniki in Greece, Duress in Albania and Varna in Bulgaria, all in a sailing range of less than 300kms from southern Serbia. The port of Nis receives and clears all cargo from Asia and Africa into the Balkans. A number of Serbian companies in July confirmed orders for Ugandan vanilla, coffee, banana flour, cocoa, flowers, nuts and dried fruits amounting to USD200m.

The agreement signing on Saturday was witnessed by Odrek Rwabwogo, Chairman of the Presidential Advisory Committee on Exports and Industrial Development (PACEID).

Rwabwogo was in Belgrade, Serbia to meet the trade minister, Mr. Tomislav Momirovic to press for tax free entry of Ugandan products and services into Serbia as agreed between Presidents Museveni and Aleksandar Vucic of Serbia in July 2023. He was also in Belgrade to check on the preparations for the visit of President Vucic to Uganda in January 2024.

“This storage and shipment base for Uganda gives us much better access to a GDP market of over USD100bn of the Balkans. It will lessen storage and shipment costs once we connect it to Entebbe and Mombasa or by air out of Entebbe. Ugandan companies can now use this as testing ground for holding and conveying cargo in the region and beyond”. Rwabwogo said at the signing ceremony.

Ugandan exporters have applauded the move and expressed their gratitude to Bratislav and Rwabwogo for their dedication to promoting Uganda’s exports through new markets, infrastructure development, adherence to international standards, and improved export financing which are vital for unlocking the country’s export potential.

Dr. James Kanyijje, Managing Director KK Foods Limited has welcomed this achievement saying it’s a key requirement in order to trade in international markets. “It means a lot, it’s part of all requirements for better business after capital. Now, with cold storage, it is possible to increase our exports in the Balkans. President Museveni promised to support local exporting companies, now is the time.”

The Simons Uga Limited CEO Simon Musisi says, “With this opportunity of accessing free storage space at Nis Airport, our Ugandan vanilla exports into the Balkans (a region of over 200M people) shall greatly increase and a positive effect on returns on exports is to be registered. This will grow our sales throughout Eastern Europe and our farmers will be able to receive fair prices on their vanilla. We Thank PACEID under the leadership of Chairman Odrek Rwabwogo for this great achievement”.

The Presidential Advisory Committee on Exports and Industrial Development (PACEID) Chairman, Odrek Rwabwogo, will lead a Ugandan delegation of private sector exporters to Cairo, Egypt for the 3^rd Intra-African Trade Fair (IATF2023).

Organized by the African Export-Import Bank (Afrexim bank) in collaboration with the African Union (AU) and the Africa Continental Free Trade Area (AfCFTA) Secretariat, the event will run from 9^th-15^th November, 2023 under the theme ‘The AfCFTA Marketplace’.

The trade fair will provide a unique and valuable platform for businesses to access an integrated African market of over 1.3 billion people with a GDP of over US$3.5 trillion created under the African Continental Free Trade Area. It will also facilitate networking opportunities and discussions on how to capitalize on the AfCFTA agreement.

The African Continental Free Trade Area is a significant initiative aiming to create a single continental market for goods and services, with free movement of business persons and investments. Currently, intra-African commerce accounts for only 16% of the total African trade. The IATF aims to boost this percentage by providing a platform for businesses across the continent to connect, showcase their products and services, and explore investment opportunities.

The AfCFTA agreement, which entered into force earlier this year, seeks to create a single market for goods and services within Africa, leading to increased trade and economic development. With the participation of 54 out of the 55 African Union member states (43 parties and another 11 signatories), it is considered the largest free trade agreement in terms of participating countries since the creation of the World Trade Organization.

PACEID recognizes the immense potential that the AfCFTA holds for African businesses and by participating in the trade fair, the committee aims to help local businesses expand their footprint and tap into new markets. PACEID, working with exporters, development partners and the Government of Uganda will showcase at Africa’s Marketplace in Cairo.

“The Presidential Advisory Committee on Exports and Industrial Development is gearing up to participate in the Intra-African Trade Fair. By showcasing Ugandan products and providing valuable information, the committee hopes to contribute to the growth of exports in Uganda and on the continent at large. We encourage Ugandans businesses to register and take advantage of this unique opportunity to position themselves for success in the increasingly competitive global marketplace.” Matthew Bagonza, PACEID Executive Committee Member notes.

Ugandan exporters will set up exhibition booths at the trade fair, where they will showcase a wide array of products from various industries; agricultural goods and manufactured products. They will also be educated about the benefits of exporting and how to navigate the AfCFTA agreement.

