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COFFEE SECTOR INVESTMENT PROFILE UGANDA © shutterstock.com COFFEE SECTOR INVESTMENT PROFILE UGANDA 2016 ACKNOWLEDGEMENTS This profile has been produced under the framework of Supporting Indian radeT and Investment for Africa (SITA) project, funded by the Department for International Development, Government of the United Kingdom and implemented by the International Trade Centre. SITA is a South-South Trade and Investment project aimed at improving competitiveness of select value chains; and increasing investment in five Eastern African countries through partnerships with institutions and businesses from India. Special contributions to writing this report have been provided by: Uganda Coffee Federation Uganda Coffee Development Authority Quality Assurance: International Trade Centre (ITC), Trade Facilitation and Policy for Business Section (TFPB) TCA Ranganathan, External consultant, Rajesh Aggarwal, Chief (TFPB), Andrew Huelin, Associate Programme Advisor (TFPB) Author: Robert Waggwa Nsibirwa Design: Iva Stastny Brosig, Design plus Editor: Vanessa Finaughty and Guillaume Lamothe The views expressed in this report are those of the authors and do not represent the official position of the International Trade Centre, Uganda Investment Authority and the Government of the United Kingdom. The images used in this profile may not always reflect accurately the country context. © International Trade Centre 2016 UGANDA COFFEE SECTOR INVESTMENT PROFILE: 4 Table of Contents UGANDA: AN OVERVIEW 7 BUSINESS ENVIRONMENT 25 KEY FACTS 7 FINANCIAL AND BANKING SECTOR 25 POPULATION 8 ECONOMIC COOPERATION, ECONOMY OVERVIEW 8 REGIONAL INTEGRATION AND TRADE 25 POLITICAL CONTEXT 9 EASE OF DOING BUSINESS IN UGANDA 26 DEVELOPMENTS AND PROSPECTS 9 UGANDA TAX GUIDE 27 FOREIGN DIRECT INVESTMENT (FDI) 11 Company tax WHY UGANDA? 13 Capital gains tax Branch profits tax PREDICTABLE ENVIRONMENT 13 Value-added tax (VAT) FULLY LIBERALIZED ECONOMY 13 Rates of tax (VAT) MARKET ACCESS 13 Fringe benefits tax STRONG NATURAL RESOURCE BASE 13 Local taxes GOVERNMENT COMMITMENT Other taxes TO PRIVATE SECTOR 13 Capital allowances TRAINABLE LABOUR 13 Rates of withholding tax SECURITY OF INVESTMENT 14 Exchange control INVESTMENT INCENTIVES 15 INVESTMENT OPPORTUNITIES 29 THE COFFEE INDUSTRY PRODUCTION 29 AND MARKET 17 VALUE ADDITION 29 OVERVIEW 17 GLOBAL COFFEE DEMAND AND USEFUL CONTACTS 31 SUPPLY ANALYSIS 18 ANNEXES 33 THE UGANDA COFFEE SECTOR 19 ANNEX I: STEPS REQUIRED TO SET UP OVERVIEW 19 A BUSINESS IN UGANDA 33 COFFEE PRODUCTION ANNEX II: LIST OF REGISTERED AND PRODUCTIVITY 20 COFFEE EXPORTERS DURING QUALITY AND VALUE ADDITION THE 2014–2015 COFFEE YEAR 33 OF COFFEE IN UGANDA 21 MARKETING STRUCTURE 22 UGANDA COFFEE VALUE CHAIN 23 UGANDA THE COFFEE INDUSTRY PARTICIPANTS AND THEIR ROLES IN THE SUPPLY CHAIN 23 ROLE OF GOVERNMENT AGENCIES AND THE ENABLING ENVIRONMENT FRAMEWORK 24 COFFEE SECTOR INVESTMENT PROFILE: 5 List of Figures FIGURE 1: UGANDA’S COFFEE AREAS 7 FIGURE 2: UGANDA’S POPULATION IN 2014 8 FIGURE 3: UGANDA’S REAL GDP GROWTH 8 FIGURE 4: FDI BY DESTINATION COUNTRY 11 FIGURE 5: DECLINING SHARE OF AFRICA’S COFFEE PRODUCTION IN THE WORLD – 1980/81 TO 2014/15 17 FIGURE 6: WORLD COFFEE DEMAND AND SUPPLY OVER THE LAST 15 YEARS 18 FIGURE 7: UGANDA’S POSITION IN COFFEE PRODUCTION IN AFRICA 20 FIGURE 8: EAST AFRICA MAJOR COFFEE SUPPLY CHAINS’ COST AND PRICE COMPARISON 22 FIGURE 9: UGANDA COFFEE VALUE CHAIN 23 FIGURE 10: PREMIUMS EARNED ON WASHED COFFEE FIGURE 11: COMPARISON OF PRICES BETWEEN WASHED AND DRY PROCESSED 29 ARABICA COFFEE FOR THE LAST 10 YEARS 30 FIGURE 12: UGANDAN MARKET SHARE OF SOLUBLE CONSUMPTION FOR SELECTED MARKETS 30 List of Tables TABLE 1: UGANDA’S MACROECONOMIC DEVELOPMENT 9 TABLE 2: UGANDA’S GDP BY SECTOR (PERCENTAGE OF GDP AT CURRENT PRICES) 10 TABLE 3: UGANDA’S INVESTMENT INCENTIVES 15 Abbreviations & Acronyms DRUGAR Dried Ugandan arabica EAC East African Community NUCAFE National Union of Coffee EU European Union Agribusinesses and Farm FY Financial year