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Lamwo District Investment Profile

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Lamwo District Investment Profile LAMWO DISTRICT INVESTMENT PROFILE Uganda LAMWO DISTRICT | Figure 1: Map of Uganda showing the location of Lamwo District 2 ARUA DISTRICT INVESTMENT PROFILE SNAPSHOT ONLAMWO Geography Location Northern Uganda Neighbors Kitgum, Pader, Gulu and Amuru districts and S.Sudan in the North District area 5,588.3 KM2 Arable land area 5029.5 KM2 Socio-Economic Characteristics Population (2016 estimate based on 2014 Census) 137,948 Refugees and Asylum seekers (August 2016) 3,993 Languages English, Acholi Main Economic Activity Agriculture Major tradeables Cotton, sunflower, simsim, rice, millet, sorghum, Ground nuts and beans Market target South Sudan, North and Eastern DRC and Uganda of approximately 71 million people Infrastructure and strategic positioning Transport network Road Transport Communication: MTN, Airtel GEOGRAPHY  The district has an area of 5,588.3 km2, of which 90% is arable. How- ever the district is sparsely populat- ed with population density of 24.5 persons per sq. km and therefore uses limited land in agriculture. ARUA DISTRICT INVESTMENT PROFILE 3 DEMOGRAPHY | South Sudanese refugees arrive in Lam- wo district  Lamwo is one of the Ugandan  In 2016, the population of districts that are participating in Lamwo District was estimated settling the refugees who have at approximately 137,948. The migrated from South Sudan population of the district is because of politically triggered young, with age group under violence. The refugees are 18 constituting up to 58.2%. registered in a reception center, This puts a great pressure on allocated plots of land in a refu- the working population. The gee settlement and supported to population trend is presented in build homes, farm and establish the table below: income generating businesses. | Lamwo population trend This effort is in line with Ugan- Census year Population da’s transformational approach 2014 (Census) 134,431 of making refugees in Uganda 2015 (Estimates) 135,600 self-reliant and locally integrat- 2016 (Estimates) 137,948 ed with the host communities Source: UBOS Statistical Abstract 2016 thus alleviating their restriction, lack and uncertainty. 4 LAMWO DISTRICT INVESTMENT PROFILE MAIN ECONOMIC ACTIVITIES  Crop farming is the main source  The district experiences two of livelihood of the population. rainy seasons from March to Cotton is the main cash crop June and from August to Novem- and other cash crops such as ber which favours continuous sunflower, simsim, rice, millet, growing of crops thus contrib- sorghum, Ground nuts and beans uting to the communities’ food are growing in importance. security.  Recently barley and wheat have also been introduced and are grown commercially. Livestock farming supplements crop farming. WHY INVEST IN LAMWO DISTRICT  Lamwo is a prime investment Extensive Natural site based on its unique features resources including its tourist attractions,  The district has an area of fertile soils, conducive weather 5,588.3 km2, of which 90% is and available land. It is strategi- available fertile arable land. cally located within a large mar- Given the sparse population ket of the population in South density of 24.5 persons per km2, Sudan, North and Eastern DRC the community uses a small and Uganda of approximately land area for agriculture. There 71 million people. The following is therefore available land which offer reasons for investing in can be exploited for commercial Lamwo: agriculture.  Lamwo has abundant water re- sources which can be harnessed to support agricultural produc- tion. These sources include; LAMWO DISTRICT INVESTMENT PROFILE 5 boreholes, shallow wells, springs, The Aringa Bridge, for exam- wetlands and rainwater. These ple, was rehabilitated in 2014 can provide a reliable source of financed by the Japanese Gov- water for farm irrigation. ernment under its partnership with the Government of Uganda. Enabling Environment The completed bridge reopened access into Lamwo for investors The Government of Uganda has  and traders to conduct business. demonstrated strong commit- ment to create and strengthen Lamwo district has one ma- the environment for existing and jor gravel surface road that new investors to be competitive connects it to Adjumani through within Uganda, regionally and Atiak on the west and to Gulu internationally. on the East. The district also has a murram road network linking Transport Infrastructure  its rural areas. Within the Sec- Government has constructed ond National Development Plan roads especially feeder roads, 2015/16 – 2019/20, Government with a focus on enabling and plans to tarmac the district’s enhancing the progress of major road (Lamwo – Adjumani business operations and other – Atiak). income generating activities. WHY