PACEID is working closely with relevant government agencies and trade associations to ensure a successful and impactful participation in the trade fair. This participation is a significant step towards realizing the potential of the AfCFTA and promoting economic prosperity across Africa.

During the seven-day event, attendees will participate in a number of activities; exhibition, investment forum, fashion/entertainment, B2B/B2G platform, Egypt Culture Day, Africa Automotive Show, AU Youth Start-up Programme and Diaspora Day among others.

The African Continental Free Trade Area (AFCFTA) is a significant initiative aiming to create a single continental market for goods and services, with free movement of business persons and investments. Currently, intra-African commerce accounts for only 16% of the total African trade. The IATF aims to boost this percentage by providing a platform for businesses across the continent to connect, showcase their products and services, and explore investment opportunities.

We are disappointed by the unfortunate decision by the United States (U.S.) to end the participation of Uganda in the African Growth and Opportunity Act (AGOA) trade programme.

The reason given by U.S. President Biden was, ultimately, because Uganda’s democratically elected parliament passed an Act of which he and his colleagues in the U.S. Democratic party disapproved. 

It mattered not that the law in question – the Anti-Homosexuality Act (AHA) – is popular amongst Ugandans. There are numerous public opinion polls conducted by reputable western opinion research companies that are testament to that fact. However, it was not popular with President Biden and his colleagues. Therefore, it seems they have decided Ugandans should be punished.

It is difficult to see for whose benefit the Biden administration took this decision, if not their own domestic voter base in advance of the upcoming 2024 election. Certainly, no Ugandan – whatever their sexual preference – will benefit. While Ugandan trade with the U.S. through AGOA was insubstantial, growth of our exports to the U.S. and other partners was an important pillar of our economic strategy going forward. Ugandan farmers and small business owners will suffer. 

But more than that, it sends a message to all Ugandans – indeed all Africans – that their already slim prospects for economic prosperity are contingent on whether they vote in line with the values of whoever happens to hold high office in the U.S., not their own. They will not find this acceptable. Nor should they.

It is worth noting that democracy is backsliding across Africa while instability is on the rise. Uganda is an increasingly rare example of an African economy that shares Western values of democracy and rule of law. Like most African countries, we also believe in and seek to uphold our own traditional African values – and public support for AHA stands testament to that. 

The AGOA programme was established in order to promote economic growth, good governance and free markets in Africa. It is a policy of great generosity and foresight by those who created it to bind Africa and the U.S. in partnership and respect. It was not established as a stick to beat the populace of African countries who vote in a way that offends the social sensibilities of the developed West. Yet that is how it is being used now. 

We note that the decision made this week is a recommendation to Congress – and not yet passed into law. We therefore remain, as always, ready to discuss this decision with our American partners and allies – and hope that they have the generosity to listen. 

Odrek Rwabwogo 

CHAIRPERSON 

PRESIDENTIAL ADVISORY COMMITTEE ON EXPORTS AND INDUSTRIAL DEVELOPMENT (PACEID)

The Presidential Advisory Committee on Exports and Industrial Development (PACEID) has been instrumental in driving the growth of the country’s export revenue. Since its inception, March 16, 2022, its strategic initiatives and effective decision making have helped our nation expand its presence in international markets, leading to a significant increase in export volumes.

The committee is tasked with improving Uganda’s foreign earnings to USD 6BN in the next five years and USD 100BN in 2062 from the prioritized thirteen (13) key products; Coffee, Tea, Fruits & Vegetables, Beef, Dairy, Vanilla, Grains, Sugar, Fish, Banana Flour, Flowers, Tourism, Cement and Steel. 

Under the stewardship of Chairman Odrek Rwabwogo, who doubles as the Special Presidential Advisor-Special Duties (SPA-SD), PACEID advises President Museveni on the strategic and systematic interventions aimed at accelerating exports growth and industrial development for national transformation.

PACEID, which aims to increase the competitiveness of Ugandan products and diversify Uganda’s export base, has enabled Ugandan companies to reach new markets and enhance their visibility on the global exports map.

Business Unusual

Under this module of disrupting the usual style of operation, as a new approach to export markets, PACEID in partnership with various stakeholders has rolled out a succession of trade, investment and tourism summits hosted in various countries within the East African region, rest of Africa and the world to identify off-takers of the 13 priority exports. The committee does not just look for new markets, but rather do it aggressively, intentional with every member mentally invested to ensure that these markets are fulfilled. So far, PACEID has organized close to ten of such trade missions in Democratic Republic of Congo (DRC) where Uganda exported USD 267.19 million worth of goods as of two years ago, according to the United Nations COMTRADE database on international trade. South Sudan in July 2022, UK in September 2022, US in December 2022 and South Africa in February 2023 are some of the other markets where PACEID made a strong case for Uganda’s exports and appointed a Trade Representative (TR) in each of those. Some Ugandans might be thinking of this as a waste of money but fact is that these TRs are not paid a single shilling. They are selected for their independent personalities, passion and interest in promoting Uganda’s products and services but most importantly, they believe in the vision Chairman Rwabwogo has for Uganda’s exports and economy in general.

