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UG Standard - Latest News

Uganda’s economic growth hinges on local consumption, says Minister Anite

by MANFRED TUMUSIIME | UG STANDARD REPORTER
24/09/2024
in News
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Minister Evelyn Anite addressing the investors

Uganda’s State Minister for Investment, Evelyn Anite, has called upon citizens to prioritize locally produced goods.

“Why are we shunning our own products to buy imported ones?” Anite questioned. “We are doing a disservice to our own country. We are actually donating jobs and unemployment is on the rise in our country.”

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Anite emphasized that public service can only employ up to 470,000 Ugandans, while manufacturing and industries employ over one million people.

She made these remarks during this year’s Regional Industrialization Conference, held at Next Media Park in Naguru.

“Remember, importers trade abroad in dollars, and therefore, the money you give them when you buy their products, they have to convert it into dollars, and the Ugandan shilling loses value,” Anite explained. “It means you have donated jobs and money.”

Anite noted that local manufacturers employ a significant number of Ugandans and that by buying from them, they are able to sustain their operations and employ more Ugandans.

“No one can do it for us,” Anite emphasized. “Not even government can do it for us, but for ourselves. Government can only provide an enabling environment and incentives.”

David Wozemba, Country Director for the Alliance for a Green Revolution in Africa, also addressed the conference.

“The role of agriculture and agro-industries in Uganda’s economy cannot be overstated,” Wozemba noted. “Agriculture serves as both a foundation for economic activity and a source of livelihood for the majority of the population.”

Wozemba highlighted that despite a decline in agriculture’s contribution to GDP from 50% in 1995 to 24% presently, the sector remains crucial.

“Agriculture employs approximately 70% of the working population, predominantly in rural areas,” Wozemba said.

He added that agro-processing accounts for a significant portion of the country’s manufacturing output.

“Food processing alone contributes 40%, driven by key sectors like sugar, coffee, and tea processing,” Wozemba explained.

Wozemba emphasized the importance of transitioning Uganda’s exports to higher value-added products.

“While Uganda has historically relied on primary agricultural commodities for export earnings, there is a growing recognition of the need to diversify and move up the value chain,” Wozemba noted.

He stressed that this transition requires concerted efforts to address structural constraints, enhance productivity, and create an enabling environment conducive to innovation and value addition.

“Through targeted policies, investments, and partnerships, Uganda can position itself as a dynamic player in the global marketplace,” Wozemba concluded.

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