Category: General

ODREK-SERBIA

PACEID’s interventions are steadily placing Uganda on the global exports map

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 Chairman Odrek Rwabwogo discusses Uganda’s export with a business expert from UAE

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.

Uganda’s Trade Representatives during a forum at State House-Entebbe in March 2023

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.

Clive Hunter from UK Trade Representative’s office was in Kampala recently assessing farmers’ capacity to export to the UK

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.

President yoweri Museveni with Trade Representatives

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.

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Uganda’s Vanilla Industry Booms as a Profitable Export

Uganda is known for its rich agricultural landscape, producing some of the finest coffee, tea, and cocoa beans on the continent. What many people aren’t aware of, however, is that Uganda is also a leading exporter of vanilla.

Uganda is currently exporting over 400MT of vanilla a year which is more than 50% production increment in a period of 5years.

Vanilla exports have shot up

According to Uganda Export Promotion Board (UEPB), Uganda exported 89.038 Tons of cured vanilla worth USD 8.33 million (30.5 billion shillings) by March, 2023.

Ugandan vanilla is a unique and highly sought-after product, simmering with natural flavors and fragrance that is exclusive from other vanilla products in the world. It’s been described as “exquisite,” “delicious,” and “distinctive” by those who have had the pleasure of tasting it. It is for this matter that Ugandan vanilla exporters signed huge deals to export the product to Serbia during the opening of the Uganda Connect trade hub in Belgrade in July this year.

Simon Musisi-CEO of The Simons Uga Limited with some of his processed products

Simon Musisi, Chief Executive Officer of The Simons Uga Limited dealing in premium quality vanilla is one of those who signed deals. He is a processor and exporter of vanilla beans, powder and vanilla pure extracts. “Vanilla processing requires a production team of persons who are trained and experts in that field in order to achieve a higher vanillin and good quality vanilla that can match the global standards of the international food industry.” he says. His major export market is USA and Europe.

The major markets for Uganda’s Vanilla include; USA, Indonesia, Canada, France, Germany, Australia, Belgium, South Africa, New Zealand, Japan, Israel, Mauritius, United Arab Emirates, Italy, Denmark, Check Republic, Switzerland and Republic of Korea.

One of the unique qualities of Ugandan vanilla is its hand-picked, thanks to farmers harvesting plants only when they reach maturity, using traditional and time-honored techniques to guarantee the quality of their crops. This dedication to quality ensures that the product is of high value to consumers who seek natural and unique products, which gives Uganda a competitive edge in the global market.

Uganda, the second-largest exporter of vanilla in Africa behind Madagascar, has various suitable growing conditions for vanilla, making it possible to produce a substantial and consistent quantity of vanilla beans every year. The country has two vanilla seasons, the June-July harvest and December-January harvest. The districts of Kayunga, Mukono, Mpigi, Jinja, Kmauli, Bundibugyo, Luwero and Kasese are the biggest vanilla growing regions in Uganda. Vanilla production of vanilla in Uganda is picking up, and farmers are working tirelessly to meet the growing demand for this natural and delectable ingredient.

Vanilla is a significant source of income for many small-scale farmers in Uganda. It provides a valuable opportunity for economic growth and stability in communities across the country. Musisi provides employment to thousands of people during the two seasons of vanilla harvesting. “We directly work with more than 2000 farmers and over 10,000 farmers through general suppliers.”

Simon Musisi, CEO of The Simons Uga Limited is a vanilla exporter

Vanilla production is an ideal business for farmers in Uganda because it requires a relatively small amount of land and can be grown alongside other crops. This makes it an affordable crop for small-scale farmers who may not have access to a lot of land.

When it comes standards, Musisi says he does not compromise on quality as he always exports the best that meets regional and international standards. “Vanilla is a raw material for the food industry, quality is a major requirement. Therefore, global food standards are mandatory. This is a major challenge that we have tackled through training our farmers and general suppliers to consider good agricultural practices. For example, farmers should not use pesticides on their vanilla farms or intercropping their vanilla gardens with crops that require pesticides, the farmers must harvest their vanilla after maturity and on proper harvest dates,” he emphasizes.

It is because of practices like these that Ugandan vanilla offers unique and exceptional taste and is highly valued in the global market. Uganda’s vanilla industry has transformed into a profitable export, driving economic growth and providing opportunities for local farmers. However, stakeholders must address challenges related to sustainability and market volatility to ensure the long-term growth and success of the industry.

