Busoga-China chili initiative takes root, promises to boost local economy

First Deputy Prime Minister, Ms Rebecca Kadaga, with Chinese officials during the launch of the chili planting initiative at Bunangwe Village in Kamuli District on May 9, 2025. PHOTO/SAM OPIO CALEB
What you need to know:
- “The chilies are widely used in China's food industry and have huge market demand. Farmers should not be worried about the market,” Mr Zhang
Busoga Sub-region has officially launched a chili pepper growing initiative that leaders say is poised to transform the local economy and uplift household incomes.
The initiative, which stems from the Chili Protocol signed between Uganda and China in September 2024, was unveiled during a launch event where Vice President Jessica Alupo's message was delivered by the First Deputy Prime Minister, Ms Rebecca Kadaga.
Ms Alupo noted that, according to Chinese experts, farmers can earn more than Shs15 million per acre annually in a guaranteed price policy secured under the agreement.
“The guaranteed price policy per season negotiated by the Busoga Consortium for Development (BCD) is a great move, and I encourage other players in the agricultural sector to adopt similar approaches,” Ms Alupo said.
She said that chili cultivation will not only boost household incomes but also contribute significantly to wealth creation and the broader economic transformation of Busoga and Uganda.
“I am sure we shall unveil many more enterprises which together shall drastically change the economic fortunes of Busoga Sub-region and later on the whole country,” she added.

Members of Greater Kamuli Agri-Business Cooperative Society Limited participate in the launch of the chili growing project at Balawuli Sub-county, Kamuli District on May 9, 2025. PHOTO/SAM OPIO CALEB
Representing the Kehong Group, Mr Zhang Kehong outlined the project's comprehensive development model, where the company will provide high-quality chili varieties, professional technical services, and a guaranteed purchase price for farmers.
Mr Zhang praised Uganda’s favorable agricultural conditions, highlighting the country’s suitability for chili cultivation.
“The chilies are widely used in China's food industry and have huge market demand. Farmers should not be worried about the market,” Mr Zhang said.
According to Mr Zhang, the project aims to plant 500 acres of chili peppers, yielding over 1,500 tons of dried chili annually, with an expected annual export value of $300 million (approximately Shs1.09 trillion).
BCD Director General Mr Anthony Mula commended the partnership, describing the initiative as a game-changer for the region's socio-economic development.
“The project aligns with the Village Agricultural Model (VAM) initiative, focusing on education, agriculture, industrialization, and value addition to drive socio-economic transformation and reduce poverty,” Mr Mula noted.
He explained that the chili program is being piloted across Busoga due to its high economic viability and potential to lift households out of poverty.
Mr Mula also called on farmers to embrace irrigation, emphasizing that consistent production is essential to meet the demands of the export market.
“The chili experts are here with us, the market is here with us, the prices are guaranteed before planting, and the yields as well as incomes are predictable based on the consensus between BCD and Kehong Group,” Mr Mula assured.