At these summits, exporters and trade experts partake in panel discussions, exhibitions and B2B sessions where participants from the public and private sectors network, share opportunities and identify strategies to position Ugandan products and services internationally and attract potential investors to Uganda. TRs provide technical expertise to help Uganda penetrate new regional and international export markets.

Unlike before, PACEID is playing a crucial role in lobbying for favorable trade agreements and policies. By engaging with government bodies and negotiating at international forums, the committee has successfully advocated for reducing trade barriers that have been hindering the free movement of Ugandan products, ultimately providing a conducive environment for our exporters to thrive.

PACEID, together with Uganda’s Trade Representative in Serbia, Mr. Bratislav Stoiljkovic, went a step further at the recent mission and set up a Uganda Trade Hub ‘Uganda Connect’ in Serbian capital Belgrade. The Hub, located in state-of-the-art central neighborhood Belgrade Waterfront, features a Ugandan coffee shop and market place for our fresh fruits and vegetables that Serbians cannot seem to get enough of and is an information centre for many who did not know about Uganda and its great tourist destination sites.

Yes, Serbia might be an emerging market economy in the upper-middle income range but what makes it strategic is that it is a gateway to the eleven countries in the Balkan region (south Eastern Europe) with a combined GDP of 100 Billion Euros. Serbia, because of its weather (mostly winter), consumes coffee worth 1billion Euros thanks to their extensive coffee consumption culture.

Uganda Connect hub in Serbia is the first of similar outlets that will be opened in several export markets to accelerate entry of Uganda’s products in key markets in the region and beyond.

Last month, Mr. Clive Hunter from the UK Trade Representative office was in Uganda for two weeks on a fact-finding mission engaging key public and private stakeholders along the value chain, doing buyer assessment on the different export companies to establish their capacity to supply the key commodities identified by the buyers such as macadamia, cashew nuts, ground nuts, fruits and herbs and their capacity to meet the quality requirements for the UK market, home to some of the world’s largest retailers in the world.

Through PACEID, Uganda has been able to establish itself as a reliable supplier of various commodities such as coffee, tea, and horticulture produce. Through trainings in partnership with United Nations Development Program (UNDP), exporters have been able to improve the quality and standards of Ugandan products, making them more attractive to international buyers. This has in turn, slowly but steadily, boosted the confidence of international buyers in Ugandan products, leading to increased demand and exports.

By providing guidance and support to local industries, PACEID has facilitated the development of export-oriented sectors, including agriculture, manufacturing, tourism, and services that are enabling Uganda to establish itself as a competitive player in the international market.

The committee works closely with various stakeholders, including government agencies, businesses, and development partners, to identify export opportunities, address barriers, and develop policies that promote trade and industrial growth.

PACEID has also been instrumental in attracting foreign direct investment (FDI) into Uganda by encouraging the establishment of export-oriented industries, leading to increased production and exports.

Overall, PACEID’s initiatives and strategies have been vital in putting Uganda on the global export map. The committee’s efforts have helped to enhance Uganda’s export competitiveness, attract investment, and promote market diversification, thereby contributing to the country’s economic growth and development.

“We are creating a new pathway for Uganda’s trade by going on the market from the farm through one shipper into supermarkets of another country. Uganda hasn’t been able to do this in the past because of issues of standards, certifications, quantities and funding. This is a new way and we should not make mistakes because this will cost us jobs and tarnish our country’s image. We are encouraging consortiums or clusters of coffee, dairy, tourism, beef, fruits and vegetables and those who can come together to strengthen supply, quantities and deal with sustainability issues. If we don’t act together, each of these companies is too small to do anything on the market.” says PACEID Chairman Rwabwogo.

One of the key achievements of the committee has been its focus on identifying emerging opportunities and promoting the export of high-value products. Through extensive market research and analysis, the committee has identified niche sectors where our nation has a comparative advantage and encouraged businesses to explore these untapped markets. This strategic approach has not only diversified our export portfolio but also helped us reduce our reliance on traditional sectors.

