Uganda to review Entebbe airport charges as fish exporters struggle

KAMPALA, Uganda — The government has announced a review of landing and logistical charges at Entebbe International Airport in a bid to assist fish exporters struggling with high operational costs.

Lynette Bagonza, permanent secretary at the Ministry of Trade, Industry and Cooperatives, said the government aims to improve the business environment by addressing the air freight expenses that currently undermine the sector’s competitiveness.

Fish exports are Uganda’s third-largest foreign exchange earner, bringing in about $116 million annually. However, industry players say the cost of shipping chilled fish from Entebbe ranges from $1.25 to $1.80 per kilogram, significantly higher than the sub-$1 rates offered at Moi International Airport in Mombasa, Kenya.

The price disparity has forced many local exporters to truck their products to Kenya for shipment to global markets.

“The fish exporters are showing the pain they are going through, and we should solve it,” Bagonza said during a meeting with industry leaders at Hotel Africana. She noted that the sector is vital to the government’s 10-fold growth strategy and job creation.

The Uganda Fish Processors and Exporters Association reported that processing plants are currently operating at less than 50% capacity. Beyond high freight costs, the industry is grappling with declining stocks and illegal fishing, which costs the country an estimated $1.4 billion in annual losses.

William Tibyasa, the association’s chief executive, warned that the struggle to remain competitive will intensify as new European Union traceability regulations take effect Jan. 10. He urged the government to support digital tracking systems to ensure Ugandan fish can still access the EU market, which currently takes in 66% of the country’s fish exports.

Despite these hurdles, experts believe addressing the airport charges and improving enforcement at landing sites could eventually push annual fish export earnings to $2 billion.