KAMWENGE DISTRICT INVESTMENT PROFILE

Uganda DISTRICT

| Figure 1: Map of showing the location of

2 KAMWENGE District Investment Profile SNAPSHOT ONKAMWENGE

Geography Location Western Uganda Neighbours , , Kiruhura, Ibanda, , , area 3,439.4 Km2 Arable land area 2300 Km2

Socio-Economic Characteristics Population (2016 projection) 414,454 Refugees and Asylum seekers (April 2017) 62,250 Languages Rutooro, Rukiga, Rutagwenda Main Economic Activity Agriculture Major tradeable Bananas, , , Sweet potatoes

Infrastructure and strategic positioning Transport network Road network, Railway line (for revamping) Communication: MTN, Airtel, Africel, UTL, the internet Website www.kamwenge.go.ug

GEOGRAPHY

ÂÂKamwenge District lies in Western located approximately 305 Km from Uganda It is bordered by Kasese by road. district in the west, Kabarole in ÂÂKamwenge is made up of two coun- the north west and extreme north, ties and one municipal council: 1. Kyenjojo and Kyegegwa in north Kitagwenda County 2. Kibaale Coun- and north east, Kiruhura in the east, ty and 3. Kamwenge Town Council. Ibanda in the east and south east and Rubirizi in south west. ÂÂKamwenge District is part of the Kingdom of Tooro, one of the ÂÂThe district covers a land area of ancient traditional monarchies in approximately 2,439.4 km2. It is Uganda.

KAMWENGE District Investment Profile 3 DEMOGRAPHY

ÂÂThe predominant ethnic group areas where they are allocated in the district are Bakiga, fol- plots of land to build homes and lowed by Bafumbira. Other tribes to farm. They are also encour- include the indigenous Batoro; aged to interact freely, set up Batagwenda, Banyarwanda and shops and other retail business- several other tribes. The lan- es. They speak Kiswahili and guages spoken include: Rutooro, English and therefore communi- Rukiga, Rutagwenda, Rufunmbira cate easily with the local com- and Runyarwanda. The tribe are munity. They also speak French known to peacefully coexist. and Lingala. ÂÂAs at 2016, Kamwenge had ÂÂKamwenge promotes the gov- an estimated population of ernment’s exemplary refugee 442,600, of which 56,938 (13 settlement model that allows percent) were refugees. By May refugees to interact freely and 2017, the district hosted 62,250 set up investments, which pro- refugees. vides an opportunity to harness their potential to accelerate ÂÂRefugees in the district main- local economic development. ly come from the Democratic Generally, the refugee and host Republic of Congo (DRC). Others communities enjoy a cordial migrated from Burundi, Rwanda relationship, which offers a fa- and Tanzania. They are hosted vourable environment for doing in the Rwamwanja settlement business.

80

60

40

20

0 2014 20152 016 2017

4 KAMWENGE District Investment Profile MAIN ECONOMIC ACTIVITY

ÂÂAgriculture is the main econom- ic activity and source of live- lihood in the district. Bananas dominate the grown and traded crops, followed by Maize, Cassa- va and Sweet potatoes. Other crops, Sorghum, , Ground- nuts, Beans, Tea, , Cotton, Tomatoes, Cabbage, Onions, and Pineapples are grown on smaller | Banana plantiation in Kamwenge District scale mainly for subsistence. ÂÂFishing is another important Involvement of refugees in occupation from which the peo- the local economy ple earn income. With the total production volume of 191,265 ÂÂMore than 80 percent of the ref- Metric Tonnes of major crops, ugees are involved in economic Kamwenge has a strong base for activities1 including farming, agro processing. retail business. Some provide casual labour, which offers crit- ÂÂRural trading centres with ical mass for boosting the local potential to grow into com- economy. It is therefore evident mercial centres have continued that the refugee population is a to emerge which is attributed positive addition to the district’s to increased rural road net- human resource, if well har- work. Similarly, the extension nessed of electricity in rural areas has Others 5% increased small scale informal Cassava 11% Beans 4% sector activities like weld- ing, carpentry, vehicle repair S. Potatoes 10% workshops and other related occupations. Maize 11%

Bananas 59%

KAMWENGE District Investment Profile 5 WHY INVEST IN KAMWENGE DISTRICT?

Existing Infrastructure ÂÂRoads: District rich in road network. ÂÂThe Government has invested in upgrading two major roads con- necting to Kamwenge making it much easily accessible from Ibanda, and Fortportal. These are (i) Mbarara – Ibanda – Kamwenge; and (ii) Fort-Portal | Accommodation facilities in Kamwenge to Kamwenge. ÂÂCommunication: The district ÂÂElectricity: Reliable electricity enjoys good access to major is generated by Power mobile telephone networks Station, the 18 megawatts including MTN, Airtel, UTL, the (24,000 hp) mini hydroelectric internet, as well radio stations, power project. enabling the instant/quick com- munication. One Radio station (Voice of Kamwenge) operates within the District while more coverage is offered by Radio Endigyito in Mbarara, Voice of Toro, and Rwenzori FM Efurembe as the major ones. ÂÂAccommodation: Kamwenge town hosts a wide range of housing including permanent commercial buildings, office buildings, permanent residential houses and apartment blocks. Many hotels offer amenities and comfortable ambience for both | -Kamwenge Road tourists and business people

