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Critics fault ‘Buy Uganda’ initiative, say it is ineffective

Wednesday March 22 2017
uganda export

Textiles garment maker Phenix Logistics Uganda. The "Buy Uganda Build Uganda (BUBU)" initiative aims at correcting trade imbalances. PHOTO| MORGAN MBABAZI

Uganda recently launched the "Buy Uganda Build Uganda (BUBU)" initiative aimed at correcting trade imbalances, but experts say it does not address the critical issues in the production value chain that see foreign products displace local products on the shelves.

Most complaints have centred around products as basic as juices, rice and flour.

Trade and Industry Minister Amelia Kyambadde who launched the initiative, said last week that the government will realign its procurement processes to give preference to locally-produced goods. It would also help reduce a $300 million trade deficit.

But critics say critical production questions have not been addressed such as creating a sufficient inventory of what the country produces and in what quantities.

The executive director of the Private Sector Foundation Uganda Gideon Badagawa said that the BUBU strategy would be effective if government started with companies whose raw materials can be sourced locally.

Local producers
“We pledged to seek out local producers in the case of public procurement for goods such as pens, books, uniforms, footwear so that we can assess how much government will need and see if they can meet the demand before looking abroad,” he said.

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The primary focus of BUBU is on agro-based manufactured goods and light industries. But Ms Kyambadde said that government is casting its net wide to include construction materials for roads, railways and dams, textiles, leather and footwear, furniture, pharmaceuticals, oil and gas as well as agro-processing.

Government contracts
So far two textiles manufacturers, Nyanza Textiles and Fine Spinners have won lucrative contracts to supply uniforms and footware to public offices and agencies like the army, police and schools under BUBU.

During independence celebrations last year President Yoweri Museveni said all government agencies would be compelled to buy goods such as furniture and textile from local suppliers.

But critics point out that furniture in most government offices, for example, is imported.

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