Algerian Gov't Grants Uganda A Free Market Entry For Their Products.

The state minister for trade Hon. Harriet Ntabazi has called upon Ugandans to fully utilize the market that has been created by the Algerian government after the two countries reached a memorandum of understanding to allow free trade among the two countries. 

She said this during the opening ceremony of the Uganda-Algeria Business Forum and Trade Exhibition at Hotel Africa which is set to run until 2nd October.

"The Algerian government has given us market-free entry into their country where they have allowed our produce both processed and semi-processed products and they've also agreed to come and invest in our country in huge numbers, my appeal therefore to Ugandans is to jointly cooperate for easy identification if they are to benefit from the initiative," she said.

She also revealed how the initiative will play a big role in expanding the country’s market beyond the neighboring countries for example Kenya where some of our products have been experiencing some challenges, to the rest of the world namely.'Europe, Asia among others hence bosting the country's economy.

She further noted some of the products that the Algerian government has drawn attention to which included milk, meat, and coffee among others.

"They have given us a chance to freely export our meat to Algeria including our coffee which has one of the best scents across the entire world, in addition to our milk which had been criticized by our neighbors for example, Kenya has also caught their attention after their officials critically analyzed the milk and found out it suits their standards," she revealed.

She, however, urged Ugandans to increase their involvement in the agricultural sector and called on farmers to do value addition on all their produce hence increasing the demand for their products in the international market.

While giving his speech, the Minister of Agriculture, Hon. Frank Tumwebaze asked large-scale farmers to look out and form partnerships with  Algerian investors so they can leverage each other's abilities and produce big & best sustainably for the export markets.

Frank Tumwebaze said Uganda has great agriculture potential favored by a good climate with two rainy seasons a year for most parts of the country & the availability of virgin arable land that still allows horizontal expansion of production. 

Algeria currently imports Uganda's coffee worth 90 million USD  it also imports Uganda's milk worth 1.6 Billion USD Billion USD.

With the formation of partnerships, Ugandans will benefit from great potential of exporting other finished products which importing equipment that is much needed for value addition. 

In Uganda, Out of the 80% of arable land resources, about 36% has been cultivated leaving the rest unutilized.

Frank Tumwebaze says the Uganda/Algerian Business Forum presents a huge potential to grow & increase Uganda's production exponentially for crop and livestock enterprises.

Uganda and Algeria have had long and cordial relations anchored on mutual respect, dialogue as well as bilateral and Pan-African solidarity. However, these warm relations are not reflected in the volumes of trade and investment between the two countries which has remained very low, hence calling for more mutual understanding between the two countries.

PHOTOS:-

Related Story: 

Gov’t in talks with Algeria over milk exportation

Hon. Kajwenjye (C) following the proceedings of the House. He expressed concern about the market for Ugandan milk

Posted on: 

24 May 2023

The government is negotiating with the Algerian government as an alternative market for Ugandan milk, according to Hon. David Bahati, Minister of State for Trade, Industry and Cooperatives (Industry).

Bahati made this revelation while responding to a matter of national importance raised by Hon. Wilson Twinomugisha Kajwenjye (NRM, Nyabusozi County) during the plenary sitting on Wednesday, 24 May 2023.

The Kenyan Government has reduced the issuing of export permits for Uganda’s powdered milk.
“We are now in advanced stages of engaging Algeria. We are about to sign an agreement where Algeria is going to take quite a sizeable amount of liters of milk, and by finding alternative markets, taking advantage of the African Continental Free Trade area, then we will resolve this,” Bahati said.

Bahati added that President Yoweri Museveni and his Kenya counterpart, William Ruto will hold talks to resolve the impasse.

“At the operational level, we have arranged a Council of Ministers to discuss this matter of milk and other products and bring it to the Heads of State summit,” Bahati said.

He added that ‘we want to find a lasting solution on how we can protect the community because as Uganda, we have been committed to all the protocols we have signed and we expect that our sister countries should do the same’.

Twinomugisha said that the decision by Kenya to reduce issuing export permits to Uganda’s powdered milk has affected milk prices.  

“Farm gate price is now at Shs400 a liter in the cattle corridors. Farmers buy manufactured injectables and vaccines from Kenya and now they cannot service loans they got when milk was Shs1,000 a litre. It is going to be a loss of government revenue and jobs,” he said.

He called on the East African Community (EAC) states to uphold the implementation of the EAC trade protocols.

“The milk for school project should be fast-tracked and implemented because it will increase domestic consumption, stabilize prices, and increase nutrition level,” he added.