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UG Standard - Latest News

Govt secures 10,000 acres land for new cement manufacturing plant

The Ugandan government and the Naita-A-Tepeth Communal Land Association signed a lease agreement for 10,000 acres in Moroto, paving the way for mining and industrial investment, including a new cement factory.

by JOSEPH NSIMBI | UG STANDARD REPORTER
03/05/2025
in Business, News
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Uganda finalizes a land lease with the Naita-A-Tepeth community in Moroto for significant investment in mining and industry, including a key cement plant.
Uganda finalizes a land lease with the Naita-A-Tepeth community in Moroto for significant investment in mining and industry, including a key cement plant.

KAMPALA, Uganda — The Naita-A-Tepeth Communal Land Association and the Ugandan government have finalized a significant lease agreement, paving the way for investment in the mining and industrial sectors on 10,000 acres of community-owned land in the Moroto District.

The agreement, formalized at the Office of the Prime Minister on Friday, grants the government access to land designated as a crucial source of raw materials for the establishment of Uganda’s first clinker factory by Tororo Cement. The facility will be located in Katikekile, Moroto District.

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This development follows over a year of extensive consultations and negotiations spearheaded by the Ministry of Lands, Housing and Urban Development, acting on a directive from President Yoweri Museveni to stimulate economic growth in the Karamoja sub-region. Officials emphasized that the process prioritized transparency, respect for customary land ownership, and the inclusion of local voices, including elders, district leaders, the Catholic Church, and the broader Naita-A-Tepeth community.

The signing ceremony was witnessed by government ministers, members of parliament, the Director General of the Uganda Investment Authority (UIA), leaders from the Moroto District Local Government, representatives of the Naita-A-Tepeth Communal Land Association, and executives from Tororo Cement.

Lands Minister Judith Nabakooba, who represented Prime Minister Robinah Nabbanja at the signing, stated that the initiative began in 2023 with President Museveni’s vision to persuade the late Chairman of Tororo Cement Ltd., Hasmukhbhai Patel, to establish the factory in Moroto. She noted that Uganda had been incurring significant foreign exchange losses by importing the raw material from Kenya and other countries.

Nabakooba explained that Prime Minister Nabbanja tasked her ministry in February 2024 with fast-tracking and coordinating the land acquisition process between the community and the investor.

“My ministry immediately took on the assignment by convening a meeting of all the key stakeholders to appraise the assignment,” Nabakooba said. “A number of meetings were held in Kampala, State House, Tororo, and later on we made a community visit to Katikekile in Moroto to consult with the community but also see the land in question, hear the community concerns and build confidence of the project. The community was receptive to the project.”

The project required the acquisition of 10,000 acres of communally owned land under the Naita-A-Tepeth Communal Land Association. These associations are established by the Ministry of Lands to help vulnerable communities secure their land rights.

The government, through the Ministry of Lands, committed to supporting the project by surveying and demarcating the land, converting the customary title to freehold, separating 500 acres for the factory site, and demarcating and titling land for public use—all at government expense.

“Of the 10,000 acres, it was agreed that the investor be sold off 500 acres in freehold on the part where the factory is being established. This was duly done; the community was paid and the title was handed over to the investor,” Nabakooba shared.

Robert Mukiza, Director General of the Uganda Investment Authority, attends the signing ceremony of the landmark land lease agreement between the government and the Naita-A-Tepeth Communal Land Association in Kampala.
Robert Mukiza, Director General of the Uganda Investment Authority, attends the signing ceremony of the landmark land lease agreement between the government and the Naita-A-Tepeth Communal Land Association in Kampala.

The second phase involved the government acquiring a 49-year lease for the remaining 9,450 acres, earmarked for raw material extraction to support the factory. The proposal received Cabinet approval, the land premium was agreed upon, and the Ministry of Finance sanctioned the transaction.

Nabakooba disclosed that the lease agreement was finalized and approved by all parties and the Attorney General. The payment terms include an initial disbursement of 2 billion Ugandan shillings upon signing, with the remaining balance budgeted for the next fiscal year.

Following the signing, lease titles will be issued to the Government of Uganda under the Uganda Investment Authority as the lessee, and the freehold titles for the remaining land will be returned to the management of the Communal Land Association.

Nabakooba emphasized the transformative benefits the project is expected to bring to the local community, the Moroto District, and the country as a whole.

“I urge the investor to treat the community well, give them opportunities to work, business or dealerships, protect the environment and equally the community should support the investor in every way to ease seemingly less operations,” the minister advised.

She acknowledged President Museveni’s leadership, the support of First Lady and former Minister for Karamoja Janet Museveni, Prime Minister Robinah Nabbanja, the Attorney General’s office, Moroto District leadership, the management of Naita-A-Tepeth, and the technical staff in the lands ministry. She also thanked the ground team, Tororo Cement management, local members of parliament, police, the Uganda People’s Defence Force (UPDF), and the Resident District Commissioner’s office in Moroto for their contributions.

About the Titles:

The land titles involved include Freehold Register Volume MOR 28 Folio 8 Plot 496 Block 1 Land at Katikekile measuring 3,127.1049 hectares and Freehold Register Volume MOR 28 Folio 10 Plot 502 Block 1 Land at Katikekile measuring 700.3836 hectares, both registered in the name of the Naita A Tepth Communal Land Association.

Institutional titles for a church, school, and hospital were also received by the Moroto District Local Council 5 chairperson: Freehold Register Volume MOR 28 Folio 1 Plot 501 Block 1 Land at Katikekile measuring 8.8050 hectares in the name of Moroto District Local Government (Kosiroi Primary School) and Freehold Register Volume MOR 28 Folio 3 Plot 500 Block 1 Land at Katikekile measuring 14.9843 hectares in the name of Moroto District Local Government (Kosiroi Health Centre).

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Tags: cement planteconomyGovernmentIndustrial DevelopmentinfrastructureInvestmentLand AcquisitionmanufacturingMorotoNaita-A-Tepeth Communal Land AssociationUganda

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