Enterprises GDP Gross domestic product PPP Public-private partnership UGANDA ICO International Coffee Organization UCDA Uganda Coffee NDP National Development Plan Development Authority URA Uganda Revenue Authority WUGAR Washed Ugandan arabica USAID United States Agency for COMESA Common Market for Eastern and International Development Southern Africa CMP Common Market Protocol CY Coffee year WTO World Trade Organization CPI Consumer price index GSP Generalized System of DSIP Development Strategy and Preference Investment Plan IMF International Monetary Fund COFFEE SECTOR INVESTMENT PROFILE: 6 © shutterstock.com Uganda: An Overview Uganda is crossed by the equator and neighbours the Democratic Republic of the Congo (formerly Zaire) and the Republic of Rwanda in the west, the United Republic of Tanzania in the south, the Republic of Kenya in the east and the Republic of South Sudan in the north. Kampala is the country’s capital city. Uganda is one of East Africa’s landlocked countries, and its diverse landscape encompasses the snow-capped Rwenzori Mountains and immense Lake Victoria. Its abundant wildlife includes endangered gorillas and chimpanzees as well as rare birds. Remote Bwindi Impenetrable National Park is a famous mountain gorilla sanctuary, while Murchison Falls National Park in the north-west is known for its 43-metre-tall waterfall and wildlife such as hippos. Key facts Capital: Kampala Land area: 199,807.7 km2 Population: 37.78 mm (2014) Uganda at a glance 0–14 years: 48.30% GDP per capita US$ 714.6 (2014) 15–64 years: 49.20% (nominal): Labour force 15.11 mm (2014) GDP growth: 4.8% (2014) (over 15 years): Inflation rate: 4.3% (consumer price) (2014) Population growth: 3.3% (2014) Currency: Ugandan shillings (UGX) Youth literacy rate (15–24 years): Other major cities: Gulu, Lira, Jinja, Mbarara, Mbale Male: 85.8% (2012) Language: English (official language), Swahili, Female: 81.7% (2012) Luganda (major) Urban population: 15.8% (2014) Religion: Christianity and Islam (major) GDP (nominal): US$ 27 bn (2014) *Source: UIA, 2013; World Bank, 2015 FDI inflow: US$ 1.15 bn (2014) Exports: 18.4% of GDP (2014) Major exports: Coffee, fish, tea, cotton, flowers, horticulture, gold Imports: 28.5% of GDP (2014) Major imports: Capital equipment, vehicles, petroleum, medical supplies, cereals Figure 1: Uganda’s coffee areas Exchange rate UGX 3,339.6 (2015 est.) (per US$): Robusta Hectares Govt. expenditure: US$ 4.34 bn (2015 est.) Arabica Hectares Govt. revenue: US$ 3.29 bn (2015 est.) No Data *Source: UIA, 2013; World Bank, 2015; CIA, 2016 UGANDA COFFEE SECTOR INVESTMENT PROFILE: *Source: USAID, Feed the Future 7 POPULATION In 2014, Uganda had a total population of 37.78 million, which was an increase of more than 10 million from the 24.2 million shown in the 2002 census. Uganda’s urbanization level is progressively increasing. In 2014, the country had 202 urban centres (174 town councils, 22 municipalities and © shutterstock.com one city) and a total urban population of six million.1 © shutterstock.com Figure 2: Uganda’s population in 2014 Male Uganda – 2014 Female 100+ That said, population growth has the potential to be 95-99 90-94 beneficial if the demographic dividend is channelled 85-89 80-84 through the right investments. Under the Uganda 75-79 National Development Plan (NDPII) currently being 70-74 65-69 formulated, the Ugandan Government seeks to 60-64 55-59 accelerate investment in key areas of growth, such 50-54 45-49 as tourism, mineral development and agriculture, 40-44 while fast-tracking human capital and infrastructure 35-39 30-34 development. This will help to ensure that the 25-29 20-24 economy is able to harness the dividend and absorb 15-19 the workforce.2 10-14 5-9 0-4 4 3.2 2.4 1.6 0.8 0 0 0.8 1.6 2.4 3.2 4 ECONOMY OVERVIEW Population (in millions) Age group Population (in millions) Uganda’s economy has displayed a remarkable *Source: United Nations Population Division data recovery in the last 15 years. The country is a pioneer of structural adjustment and The