Recently, the government of Uganda through Makerere university launched the first ever Agricultural Policy Research Centre (APRC) which would serve as a one stop data policy research point on all issues related to the Agricultural research sector.
As a result, several key research projects were carried out by key principal investigators from the College of Agriculture and environmental sciences (CAES) Makerere University with funding support from the World Bank, AGRA and Makerere among others to help guide and inform the policy makers in the agricultural products sector which can in the end determine the country’s export potential.
The findings of this study have important policy implications for Uganda’s agricultural trade and Competitiveness strategy according to Florence Lwiza, one of the principal investigators of the centre.
The ranking of value chains based on export competitiveness highlights the need for targeted policy interventions that enhance productivity, trade facilitation, and market expansion.
However, given that tea, coffee, dairy, beef, coffee, and soybean emerged as the most competitive value chains, government policies should focus on scaling up investments in these commodities while also addressing constraints faced by mid-ranking and lower-ranking value chains to unlock their export potential.
For Uganda’s agricultural exports to be competitive regionally and globally, Lwiza noted, policymakers must address trade facilitation challenges such as inadequate infrastructure, high transport costs, and non-tariff barriers. The findings indicate that while beef and dairy have high regional export potential, inefficiencies in cross-border trade and stringent sanitary and phytosanitary (SPS) Regulations remain major constraints.
Policies that streamline customs procedures, harmonize SPS standards with regional trading partners, and improve logistics infrastructure such as cold storage and transport networks can enhance Uganda’s trade competitiveness and Strengthening bilateral trade agreements within the East African Community (EAC) and the Common Market for Eastern and Southern Africa (COMESA) can also open new opportunities for Uganda’s Agricultural exports.
The disparities in competitiveness across value chains underscore the need for improved Institutional coordination and policy coherence between government agencies, private sector Stakeholders, and development partners as well as Uganda’s Ministry of Agriculture, Animal Industry, and Fisheries (MAAIF), the Uganda Export Promotion Board (UEPB), and the Uganda Coffee Development Authority (UCDA) must work collaboratively to implement policies that align with the National Development Plan (NDP III) and Uganda’s Agro-Industrialization Strategy.
Therefore establishing a national agricultural trade competitiveness task force can help harmonize policies, Monitor implementation, and ensure that trade-related interventions are aligned with both Regional and global market demands.
The results of this study provide valuable insights for policymakers seeking to strengthen Uganda’s agricultural export competitiveness.
By focusing on trade facilitation, value addition, Productivity improvements, climate resilience, and institutional coordination, Uganda can Position itself as a leading exporter of high-value agricultural products.
The government should prioritize policy reforms that address trade barriers, support agro-industrialization, and enhance the competitiveness of underperforming value chains among others.
Ultimately, a holistic and data-driven approach to agricultural trade policy will enable Uganda to maximize its export earnings, create employment, and contribute to sustainable economic growth.