Leaders make U-turn on sugar project

A section of Atiak Sugar Factory in Amuru District is expected to produce 50,000 metric tonnes of sugar annually once complete. PHOTO BY JAMES OWICH.

What you need to know:

Stalled project. The sugar project, which has stalled since 2009, has been a centre of controversy over failed negotiations in regard to land acquisition.

AMURU. Leaders in Amuru District have expressed willingness to negotiate with government over its proposal to give 40,000 hectares of land to Madhvani in order to establish Amuru Sugar Works.
Since 2009, the sugar project has stalled with leaders and residents in Amuru demanding that government enters negotiations with the rightful land owners.
Newly elected Amuru District chairperson Michael Lakony, said he was ready to open fresh talks with government to pave way for the multi-billion shillings project.

“In the past government officials acted as agents of Madhvani and this raised a lot of suspicion among residents who own land,” he said, adding he would meet President Museveni in a month’s time over the matter.
Kilak County MP Gilbert Olanya, however, insisted that the project would not thrive unless government negotiates with the people of Amuru directly. He said the talks should offer a process of land acquisition that is favourable to those involved.

Mr Christopher Okema, a resident in Amuru District faulted government for its investment poor approach, explaining that government chose threats and intimidation instead of adopting better method of land acquisition.
“Unless such old fashioned acts are abolished, there is no way people of Amuru will embrace such projects,” he said.
“Unless such old fashioned acts are abolished, there is no way people of Amuru will embrace such projects,” he said.
According to DP president Norbert Mao, Madhvani deserves a second chance but should adopt new terms of negotiation adopted.

“Government should be transparent,” he said, advising that Madhvani should negotiate with the representatives of the people but not for government to portray itself as a broker.
President Museveni, who visited the area in April 2011, accused some people, who he did not name of behaving as if Uganda is the only country to invest in.
Representatives of land owners from Lakang, Kololo, Bana and Pailyec, the proposed site for the sugar project, met President Museveni in Rwakitura in 2014 and signed a mutual agreement leasing out 10,000 hectares of land to Madhvani.

The fear
The challenge. President Museveni says Uganda risks importing more sugar given that the country produces 200,000 tonnes against a total consumption of 500,000 tonnes annually.