In a milestone for Uganda’s agricultural export sector, the Presidential Advisory Committee on Exports and Industrial Development (PACEID), on Saturday, May 31, 2025, facilitated the signing of a 5,000 metric tonne (MT) simsim offtake agreement at Bomah Hotel in Gulu. The agreement, destined for Guangzhou, China, was signed between Talanta Finance Limited, representing 10,000 farmers in the Acholi sub-region, and international buyers coordinated by Uganda’s South China Trade Representative, Mr. Victor Zhang.
The event brought together Resident District Commissioners (RDCs), farmer leaders, and local government officials from the eight districts of the Acholi sub-region. It served not only as a contract signing but also as a capacity-building session to align stakeholders on production, compliance, and export readiness.
“This is more than just a trade deal,” said PACEID Chairman Odrek Rwabwogo. “It’s the beginning of an organized agricultural revolution in Northern Uganda, one that links rural farmers directly to international markets and adds value through structured production.”
Rwabwogo explained that a 10,000 MT pressing plant to add value requires a minimum of 25,000 MT of raw material. The Acholi region produces 31,000 metric tons (MTs) but lacks infrastructure for aggregation, finance, and quality assessment, resulting in poor international prices.
“This process has begun. I thank our South China Trade Representative, Mr. Victor Zhang and his team, the Chairman of Talanta, Mr. Timothy Jokenne, and our PACIED team of young people who work diligently to advance our export agenda. Keep moving and keep focused, we will get there for our country.”
Upon successful fulfillment of the 5,000 MT consignment, the contract will be scaled up to 100,000 MT, a move that would justify the establishment of a 10,000 MT capacity simsim oil pressing plant in Gulu.
Odrek Rwabwogo and Victor Zhang speaking to journalists after the export readiness training session at Bomah Hotel in Gulu
“This agreement is a game-changer for the region,” said Mr. Victor Zhang. “We are creating a reliable export pipeline based on contract farming and stable pricing. The goal is not just trade, but transformation.”
Mr. Timothy Jokenne, Chairman of Talanta Finance Limited, emphasized that the group is committed to organizing its farmer base into export-ready units, ensuring traceability and compliance with Chinese import standards.
https://paceid.org/paceid-seeks-local-leaders-support-to-elevate-export-product-standards/
This engagement was a follow up to one held at the same venue in August 2024 where PACEID reached out to local leaders starting with Acholi Sub-Region for collaborative efforts to enhance the region’s agricultural sector and meet international market demands.
During that session, Brenda Opus Katarikawe, PACEID Markets Team Lead appealed to the local leaders for support regarding three key aspects; 1) Agricultural production data collection by identifying credible farmers, exporters, and aggregators. 2) Identifying credible suppliers of agricultural products for export given that PACEID is talking to credible buyers. 3) Support in terms of standards enforcement and drive to be able to do it continuously and sustainably.
“Let us work together to enforce post-handling standards to ensure quality production. Quality products minimize rates of interceptions which are costly but most importantly create a bad reputation for Uganda on the international market.” Katarikawe noted.
PACEID’s broader strategy includes enabling legal reforms, improving market infrastructure, promoting certification and standards, and easing access to export financing. Today’s signing is a tangible step toward realizing Uganda’s export-led growth strategy.