Overview:
Coffee continued to dominate Uganda’s exports in March, with earnings rising by 18.5% from USD 167.68 million in February to USD 198.62 million in March 2025.
Uganda’s trade deficit with the Rest of the World narrowed significantly in March 2025, falling by USD 183.95 million (46.3%) compared to the same month in 2024, according to the latest Performance of the Economy report from the Macroeconomic Policy Department.
The deficit reduced from USD 397.58 million in March 2024 to USD 213.63 million in March 2025, driven by a sharp rise in export earnings that outweighed growth in imports. Export earnings grew by 40.6% year-on-year, reaching USD 899.10 million, while imports rose by just 7.3%.
Coffee led the export boom, with earnings more than tripling—from USD 64.74 million in March 2024 to USD 198.62 million in March 2025. This 206.8% increase was spurred by both higher international prices and greater export volumes. Global coffee prices surged from USD 3.27/kg to USD 5.15/kg over the year, amid dry weather in Brazil and Vietnam, the world’s top producers. Uganda also exported more bags of coffee, up from 334,556 to 642,981 sixty-kilogram bags, boosted by improved yields and government efforts to support production.
Other top-performing exports included cocoa beans (up 71.7% to USD 67.42 million), mineral products (up 42.4% to USD 385.08 million), sugar (up 31.2% to USD 15.39 million), and fish and its products (up 22.5% to USD 12.04 million).
Month-on-month, however, Uganda’s trade deficit widened sharply—from USD 48.89 million in February to USD 213.63 million in March 2025, representing a 337% increase. The rise was attributed to a 25.4% jump in the import bill that outpaced the 7.3% growth in export earnings over the same period.
Coffee continued to dominate Uganda’s exports in March, with earnings rising by 18.5% from USD 167.68 million in February to USD 198.62 million in March 2025. Italy remained the top destination for Ugandan coffee, accounting for 38.43% of exports, followed by India (8.92%), Germany (6.89%), Spain (6.06%) and Sudan (5.72%).
The latest data signals the positive impact of strategic efforts to expand Uganda’s export base, particularly in key sectors like coffee, minerals, and agriculture. However, rising imports highlight the need for continued investment in local production and competitiveness to sustain the trade balance improvements.