Govt moves to support local mineral processing as Ntungamo iron factory opens

The investors specifically requested the upgrading of the 4.2-kilometre road link connecting the Ntungamo–Mirama Hills road to the Kabale–Ntungamo highway. They also highlighted the poor condition of Kategure Bridge, which they said requires urgent rehabilitation to ease the transportation of machinery, raw materials, and finished products.

President Yoweri Kaguta Museveni has pledged government support to Terra Industrial Development Company following the establishment of Uganda’s first pig iron processing factory in Ntungamo District, a project expected to strengthen the country’s industrialization drive and boost value addition in the mining sector.

The commitment was made on Tuesday during a meeting at State Lodge Nakasero between the President and officials from Terra Industrial Development Company led by the Managing Director, Mr. Kong Dong Sheng.

The factory, located in Rwenanura, Ntungamo District, is reportedly capable of producing pig iron with a purity level of 93 percent, marking a significant step in Uganda’s efforts to process mineral resources locally instead of exporting raw materials.

During the meeting, President Museveni reiterated the government’s policy of promoting value addition, saying Uganda would continue discouraging the export of unprocessed minerals in order to create jobs, expand industrial growth, and increase domestic revenue generation.

“I will support you. Remember, we banned the export of unprocessed minerals,” President Museveni said.
Officials from the company, however, raised concerns over infrastructure bottlenecks affecting operations at the factory. They cited unreliable electricity supply needed to run heavy industrial machinery and appealed for improvements in road infrastructure around the plant.

The investors specifically requested the upgrading of the 4.2-kilometre road link connecting the Ntungamo–Mirama Hills road to the Kabale–Ntungamo highway. They also highlighted the poor condition of Kategure Bridge, which they said requires urgent rehabilitation to ease the transportation of machinery, raw materials, and finished products.

President Museveni assured the investors that the government, through relevant ministries and agencies, would address the challenges to support production and facilitate expansion of the investment.

The President also welcomed the group’s involvement in Uganda’s health manufacturing sector through Sino-Africa Medical Devices, a company associated with the investment group that manufactures World Health Organization pre-qualified long-lasting insecticide-treated mosquito nets used in malaria prevention.

Museveni pledged that the government would consider allocating funds to procure mosquito nets locally from the company, a move expected to reduce dependence on imported medical supplies while promoting local manufacturing.

The meeting was attended by Hajjat Amina Mukalazi, head of the State House Local Content Unit, which promotes partnerships between local and foreign investors.

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