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Arua District Investment Profile

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ARUA DISTRICT INVESTMENT PROFILE Uganda ARUA DISTRICT | Figure 1: Map of Uganda showing the location of Arua District 2 ARUA DISTRICT INVESTMENT PROFILE SNAPSHOT ONARUA Geography Location: West Nile Neighbors: Maracha, Koboko, Yumbe, Adjumani, Nebbi, Zombo District area: 4,274.13 Km2 Arable land area: 3,718.86 Km2 Socio-Economic Characteristics Population (2016 projection): 820,500 Refugees and Asylum seekers (April 211,749 (26%) 2017): Languages: Lugbara, English, Kiswahili, Lingala and Arabic Main Economic Activity: Agriculture Major tradeables: Cassava, Sweet Potatoes and Plantain Market target: 71 million, including DRC and South Sudan Infrastructure and strategic positioning Transport network: Arua Airport; (road network) Communication: MTN, Airtel, Africel, UTL, the internet GEOGRAPHY  Arua district lies in the  In total the district covers an North-Western Corner of Ugan- area of 4,274.13Km2, of which da. It is bordered by Maracha about 87% is arable. It is located district in the North West; Yum- 520 km from Kampala and only be in the North East; Democratic 80 km from the South Sudan Republic of Congo in the West; Border. Nebbi in the South; Zombo in the South East; and Amuru district in the East. ARUA DISTRICT INVESTMENT PROFILE 3 DEMOGRAPHY  Arua town is very busy and cos-  The refugees, mainly from South mopolitan, with major languag- Sudan are of diverse ethnic es: English, Kiswahili, Lingala backgrounds; Dinkas, Kuku, Nuer, and Arabic and many local Kakwa, Madi, and Siluk and have dialects widely spoken, and mul- close ethnicity with the locals tiple cultures freely celebrated. who are Kakwa, Madi, Alur and This demonstrates the unique Lugbara. This partly explains welcoming and inclusive charac- the peaceful coexistence in the ter of the local population. community.  As at 2016, the district had  Arua promotes the government’s an estimated population of exemplary refugee settlement 820,500, of which 36,731 9 (4.5 model that allows refugees percent) were refugees. By May to interact freely and set up 2017, Arua hosted 151,039 refu- investments, which provides gees, accounting for 18 percent an opportunity to harness their of the district population. potential to accelerate local eco- nomic development. Generally, the refugee and host communi- ties enjoy a cordial relationship, which offers a favourable envi- ronment for doing business. 100 90 80 70 60 50 40 30 20 10 0 2014 2015 2016 2017 4 ARUA DISTRICT INVESTMENT PROFILE MAIN ECONOMIC ACTIVITIES  The economy of Arua depends Beans 5% mainly on agriculture which Sorghum 5% employs over 80% of the house- Finger Millet 4% holds1. Of those employed in Others 7% agriculture, 86% are engaged in the crop sector, 0.6% in animal Banana 6% rearing, and 0.9% in fishing. Maize 4%  Both food and cash crops are grown. The major food crops Sweet Potatoes 16% include cassava, beans, ground- nuts, simsim, millet and maize. Cassava 53% Tobacco is the major cash crop and is the main source of livelihood for majority of the Some Refugees have come population in the district. There with skills and capital and is renewed interest in the pro- have established small motion of coffee production in businesses. many areas of the district now. “Investing in these  With the total production vol- communities offers a ume of 275,994 Metric Tons of strong business case for major crops, Arua has a strong both the private sector agricultural raw material supply and the locals. base for value adding agro-pro- Mr. Shapan Andeku, District Planner ARUA cessing industries.  Other non-agricultural activi- ties include: general retail and Involvement of refugees in whole sale, metal and wood the local economy fabrication, art and crafts pro- About 47% of the refugees are duction, fish farming and live-  actively engaged in the local stock farming. Tobacco is also economy. Majority engages in grown extensively for income farming, retail business and ca- generation. Honey production sual labour. Ability and potential and trade is a known income to generate income is critical for generating activity. boosting the local economy. ARUA DISTRICT INVESTMENT PROFILE 5 WHY INVEST IN ARUA DISTRICT? Existing Infrastructure  Arua Airstrip serves the North- ern Region. It is an important  There are 61 bridges to enable centre for passenger and cargo accessibility to the rural areas. air traffic between Uganda, DRC  Major government investments and South Sudan making it sec- are in infrastructural transfor- ond-busiest airport in Uganda, mation such as the tarmacking after Entebbe. Arua Airport’s of the Arua to Karuma High- services further strengthens the way and the tarmacking of the District’s status as a trade and Vurra-Arua-Koboko-Oraba road.  