INVEST IN LAMWO DISTRICT? IN LAMWO WHY INVEST | Aringa Bridge in Lamwo | Nyimur Multipurpose Water Resources Project 6 LAMWO DISTRICT INVESTMENT PROFILE  Energy infrastructure Government has focused on expanding electricity generation and supply nationwide with the aim of significantly reducing the overall unit cost and making it affordable and readily available for industrial and domestic use. | Girls at a High School in Lamwo In 2011, Government commis- sioned a new national grid power 5,105 ha. A mini hydropower line to Lamwo district. plant with a capacity of 350  Other agricultural infrastructure kW is also included in the developments dam component. » The Agoro Irrigation Scheme While the project is aimed at social is another infrastructural development of the community, development in Lamwo it will create a large base of high which is aimed at fostering productivity cultivation (irrigated commercial agriculture of agriculture) that will make avail- non-traditional crops such as able enough produce supply for wheat and barley as well as agro-processing businesses. The other high value fruits. agricultural products generated from this scheme and further scale- » Nyimur Multipurpose Water up investments can find abundant Resources Project markets mainly from within Uganda, This project, in the incep- South Sudan and DRC. tion phase, is in the Nyimur River valley found in Lamwo Skilled workforce district in Uganda and Magwi The Government has set up primary County, Eastern Equatorial and secondary schools and also in South Sudan. Uganda is a spearheaded the provision of partner and instrumental in scholarships for science students this project implementation in higher institutions of learning. under The Nile Basin Initia- Lamwo has 65 primary schools, six tive. The project consists of a secondary schools and two techni- 26M head dam reservoir on cal schools. Skilled and affordable Nyimur River and five mod- workforce are abundantly available. ules of irrigated lowland rice of measuring approximately LAMWO DISTRICT INVESTMENT PROFILE 7 Supportive Local projects entail significant plant Government structures and machinery costs. Below is a snapshot of selected incentives. The local government structures in- The incentive structure is cur- tegrate the political structure under rently under revision. For details, the district Chairman and the tech- refer to www.ugandainvest. nical structure under Chief Admin- go.ug/downloads/ istrative Officer (CAO) in order to provide efficient services. Investors Category 1- Initial Allowanc- are assisted by the different de- es: Initial capital expenditures partments in the local government which are deductible once from depending on the issues at hand. the Company’s Income: Uganda Investment Authority (UIA) » 75% of cost of plant and is promoting the one stop centre machinery for an investment concept at the district level where located outside Kampala, the Chief Commercial Officer (CAO) Entebbe, Jinja area; is the facilitator of new investors, to fulfil all required steps in invest- » 100% of scientific research ment start up. expenditure; UIA has further embarked on estab- » 100% of training expenditure; lishing District Investment Commit- » 100% of mineral exploration WHY INVEST IN LAMWO DISTRICT? IN LAMWO WHY INVEST tee (DICs) to spearhead investment expenditure; attraction, facilitation and aftercare 25% of start-up costs are in different sectors. The DIC is a 10 » deductible over four years. member task force comprising five local government representatives: Category 2- Annual Deprecia- the District Chairman, CAO, the tion Allowances: The following District Commercial Officer (DCO), allowances, under declining bal- District Planner and the Lands Offi- ance method, are provided for cer while the other 5 members are assets as specified in 4 classes chosen from the private sector. below: » Class I: 45% on Computers & Attractive Incentive regime Data handling equipment;  Uganda’s incentive package » Class 2: 35% on Automo- for both domestic and foreign biles, Construction and Earth investors provides generous moving equipment; terms, particularly for medium- and long-term investors whose 8 LAMWO DISTRICT INVESTMENT PROFILE » Class 3: 30% on Buses, Goods Green-houses using straight Vehicles. Tractors, Trail- line depreciation ers, Plant & Machinery for  In addition to the above farming, manufacturing and incentives, there is a zero rate mining; of import duty on plant and » Class 4: 20% on railroad cars, machinery as well as a uniform Locomotives, Vessels, Office corporate tax rate of 30%. furniture, fixtures etc.  The depreciation allowanc- Category 3 - Other Annual De- es, plus the deductible initial preciation Allowances include: capital allowances are provided without discretion to eligible » 5% on Industrial Buildings,
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