Overview:
Museveni has proposed building the Juba-Nimule road and a power line with South Sudan, saying Uganda’s exports to its neighbour have grown to $700m a year.
ENTEBBE, Uganda — Ugandan President Yoweri Museveni on Thursday proposed building the Juba-Nimule road and a power line linking Uganda and South Sudan to ease trade between the two neighbours.
Museveni made the proposals during a meeting with a delegation of senior South Sudanese officials led by Trade and Industry Minister Dr Labanya Margaret Mathya at State House in Entebbe.
He said Uganda should work with the African Development Bank to build the road, which links the South Sudanese capital to the border town of Nimule, and develop an electricity connection between the two countries. He also called for the two countries’ armies to cooperate on securing their shared border.
“We should work on three areas: working with the African Development Bank on constructing the Juba–Nimule road for business between the two countries, building the power line, and then also our two armies cooperating on securing the borders,” Museveni said.
He also proposed a one-stop border centre to simplify procedures, cut delays and ease the movement of goods and people.
Museveni said Uganda’s annual exports to South Sudan are estimated to have grown from $500 million to $700 million, and called for closer cooperation to remove trade barriers.
Dr Labanya said the delegation was in Uganda for a business forum seeking practical solutions to problems affecting cross-border trade.
“Uganda is one of the biggest exporters to South Sudan. We really appreciate and are extremely glad for that trade in our country. It meets very few hurdles like non-tariff barriers between Nimule and Juba. We came to see better ways to make trade more seamless, acceptable and tasteful to both countries,” she said.
She said trade between the two countries had grown but that business could be made smoother and more efficient. She said cooperation should go beyond goods to include peace, healthcare and the exchange of ideas.
“Trade is everything. We trade in peace, health and in our own intellectual ideas between the two countries and ensuring that the exchange of trade continues,” she said, adding that her office remained open to Ugandan traders’ concerns.
Dr Labanya acknowledged traders’ complaints about roadblocks on key routes, particularly between Nimule and Juba. She said most had been removed and that efforts were underway to address the rest.
“Security of the population, mainly the traders, is key. Some of them were subjected to roadblocks. Most of them were removed recently,” she said.
Uganda’s minister of trade, industry and cooperatives, Sanjay Tanna, said traders in both countries faced similar problems, including frequent administrative changes, non-tariff barriers, delays in clearing goods, insecurity and the high cost of financial services.
He said Ugandan traders had also complained about the slow handling of compensation claims in South Sudan.
“The Ugandan community of traders that has visited me raised the issue of compensation. Their side is slow, our side is quick, however they have committed to improve,” Tanna said.
He called for better coordination, stronger infrastructure, efficient border management and improved security to make it easier to do business.
Also attending were Attorney General Dr Sam Mayanja; Amos Lugoloobi, minister of state for finance, planning and economic development; and Paul Malong Akaro, South Sudan’s ambassador to Uganda.