6 KAMWENGE District Investment Profile ÂÂFinancial Infrastructure: the dis- trict leadership under this plan trict has two commercial banks is committed to the following namely Finance Trust and Post priorities: Bank. There are various Savings » Improving communication and Credit Cooperative Societ- and health infrastructure ies (SACCOs) as well as Farmer promote and implement UPE, Cooperatives. A wide network strengthening secondary, of Banks is concentrated in technical and vocational Kabarole and Ibanda Districts, in education in the district. the proximity of Kamwenge. » Provision of safe water and NDPII (2015/16-2019/20) sanitation facilities with a Planned Infrastructure view of increasing water cov- projects to boost economic erage in schools and public activity institutions. ÂÂThrough the planned Standard » Increase household level pro- Gauge Railway Network, Kam- duction and factor productiv- wenge will be directly connect- ity in line with prosperity for ed to Mombasa (Kenya) and all. (DRC). » Increase general community ÂÂThe oil Railway line will be awareness, intensification upgraded. of community mobilization campaigns through func- ÂÂWater transport will be provided DISTRICT? IN KAMWENGE WHY INVEST tional Adult Literacy will be on connecting to promoted. Rubirizi and Kasese Districts.

ÂÂImproved transport infrastruc- | Mpanga Hydro dam in Kamwenge ture is expected to facilitate access to markets and raw ma- terial sources in the neighbour- ing districts, DRC, Rwanda and Burundi, as well as tourism. ÂÂKamwenge district has its own Development Plan which provides a framework for policies, growth priorities and resources. Among others, the plan provides strategies for addressing constraints. The Dis-

KAMWENGE District Investment Profile 7 WHY INVEST IN KAMWENGE DISTRICT? Resources Abundant Natural   » » industry.include: These for base materialraw tainable sus- form would that resources natural diverse has district The » » » » » » » Gold Limestone resources arenotwasted. that so investments all of sustainabilitytenanceand Continuedoperation, main- December). September-and ary-March (Janu- months 3-4 for Climate; Tworainyseasons QuarryStone Clay Sand Marble Tin 8 KAMWENGE District Inve workforce Skilled andProductive    stment Profil e    manpower pool. manpower existing the on build and nesses busi- own their start backto districts.comeother Others in institutions from graduating ter af- district the backto attracted are and in opportunities finding Young started have people tion, andnursing. and Accounts,office administra- training incatering, Business offering institutions industrial reputable has district The manpower.affordable and pable industrious,with technically ca- Kamwenge districtisendowed » District. Kyenjojoand District Kibale Park,with shares it which region,National Kibaale and Kasyoha/Kitomithe in forests wetlands,numerous tropical The districtisendowed with

Tourism Potential tive Officer, District Commercial Officer, District Planner and the The district is endowed with: Lands officer while the other 5 ÂÂNational Parks/Reserves such as. members chosen from the private Katonga Game Reserve border- sector. ing with Kyenjojo and Kiruhura ÂÂThe district has a one-stop centre Districts, Kibale National Park led by the District Commercial bordering with Kabarole and Officer to facilitate investment Kyenjojo and Queen Elizabeth start-up. National Park bordering with Kasese and Kiruhura Attractive Incentive ÂÂLakes and Rivers such as; L. regimes George which forms border ÂÂUganda’s incentive package between Kamwenge and Kasese, for both domestic and foreign River Mpanga from Kabarole investors provides generous through Kyenjojo to Kam- terms, particularly for medium- wenge into Lake George, River and long-term investors whose Dura which forms Kamwenge projects entail significant plant and Kabarole Border, River and machinery costs. Below is a Rushango which forms border snapshot of selected incentives. between Kamwenge and Ibanda/ The incentive structure is cur- Rushango Town Council and Riv- rently under revision. For details, er Rwambu which forms border refer to www.ugandainvest.go.ug/ between Kamwenge and ? IN KAMWENGE WHY INVEST downloads/ at Rwenkobwa Town Council in Ishongororo. ÂÂRift valley escarpments in Mahyoro.

Administrative support ÂÂA District Investment Committee (DICs) is in place to spearhead investment attraction, facilita- tion and aftercare in different sectors. The DIC is a 10-member task force comprising five local government representatives: LCV chairman, Chief Administra- | Kibale National Park

KAMWENGE District Investment Profile 9 Category 1- Initial Allowances: Category 2- Annual Deprecia- Initial capital expenditures which tion Allowances: The following are deductible once from the allowances, under declining bal- Company’s Income: ance method, are provided for assets as specified in 4 classes » 75% of cost of plant and below: machinery for an investment located outside Kampala, » Class I: 45% on Computers Entebbe, Jinja area; & Data handling equipment; » 100% of scientific research » Class 2: 35% on Automo- expenditure; biles, Construction and Earth moving equipment; » 100% of training expenditure; » Class 3: 30% on Buses, Goods » 100% of mineral exploration Vehicles. Tractors, Trail- expenditure; ers, Plant & Machinery for » 25% of start-up costs are farming, manufacturing and deductible over four years. mining; » Class 4: 20% on railroad cars, Locomotives, Vessels, Office furniture, fixtures etc. WHY INVEST IN KAMWENGE DISTRICT? IN KAMWENGE WHY INVEST

