Industry Sector Contributes 27.4% To GDP- 12 Medium, Large Factories Commissioned In 2024

The Uganda’s industry sector is comprised of manufacturing, construction, mining and quarrying, electricity, and water sub-sectors.

 The industry sector contribution to GDP is 27.4%.

According to the state minister for trade, industries and cooperatives incharge of industry Hon David Bahati revealed that , this growth is attributed to increase in manufacturing activities which grew by a substantial 11.0% in the last Quarter of 2023/24.

 The manufacturing sub sector of industry continues to be a key driver to Uganda’s economic growth, creating jobs, fostering innovation and driving GDP growth. Manufacturing is the largest subsector under Industry, contributes 16.5% of GDP, provides direct employment to over 1,000,000 million people, and over 2,000,000 million people indirectly. In addition, manufacturing contributes 30% of the total tax revenue collections which translates to 8.16 trillion.

The number of Industries has increased from 81 units in 1986 to more than 9,000 Units in 2024. The industry sector has expanded and diversified production base to manufacture basic and high-tech products that Uganda was importing before NRM Government took leadership in 1986.

In 2024, Uganda exported goods worth USD 7.41 billion, Out of this, manufactured goods were USD 1.53 billion.

The product range of exports has added over 30 new products from the traditional 3 (Coffee, Tea and Cotton).

Like the President has always emphasized,the economy has grown through the four phases from:  Minimum recovery;  Expansion of the small economy;  Diversification, Value addition and knowledge economy. Established Local Manufacturing Capacity for imports Substitution and Exports Promotion.

The previously imported products that we are now manufacturing from Uganda include iron and steel, cement /clinker, pharmaceuticals and drugs, textiles and apparels, tiles, industrial refined sugar, industrial starch, auto mobiles, transformers, electricity meters, cables, television sets, mobile cell phones, blankets, Diapers, Dairy and Dairy products, leather and leather products, among others.

 This presents an opportunity to boost domestic manufacturing by adding value to locally available materials, increase the stock of decent jobs and household incomes. The list of some of the locally manufactured items is in the table that follows.

The minister also released the list of locally manufactured product In Annual Production quantities

1 Salt Tonnes 192,000

 2 Soap (bars) Tonnes 6,198

3 Textiles (fabric) Metres 50,000,000

4 Garmenting (7 factories) Pieces 27,160,000

5 Shoes Pieces 400,000

6 Raw Sugar (Brown) Tonnes 550,000

 7 Industrial Refined Sugar Tonnes 90,000

8 Medical Gloves Pieces 95,000,000

 9 Ceramic Tiles Metres 26,136,000

 10 Industrial Starch Tonnes 66,000

11 Cement Tonnes 6,400,000

12 Electricity Meters Pieces 9,240,000

13 Transformers Pieces 68,000

14 Sanitizers Litres 62,500,000

 15 Packaged Drinking Water Litres 1,425,790,237 16 Carbonated Soft Drink Litres 415,424,267

17 Packaged Natural Mineral Water Litres 66,374,000

 18 Noncarbonated Soft Drink Litres 415,424,267 19 Fruit Drink Litres 478,469,678

20 Television sets Pieces 417,000

 21 Amplified Audio Systems Pieces 400,000 22 Electric Iron units 18,000

23 Prepainted metal coated steel sheets Tonnes 110,003

 24 Unplasticised Polyvinyl Chloride (uPVC) Pipes for Water Supply tonnes 13,650

25 Mild Steel Nails tonnes 32,900

 26 Steel for the reinforcement of concrete - Ribbed bars tonnes 800,000

27 High Density Polyethlene (HDPE) Pipes for water supply tonnes 7,220

28 Wrought aluminium alloy extruded profiles tonnes 39,640

 29 Polypropylene Random Pipes (PP-R) for water supply tonnes 3,870

 30 High yield strength steel sections tonnes 30,600

31 Hot Dip Aluminium Zinc Coated Corrugated Steel Sheets tonnes 45,600

32 Wire rod tonnes 700,000

33 Prepainted metal coated steel coils tonnes 380,000

 34 Stainless Steel Tanks tonnes 1,560,000

He added that New in 2024 ,Twelve (12) medium and large factories were commissioned.

 Additionally, over 250 micro small processing were established by the Private Sector organizations and Cooperatives across the Country.

 List of  the factories and projects that were commissioned by H.E the President in 2024;

 Four Factories and trade bazaar at Liao- Shen Industrial Park in Kapeka was commissioned.

 The Power Co-generation Plant was commissioned at Sugar Corporation of Uganda Limited (SCOUL).

The Sino Mbale Industrial Park trade show and bazaar and 4 Factories were commissioned.This includes; Unisteel Investment Uganda Limited. This the new steel factory in the sector with a total investment of 100 million USD and employs over 500 people.

 Other factory production lines commissioned were Royal Milk Enterprise Factory in Nalukolongo; and Pura Organic Agro-Tech Limited located in Nakasongola District, MMP Group Auto mobile Assembling Plant in Buikwe District, Jack Secrets Limited adds value to jackfruit by drying, processing and exporting to Europe to make delicious hamburgers.

" The National Resistance Movement (NRM) Government under the leadership of His Excellency Yoweri Kaguta Museveni has continued to prioritize implementation of strategic projects that promote industrialization. These include; Roads, Water, Electricity, ICT (broad band and cyber security), Industrial Parks, Quality assurance laboratories and zonal industrial hubs. All these contribute to reducing the cost of doing business and competitiveness of Uganda’s goods in domestic, regional and international markets. Major projects completed and commissioned included the 600 Mega watts (MW) Karuma Hydro Power Plant and the Standard Guage Railway (SGR) which will support us on the commitment to reduce the cost of electricity to USD 5 cents per unit for manufacturers and the cost of transporting the container from the port to the warehouses"Said Minister Bahati.