Trucks at Elegu border. South Sudan has emerged as a major market for Uganda's manufactured goods, including cement, sugar, fast-moving consumer goods, and cereals. These products are also exported to the Democratic Republic of Congo. PHOTO/ MICHAEL KAKUMIRIZI
In a shift in regional trade patterns, South Sudan has emerged as Uganda's top export destination, overtaking Kenya, according to the latest data from the Bank of Uganda.
This marks a significant change in the region's economic landscape and highlights the growing trade ties between Uganda and South Sudan.
The data shows that in January 2025, Uganda exported goods worth $55.9 million (Shs206b) to South Sudan, representing a 54 percent increase from the previous month when the country exported goods worth $25.4m (Shs94b).
This surge propelled South Sudan to the top spot, pushing Kenya to third place.
Kenya, which had long been Uganda's largest export market in the region, saw a slight decline in exports, with Uganda shipping goods worth $35.7 million (Shs132b) to Kenya in January, a percentage drop from the previous month.
The Democratic Republic of Congo (DRC) took second place, with Uganda exporting goods worth $45.4 million (Shs167 billion) to the country in January. However, the ongoing civil strife in the DRC is likely to impact trade between the two countries.
Reacting to the sudden surge in exports to South Sudan, Mr John Bosco Lwere, an international trade expert, at the now merged Uganda Free Zones and Export Promotion Authority, said: “This is an abnormal trend. When you look at the major items that Uganda exports to South Sudan, there has not been a major change. We are still searching for the actual product that could have pushed up the numbers.”
Nonetheless, South Sudan has emerged as a major market for Uganda's manufactured goods, including cement, sugar, fast-moving consumer goods, and cereals. These products are also exported to the DRC.
Experts say this shift is a significant boon for Uganda's economy, which has been seeking to diversify its export markets. South Sudan's growing demand for Ugandan goods, including cement, cereal flours, and raw iron bars, is expected to continue driving growth in bilateral trade.
The development is also a testament to the growing economic ties between Uganda and South Sudan, which have been fostered through various regional trade agreements and infrastructure development projects.
“These exports are a shot in the arm for Uganda's economy, and we're thrilled to see our manufacturers making inroads into the regional market," says Allan Ssenyondwa, the manager of policy and advocacy at the Uganda Manufacturers Association.
"Any dollar added to Uganda's treasury reserves is good for economic development and job creation."
Experts argue that as Uganda seeks to expand its export base and reduce its reliance on traditional markets, the growth in trade with South Sudan is a welcome development.
Another country to watch is Sudan, which has seen a significant increase in imports from Uganda. In January, Uganda exported goods worth $15.2 million to Sudan, a 63 percent rise from the previous month.
Coffee, tea, and spices are among the main products exported to Sudan, which is a leading coffee market destination in Africa for Uganda.
The shift in trade dynamics is a significant boon for Uganda's economy, which has been seeking to diversify its export markets.
Sudan is another country to watch out for as an Uganda's emerging export destination.
BoU records show that in January, Uganda exported goods worth $15.2m (Shs56b).
This indicated a 63 percent rise.
Most of the goods Uganda exports to Sudan are: coffee, tea, and spices, among others. Sudan is a leading coffee market destination in Africa for Uganda.
Also in the period in review, exports to Rwanda in January increased to $24.5m (Shs90b), up from $19.3m, shipped in December. This indicated a 21 percent increase.
In the region, exports to Tanzania declined to $8.5m (Shs31b) down from $14.3m (Shs52b) shipped in December.
As Uganda expands its export base, countries such as South Sudan, DRC, and Sudan are likely to play an increasingly important role.
Burundi
Uganda's exports to Burundi indeed experienced a slight decline from $5.9m (Shs21b) in December 2024 to $4.8m (Shs17b) in January 2025.
This decrease might be attributed to various factors, but specific details on the cause are not available.
Some of Uganda's exports to this East African country include fruit, nuts, and other plant parts: These products were exported in January 2025, although the exact value is not specified.
Uganda also exported propellant powders, and pharmaceutical products among other products.