10 KAMWENGE District Investment Profile Category 3 - Other Annual De- ÂÂThe depreciation allowances, preciation Allowances include: plus the deductible initial capital allowances are provided without » 5% on Industrial Buildings, discretion to eligible investors Hotels & Hospitals; in order reduce their taxable » 20% on Farming - General income during the crucial early farm works; years of a project. The investor » 20% on Horticultural therefore keeps a high proportion Plant and Construction of of its cash flow and income for Green-houses using straight further investment. line depreciation ÂÂIn addition to the above District Specific Direct incentives: incentives, there is a zero rate of import duty on plant and ÂÂInvestors assisted to access machinery as well as a uniform suitable land for industrial and corporate tax rate of 30%. agricultural development. The district has earmarked some land for investors across sectors. WHY INVEST IN KAMWENGE DISTRICT? IN KAMWENGE WHY INVEST

KAMWENGE District Investment Profile 11 EXISTING INVESTORS (SELECTED)

| Grain storage facility ÂÂKamwenge Community Develop- ÂÂHima Cement Uganda Limited ment Project. » Operates Dura Quarry for » A public private partnership Limestone between Kamwenge Com- ÂÂSimba Mining Company munity Development Project, USAID. » Operates KITAKA gold mine » Deals in drying, cleaning, ÂÂOther investors are in the Tourist milling, packing and storage accommodation business, oper- of grain. The milled maize is ating more than 15 facilities. sold under the band ‘Kam- wenge Pride’ » Capacity to process 200,000 MT of grain annually.

12 KAMWENGE District Investment Profile INVESTMENT OPPORTUNITIES

Tourism For details, visit the district website: http://www.kam- ÂÂCycads in the Gorge- Kanara The wenge.go.ug/index.php?op- cycads in Mpanga are prehis- tion=com_content&view=ar- toric plants that lived at the ticle&id=47%3Apotentials&- time of the Dinosaurs (several catid=34%3Ademo1&Itemid=1 millions back), they inhabit in Mpanga gorge in Kamwenge district and is the only natural cycad forest in the world. They are categorized as some of the most endangered species of the world by IUCN Red list and act as a source food for baboons. Their scientific name is enceph- alartos whitelockii locally called MUHULE, the forest offers spec- tacular views of the Lake George and mountains of the moon as you enjoy the breath of rare birds like Great blue Turaco. | Mpanga river/falls surrounded by cycads on the hills ÂÂOpportunities » Water based activities such as sport fishing, boat riding, rafting » Lodges and other accommo- dation » Tented camps and cottages around Mpanga Gorge » Tourism Promotion Centre to promote, advertise and market tourism Transport and guide services | Hydro power plant at Mpanga, in Kamwenge » district

KAMWENGE District Investment Profile 13 Agriculture and Agribusiness ÂÂThe Mpanga River is the eighth biggest river in Uganda. It starts in the , in western Uganda, and flows successively through the towns Minerals sector: of Fort Portal (Kabarole district) ÂÂKamwenge is endowed with and near Kamwenge (Kamwenge more than 5 minerals as listed district) down to Lake George. above. There is space for inves- The Mpanga region is mostly tors in: covered by protected areas (Rwenzori Mountains, Kibale » Mineral exploration Forest and Queen Elisabeth Na- » Mineral production tional Park around Lake George) and rural areas dominated by small holder subsistence farm- ing and tea estates. ÂÂOpportunities » Commercial farming (Agro-Tourism) » Large scale Crop production: » Agriculture technologies through Public Private Part- nerships: » seed multiplication to serve areas including neighboring districts » Water related tourism activi- ties like water rafting

14 KAMWENGE District Investment Profile Contacts

Name Position Phone Contact Email address Mr. Aggrey Natuhamya LCV Chairman 0774985242 [email protected] Mr. Masereka Amis Chief Administrative 0772591659 [email protected] Officer [email protected] Mr Bakesiima Patrick District Planner 0772985080 [email protected] Ms. Gillian Twesiigye District Commercial 0776307979 [email protected] Officer

KAMWENGE District Investment Profile 15 Mrs. Jolly K. Kaguhangire Mme. Rosa Malango Executive Director, Uganda UN Resident Coordinator/ Investment Authority UNDP Resident Representative

Uganda

Uganda Investment Authority United Nations Development The Investment Centre Plot 22B Programme (UNDP) Lumumba Avenue Plot 11 Yusuf Lule Road P.O.Box 7418, Kampala, Uganda Nakasero P.O.Box 7184 Tel: +256-414301000 Kampala, Uganda Fax+256-414342903 Tel: +256-417112100 http//www.ugandainvest.go.ug Fax: +256-414344801 www.undp.org