Vanilla is one of the thirteen priority sectors the Presidential Advisory Committee on Exports and Industrial Development (PACEID) under the leadership of its Chairman, Odrek Rwabwogo, is working with to grow Uganda’s exports revenue to USD6B and beyond by 2028.

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Uganda-Algeria Business Forum: Producers and exporters encouraged to embrace Value Addition

Day one of the Uganda-Algeria Trade and Investment Forum & Exhibition kicked off today, Saturday, September 30, 2023, at Hotel Africana with delegates from both countries advocating for value addition and mutual respect for quality requirements. The forum will run throughout the weekend until Monday, October 2, 2023, under the theme; “Harnessing Benefits of AfCTA; Strengthening Bilateral Trade Relations Between Uganda and Algeria”.

The forum is being organized by the Ministry of Trade, Industry, and Cooperatives in partnership with the National Chamber of Commerce, the Presidential Advisory Committee on Exports and Industrial Development (PACEID), and the Ministry of Foreign Affairs with support from the Uganda Marketers Society.

Odrek Rwabwogo with Dr. Francis Mwebesa, Minister of Trade, Industry and Cooperatives

The Uganda Algeria-Business and Investment Forum aims to unite trade & investment policymakers, key business groups, trade institutions, and regional organizations from both Uganda and Algeria.

Geraldine Ssali, Permanent Secretary-Ministry of Trade, Industry and Cooperatives thanked the Algerian government for their cordiality. “Whenever we come to Algeria, we feel at home. I began to say Algeria is a home away from home for me. Thank you so much. We would like you to also feel at home.” she said.

Geraldine Ssali-Permanent Secretary, Ministry of Trade, Industry and Cooperatives

She also expressed willingness to give Algerians free economic zones so that they can enjoy competitive prices from Ugandan producers so they don’t feel the pinch of high costs of production when they come.

“If we work with Algeria, gone will be the days of looking for a funder for our oil because they are self-sufficient in the oil and gas sector.” H.E. Alintuma Nsambu, Ambassador of the Republic of Uganda to Algeria noted.

H.E. Oualid Cherid-Ambassador of the People’s Republic of Algeria to Uganda

H.E. Oualid Cherif, the Ambassador of the People’s Republic of Algeria to Uganda was pleased that the efforts between the two countries were crowned with the holding of what he referred to as a ‘historical’ forum. “This development comes as a translation of the strong will demonstrated by our two heads of state, Mr. Abdelmadjid Tebboune and Mr. Yoweri Museveni, to further enhance these relations in the commercial and investment fields. Like Uganda, Algeria advocates for value addition to its raw materials and the diversification of its economy and its earnings by promoting the non-hydrocarbon exports and boosting the local production of goods and services,” he said.  

PACEID Chairman Odrek Rwabwogo

Mr. Odrek Rwabwogo, Chairman- of the Presidential Advisory Committee on Exports and Industrial Development reiterated H.E. Oualid’s point regarding value addition as this will go a long way to boost trade relations between the two nations.

He also urged Ugandan exporters to be intentional by researching new markets to avoid entering them blindly.  “We need to be very intentional, very deliberate from studying the tastes & preferences of our brothers in Algeria & other markets we want to export to & ensure we know what to supply them in terms of standards, quantities and certification”. PACEID is tasked with growing Uganda’s exports to USD6Bn by 2028.

PACEID’s Odrek Rwabwogo with National Chamber of Commerce’s Olive Kigongo

The President of the National Chamber of Commerce, Ms. Olive Kigongo encouraged Ugandan business people to explore Algeria and discover the opportunities it offers to gain a competitive advantage.

Frank Tumwebaze, the Minister of Agriculture, Animal Industry and Fisheries said, “Opportunities abound in Uganda. We invite you not only to engage in trade with us but also to actively participate in the value-addition process.”

Miss Ndstefai Khaoula from the Algerian Investment Promotion Agency guided Ugandan traders through the company registration process for trading with Algeria, including the duration of the investment period offered to licensees. “The Algerian Investment Promotion Agency is actively engaged in promoting investment, providing information, streamlining registration procedures, and managing the associated benefits.” – she said.

Miss Ndstefai Khaoula from the Algerian Investment Promotion Agency

Others present were Dr. Francis Mwebesa- Cabinet Minister of Trade, Industry and Cooperatives, Hon. Harriet Ntabazi, Amb. Katureebe Tayebwa from the Ministry of Foreign Affairs, John Mulimba-State Minister of State for Regional Affairs.

