Govt Okays UPDF to build 25 industrial parks

President Museveni (white shirt) officiates at the launch of Mbale Industrial Park in March 2018. Photo/File

What you need to know:

On June 28, 2021, during his inaugural address to the new Cabinet, President Museveni directed that government should construct five industrial parks per year, rounding the end of the presidential term with 25 industrial parks as part of the strategic plan of mission 2040

Uganda Investment Authority (UIA) has announced a partnership with Uganda People’s Defence Forces (UPDF) to build 25 industrial parks across Uganda.

The new project, whose budget is yet to be fianlised, will see new  industrial parks built in  Arua, Gulu, Lira, Buliisa, Hoima, Nakasongola, Luwero-Nakaseke, Kabarole, Mubende, Mityana, Masaka, Kabale, Bushenyi, Tororo, Rakai, and Iganga districts.

This will bring to 32, the number of industrial parks across the country.

There are currently eight industrial and business parks in the country that are located in Namanve, Bweyogerere, Luzira, Kasese, Mbarara, Jinja, Mbale, Soroti, and Karamoja. It also supports five private industrial parks in Kapeeka area, Lugazi, Buikwe, and Mukono districts.

Mr Robert Mukiza, the Uganda Ivestment Authority (UIA) director general, said the partnership with NEC and UPDF Engineering Brigade, is aimed at fast-tracking construction of the industrial parks in all the regions.

“To smooth the process, UIA, with the National Enterprise Corporation (NEC) and the UPDF Engineering Brigade, are developing a cost-effective budget and roadmap. The involvement of the UPDF Engineering Brigade will reduce construction costs by 70 per cent, in addition to getting value for money and timely completion of projects,” Mr Mukiza said in an interview.

The National Enterprise Corporation (NEC) is the business arm of the UPDF.

On June 28, 2021, during his inaugural address to the new Cabinet, President Museveni directed that government should construct five industrial parks per year, rounding the end of the presidential term with 25 industrial parks as part of the strategic plan of mission 2040.

The President also directed that the UPDF be the infrastructure development partner.

UIA says they target to create 400,000 jobs a year through industrial parks development. This is in line with Vision 2040 and the Third National Development Plan, which hinges on industrialisation.

“The industrial parks with be vital in employment creation, revenue generation, promote import substitution and promote exports, transfer of knowledge and skills, industrial efficiencies, and enjoying economies of scale,” Mr Mukiza said yesterday.

Directive

President Museveni last month directed the Health and Education ministries to use the army construction brigade to undertake government development projects after noting that many government projects were taking a long time to be completed due to the lengthy procurement process and other challenges such as corruption by some unscrupulous government workers.

Ms Musenero, who described herself as a “technical minister” and her appointment as “a platform to do what I like”, lauded the UPDF for being a front liner of Ministries, Departments and Agencies. She said government will soon open up a pathogenic plant and might not have to look for a contractor, but turn to the UPDF.

She pledged to lobby for more and timely funding for the plant after she heard that it was initially supposed to take 18 months but is currently in its 32nd month.

“On funding, I will have a better understanding by next week, but will take the message to [ministry of] Finance. I have also committed myself to finish the project by the end of this year, so we are all in it,” Ms Musenero said, adding that the plant will be able to manufacture at least 5,000 buses per year.