Investment hub: Electricity is The tarmac roads are in very supplied by West Nile Ener- good condition and are regularly gy Company (WENERECO), a maintained. partnership of a private investor  The district has a total road and the Government of Uganda network of 1,831km. Of these, which manage the West Nile 546Km are trunk roads, 304km Rural Electrification Project. The are feeder roads while 981km project generates 1.5 MW of are community access roads. thermo electricity serving up to 2,800 customers in Arua, Paidha, Yumbe and Nebbi Districts. | Arua Airfield 6 ARUA DISTRICT INVESTMENT PROFILE | Nyangak hydro power dam  Special Economic Zone: Arua  Communication: The district Special Economic Zone Limited enjoys good access to major (Arua SEZ) was recently issued mobile telephone networks a developer’s license and has including MTN, Airtel, UTL, the launched the project to devel- internet, as well as radio and op a $12.7million Free Zone television networks enabling the on a 12.274-hectare land, in much-preferred instant/quick Arua Municipality. Arua SEZ, communication. There are 4 is expected to be a key driver radio stations and 2 booster sta- for exports and job creation in tions in the locality. The booster Uganda specifically targeting the stations including the govern- export destinations in Eastern ment owned UBC and BBC serve Democratic Republic of Congo, approximately 850,000 people. South Sudan, and Central African There are three (3) television Republic while raw materials stations in Arua. BTN television from these countries such as is stationed in Arua district timber and minerals will be while WBS and DSTV are relay processed for the international television stations. The district markets. The fully serviced Zone has up to six internet cafés pro- will also offer huge warehouse viding internet services. space, and an Export Business  Accommodation: Arua town Accelerator Park for local Small hosts a wide range of housing and Medium Enterprises to get including permanent commer- on to the international value cial buildings, office buildings, chains. The project will include permanent residential houses the development of an office and apartment blocks. A few park for dedicated trade facilita- hotels with ample amenities and tion and market linkage services comfortable ambience include to enhance trade in the region. Heritage Park Hotel, Desert Breeze hotel and Golden Court Hotel Arua. Other are Golden Courts Hotel and White Castle DISTRICT? IN ARUA WHY INVEST Hotel. ARUA DISTRICT INVESTMENT PROFILE 7 NDPII (2015/16-2019/20) A Regional Trade and Planned Infrastructure Investment Hub projects to boost economic activity  Arua District is a lucrative regional trade hub facilitating  ARUA will be upgraded into one trade linkages among many of the Four Regional Cities in districts in Northern Uganda Uganda and cross border trade with  Through the planned Standard South Sudan and the Democratic Gauge Railway Network, Arua Republic of Congo. It targets will be directly connected to a market of approximately 71 Mombasa million people2.  A ferry to the Rhino camp to  Its location in the vicinity shorten the route from the of three countries enables a Northern Uganda to Kampala. natural concentration of a large, diverse and business minded  Arua Airfield will be upgrad- population who demand and ed to an international Airport. supply a wide range of goods Plans include a modern airport and services. terminal with capacity for 200 passengers, paving the runway  Arua hosts branches of some of and widening it to 45 metres the reputable Banks: Bank of Af- (148 ft), and extending it to 2.5 rica, Barclays Bank Uganda Ltd, km (8,200 ft). Centenary Bank Ltd, Diamond Trust Bank Ltd, Housing Finance  Arua will be part of the new ICT Bank Ltd and Stanbic Bank Ltd, infrastructure that have regional and interna-  Proposed development of A Spe- tional business connections. cial Economic Zone in Arua  Investors have opportunities  The Government is continuing to locate in Arua and expand work on the Nyangak Hydro business activities into the Power Station to ensure sustain- neighbouring districts Koboko, able power supply for domestic 2 Assuming the whole of Uganda (34 million and industrial use in the district. people), South Sudan (12.4 million people) and North East DRC – six provinces (24.6 WHY INVEST IN ARUA DISTRICT? IN ARUA WHY INVEST million people). 8 ARUA DISTRICT INVESTMENT PROFILE Yumbe, Moyo, Adjumani, Nebbi,  Availability of wind energy (wind Maracha, Amuru, Zombo. In these speed ranges between 3.2 -3.9). districts, the investor may link This is sufficient for small scale to agricultural raw materials electricity generation especially suppliers and technical services for water pumping. subcontractors, and at the same  Prospect of oil and gas along the time supply its products to the Albertine Graben. markets. Skilled and Productive Abundant Natural workforce Resources  Arua district is endowed with Existence of natural forests  industrious, technically capable which are potential for biomass and affordable manpower.
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