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Tomislav Momirovic

Serbian Minister of Internal and Foreign Trade, Hon. Tomislav Momirovic to visit to Uganda on April 19, 2023

The Advisory Committee on Exports and Industrial Development (PACEID) was commissioned by H.E. President Yoweri Kaguta Museveni on March 16th, 2022. PACEID acts as a think tank that advises H.E the President on the strategic and systemic interventions aimed at accelerating exports growth and industrial development for national transformation. PACEID, under the stewardship of Chairman Odrek Rwabwogo, is tasked with improving Uganda’s foreign earnings from the current USD 6BN to USD 12BN and beyond from the prioritized thirteen (13) key products; Coffee, Tea, Fruits & Vegetables, Beef, Dairy, Grains, Sugar, Fish, Banana Flour, Flowers, Tourism, Cement and Steel.  

Coordinated under the Office of the President, PACEID is specifically charged with among others advising H.E the President on practical ways and means of addressing the strategic and operational bottlenecks that impede Uganda from fully harnessing its industrial and export potential.  

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. So far, PACEID has held five of such successful trade missions; the Uganda-DRC Summit in May 2022 in Goma, the Uganda-South Sudan Summit in Juba in July 2022, the UK-Uganda Business Summit in London, September 2022, the US-UG International Trade Summit & Exhibition in Chicago in December 2022 and the Uganda-South Africa Business Summit in Pretoria in February 2023. These summits feature exhibitions, panel discussions, expert presentations 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.

PACEID has also introduced the concept of Ugandan Trade Representatives (TRs) in targeted markets. TRs are selected for their independent personalities, passion and interest in promoting Uganda’s products and services. To date, the PACEID Committee has appointed five TRs in key export markets; Justin Katoto for the Democratic Republic of Uganda (DRC), Cody Lorance and Olivier Kamanzi (both USA), Mark Pursey for UK, Bratislav Stoiljkovic for the Balkan region (south-east Europe) and Sam Montsi for South Africa. TRs provide technical expertise to help Uganda penetrate new regional and international export markets.

Last month, the exports advisory committee organized a two-days Trade Representatives Forum (TRF) where all relevant public and private sector institutions in the export space gathered to develop a singular view of what Uganda needs to achieve the USD 6BN target. Running under the theme ‘COORDINATION TO DRIVE UGANDA’S EXPORT TARGETS THROUGH TRADE REPRESENTATION’, the TRF was held at State House Entebbe on March 28th, 2023 and the OPM Conference Centre on March 29th, 2023 respectively. While at State House- Entebbe, President Museveni expressed his gratitude towards the TRs for their efforts to link Uganda with the big export markets they represent.

After, the TRs had the opportunity to visit key tourism destinations such as Murchison Falls National Park in Masindi and production sites including Tooke in Bushenyi, Ho and Mu Food Technology Company Ltd in Kapeeka, Sseko Designs in Bweyogerere and Zahra Food Industries Limited in Namave Industrial Park.

During the TRF, it was announced that Uganda will be opening a trade center for the Balkans region based in Belgrade, Serbia in June 2023. The center will sell Uganda coffee, bananas, chocolate, grains, and tourism in the region and it will be used as a staging ground for the six Balkan nations of central-southern Europe.

Following this, the Serbian Minister of Internal and Foreign Trade, Hon. Tomislav Momirovic and his delegation which includes Milos Adamovic (Assistant Minister), Marco Obradovic (Assistant Minister) and Uganda’s Trade Representative, Mr. Bratislav Stoiljkovic, will arrive in the country on April 18, 2023, to meet H.E. the President the next day Wednesday, April 19, 2023, from 11am to 3pm at State House Entebbe.

The purpose of the visit is to deliver the invitation of the President of Serbia, H.E. Aleksander Vucic to President Yoweri Museveni for the latter to open the Uganda Trade center in June 2023.

The event will also witness the signing of a memorandum of understanding between the Private Sector Foundation Uganda, United Nations development Programme (UNDP) and the Ministry of Science, Technology and Innovation, to operationalize and match the President’s export fund for coffee, fruits & vegetables, dairy, beef, Tourism and other products, to USD30M. The fund is for invoice underwriting for exporters to the new markets. This fund will address the financing bottlenecks that have directly been affecting export performance in priority sectors like agriculture and manufacturing.

H.E. Museveni is also expected to make a special Broadcast on the Tourism sector where Uganda is targeting USD1.5bn new revenue by 2027.  

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