Uganda’s sugar industry restricted by protectionism

Global Business

Uganda will resume exporting sugar to Kenya after authorities from both countries resolved a trade impasse. CCTV-America’s Leon Ssenyange reports.

A trade dispute between Kenya and Uganda has caused several losses for Uganda’s major sugar exporters. Kenya had been restricting sugar exports from COMESA (Common Market for Eastern and Southern Africa) countries in an effort to protect its local industry.

Sugar remains a sensitive product within the East African region. Uganda’s exports have been affected most by the trade disputes.

Uganda currently consumes about 350,000 tonnes of raw sugar annually, and aims to expand production to 700,000 tonnes by the year 2030. However, the sugar industry across East Africa is still protected from competition, with a 100 percent tax on sugar from outside regions.