Chairman Rwabwogo has time and again labored to explain that exports can’t happen unless you have infrastructure because improving infrastructure is crucial for enhancing international trade and boosting economic growth. It is upon this background that PACEID has a strong partner in Uganda Airlines which has done tremendously by opening direct routes to new markets that Uganda is looking to take advantage of. In the past two weeks alone, Jennifer Bamuturaki and her team launched the Entebbe-Mumbai where the national carrier will be flying to India thrice a week, a move that is highly appreciated by exporters. Uganda Airlines also launched the Entebbe-Lagos route which opens doors for Ugandan products into the Nigerian market whose GDP is expected to hit USD 489.80 billion by the end of 2023, according to Trading Economics global macro model and analysts’ expectations.  

For this, PACIED is pleased that its message on developing of export infrastructure, routes, standards/compliance and markets is catching on. Uganda has a wealth of products and talent that deserve global recognition. PACEID is proud to partner with local businesses/private sector to promote Uganda’s exports and unlock new opportunities in international markets.

Let’s showcase the best of Uganda to the world.

Uganda Airlines, on Thursday October 19, 2023, made history with its first ever direct flight from Entebbe International Airport to Lagos, Nigeria, landing at Murtala Muhammed International Airport.  

Lagos becomes Uganda Airlines’ thirteenth (13^th) destination. This new direct route is expected to open up more trade and investment opportunities between Uganda and Nigeria.

There were extraordinary scenes as the Uganda Airlines team led by Captain Isaac Ogoyi skillfully navigated the skies on the national career’s inaugural flight. United Nations Development Programme (UNDP) partnered with Uganda Airlines on this milestone. Uganda Airlines hailed UNDP team for their dedication to enabling trade, investment and tourism in Uganda.

Uganda Airlines CEO Jennifer Bamuturaki says the aim is to open more routes on the continent to enhance efficiency, and expediting transit of both passengers and commodities every Sunday, Monday and Thursday. This development comes after the two countries signed a Memorandum of Understanding in August.

She highlighted the impact of this air brigade not only in Nigeria but across Africa, “Our Entebbe-Lagos flight is the gateway to immense opportunities. It connects Uganda and Nigeria through business, tourism, culture, entertainment and more.”

UNDP Uganda Resident Representative Elsie Attafuah expressed her excitement at the milestone saying, “This is an exciting opportunity for us to connect more within the continent and create more opportunities for trade. This is an airbridge for trade, for jobs, for wealth creation, and for ensuring Africa takes its rightful place in the global world.”

The decision to introduce a direct flight from Entebbe to Lagos comes as Uganda Airlines strives to expand its network and increase connectivity within Africa. With the new route, travelers will now have easy access to one of Africa’s most populous and vibrant cities.

Mr. Odrek Rwabwogo, Chairman of the Presidential Advisory Committee on Exports and Industrial Development (PACEID) has applauded Uganda Airlines CEO Jennifer Bamuturaki and her team for the initiative. “This new direct route to Nigeria has significant implications for promoting exports and enhancing trade relations between the two countries. The new route offers immense opportunities for Ugandan businesses to expand their export activities into one of Africa’s largest economies.” Noted Rwabwogo.

He further notes that Ugandan products, such as agricultural commodities, textiles, handicrafts, and processed foods, have a competitive advantage in terms of quality and uniqueness. “With the direct connection, these goods can now reach Nigerian consumers and businesses more quickly and reliably. This increased accessibility will raise the profile of Ugandan exports in Nigeria and pave the way for stronger bilateral trade ties.”

H.E. Ismael Ayobami Alatis, Nigerian High Commissioner to Uganda has encouraged Ugandans to visit Nigeria and take advantage of the incredible market potential that is there.

The move reinforces Uganda Airlines’ commitment to becoming a leading carrier in the region. Since its relaunch in 2019, the airline has steadily expanded its network and upgraded its fleet, which now includes two brand new Airbus A330neo aircraft. The addition of the Lagos route is another milestone in its ambitious growth plans.

The launch of the direct flight comes at a time when African nations are seeking to boost intra-African trade under the African Continental Free Trade Area (AfCFTA) agreement. The AfCFTA aims to create a single market for goods and services across the continent, fostering economic integration and enabling African countries to trade among themselves more easily.

The direct flight will also provide a convenient connection for passengers traveling from other parts of the world. With Entebbe International Airport serving as a regional hub, passengers from Europe, the Americas, and Asia can now easily reach Lagos with a seamless transfer in Uganda. This will undoubtedly boost Uganda’s standing in the global aviation industry and further enhance its reputation as a gateway to Africa.

Uganda Airlines will operate flights to Nigeria three times a week with flights on Mondays, Thursdays and Sundays, using its 258-seat state-of-the-art Airbus A330-800neo.