population of 37.78 million constitutes macroeconomic stabilization in Africa. The average approximately 75% under age 30 years and is real rate of annual growth in gross domestic anticipated to increase to 47 million in 10 years, and product (GDP) has been about 6.9%, resulting in in excess of 60 million by 2040 according to the an annual increase of 3.7% in real GDP per capital. Uganda Bureau of Statistics. This creates concerns As measured by the household survey headcount regarding expanding social services and absorbing index, poverty declined in excess of 40%; an the growing youth population in the labour market. achievement aided by high economic growth. Figure 3: Uganda’s real GDP growth % Real GDP growth (%) East Africa Africa (%) 12 UGANDA 10 8 6 4 2 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014(e) 2015(p) 2016(p) COFFEE SECTOR INVESTMENT PROFILE: *Source: African Economic Outlook, 2015 8 1 UNSTATS (2014). Republic of Uganda, National Population and Housing Census 2014, provisional results, November 2014 (revised edition). 2 Vera-Kintu Oling, Alexis Rwabizambuga, Kordzo Sedegah, Tony Muhumuza (2015). African Economic Outlook: Uganda Uganda boasts considerable natural resources, POLITICAL CONTEXT including regular rainfall, fertile soils, small deposits of gold, copper and other minerals, as well as Since 1986, the new government began to recently discovered oil. However, the country has concentrate on restructuring the economy by never performed a national minerals survey. The fostering public institutions’ legitimacy through most vital sector of the economy is agriculture, which political liberalization, and through pro-market employs more than 80% of the workforce. Coffee reforms. The country has not experienced any accounts for the majority of export revenues. noteworthy security incidents since 2005, when the Lord’s Resistance Army was defeated and economic Since 1986, the Ugandan Government has carried activity recommenced in Northern Uganda, and the out currency reform, increasing petroleum product majority of internally displaced people have come prices, raising producer prices on export crops back to their land.
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  • Non-State Legal Aid Service Providers in Uganda

    Non-State Legal Aid Service Providers in Uganda

    Third Edition Non-state Legal Aid Service Providers In Uganda LASPLEGAL AID SERVICE PROVIDERS’NET NETWORK Y TOR REC I 2020 D A CENTRE OF LEGAL AID EXCELLENCE 2020 DIRECTORY OF LASPs Legal Aid Service Providers Network Second Edition FOREWORD Non-stateIts with great pleasure Legal that I present Aid to you the 3rd Edition of the Directory for Non-state Legal Aid Service Providers (LASPs) and ServiceOrganizations Pr compiledoviders and published by the Legal Aid Service Providers Network (LASPNET) with funding from the Democratic In UgandaGovernance Facility. The Network’s membership has sporadically grown overtime and our geographical presence is now in 80 districts as you will observe in this publication. Needless to mention, the publication lists all known LASPs in Uganda that offer legal advice or representation by Lawyers; Paralegals and Community Volunteers as the case may be to the indigent and vulnerable person at no cost. This edition features organizations in Uganda that provide legal advice and assistance in all branches of law. We hope that this document bridges the information gap about LASPs providing the necessary details to support referrals and networks under Legal Aid. LASPNET is focused on strengthening and sustaining collaborations among the LASPs to ensure quality services that meet the essential regulatory requirements for accreditation by the Uganda Law Council. Although not all the organizations listed in the Directory are accredited by Law Council, they are registered in Uganda as Non-Government Organizations providing at least one of the following services to the indigent persons that is legal advice; representation in court; mediation; negotiation and legal awareness.