Overview:

The call comes as the United Kingdom opens its market wider through the Developing Countries Trading Scheme (DCTS), which provides tariff-free access for up to 95 percent of Ugandan goods.

Uganda risks missing out on billions in export opportunities unless it accelerates agricultural transformation and strengthens agro-industrialisation, experts have warned at the first-ever UK-Uganda Agro-Industrialisation Forum.

The call comes as the United Kingdom opens its market wider through the Developing Countries Trading Scheme (DCTS), which provides tariff-free access for up to 95 percent of Ugandan goods. While the scheme offers immense potential, Uganda’s exports remain underdeveloped and inconsistent, especially in high-demand markets like coffee.

“Uganda currently has just one percent of the £1 billion UK coffee market. That can change—but only if supply and quality improve,” said Lisa Chesney, the British High Commissioner to Uganda. She noted that the UK’s policy of keeping tariffs low, coupled with a direct Uganda Airlines route to London, provides a strong foundation for fresh produce exports.

Despite these advantages, structural weaknesses threaten Uganda’s competitiveness. Maj Gen David Kasura, Permanent Secretary at the Ministry of Agriculture, acknowledged that seasonal supply gaps, inconsistent quality, and limited commercialisation undermine Uganda’s export potential. “Some exporters secure contracts for mangoes, for example, but fail to supply consistently because of seasonality,” he said.

The government has identified priority commodity value chains—including coffee, tea, maize, dairy, fish, cocoa, and horticultural crops—as critical for boosting exports. Uganda aims to raise agricultural export earnings from $4.5 billion today to $15 billion by 2040.

For Uganda to seize the DCTS opportunity, Chesney stressed the importance of aligning national trade policy with the African Continental Free Trade Area (AfCFTA) and addressing regulatory barriers that slow trade. She also highlighted UK-backed investments in climate-smart agriculture, such as Nexus Green’s solar irrigation systems, as examples of the partnerships needed to raise productivity and resilience.

The forum, held on Wednesday, which brought together government officials, exporters, agribusiness leaders, and UK partners, underscored agro-industrialisation as the linchpin of Uganda’s trade future. “The programme seeks to reduce trade deficits by adding value to agricultural raw materials and promoting high-value exports,” said Gen Wilson Mbasu Mbadi, State Minister for Trade.

While Uganda’s exports to the UK stood at just $28 million in 2024, dominated by coffee, tea, spices, and flowers, the tariff-free window presents an unprecedented opportunity. But without urgent reforms in production, value addition, and export infrastructure, experts warn Uganda risks remaining a marginal player in global trade.