Uganda secures landmark Shs675 billion organic fertilizer factory deal in Kampiringisa

This landmark agreement, forged between the Ministry of Agriculture, Animal Industry and Fisheries (MAAIF) and Itracom Fertilizers-Uganda SMC Limited, is set to significantly boost agricultural productivity, ensure food security, and save the nation an estimated US$300 million (Shs1 trillion) annually in fertilizer imports.

Uganda will establish a of a UGX 675 billion (approximately US$180 million) organic fertilizer factory in Kampiringisa. Prime Minister Robinah Nabbanja on Thursday, August 21st, presided over a pivotal signing ceremony that will see the factories establishment.

This landmark agreement, forged between the Ministry of Agriculture, Animal Industry and Fisheries (MAAIF) and Itracom Fertilizers-Uganda SMC Limited, is set to significantly boost agricultural productivity, ensure food security, and save the nation an estimated US$300 million (Shs1 trillion) annually in fertilizer imports.

The function, held at the Office of the Prime Minister (OPM) in Kampala, marked a significant step in Uganda’s drive towards sustainable and high-yield farming. The partnership with Itracom Fertilizers-Uganda, led by Adrian Ntigacika, aims to construct a state-of-the-art facility with a production capacity of 250,000 metric tons of organic fertilizer per year.

Prime Minister Nabbanja underscored that this initiative was made possible through the direct guidance of H.E. President Yoweri Museveni, aimed at supplementing ongoing efforts to enhance agricultural productivity for farmers across the country.

“These efforts are primarily aimed at increasing agricultural productivity for our farmers across the country,” Prime Minister Nabbanja stated, emphasizing the government’s commitment to supporting the sector.

The factory, which will be developed on 133 acres of land provided by the Ministry of Gender, Labour and Social Development (MOGLSD) in Kampiringisa, will utilize locally sourced cow dung along with additional essential minerals to produce the organic fertilizer. This will position Uganda alongside regional leaders like Burundi and Tanzania in large-scale indigenous production of organic fertilizers.

The Permanent Secretary of MAAIF, Maj. Gen. David Kasura-Kyomukama, who represented the agricultural sector leadership in signing the agreement, highlighted the critical needs of Uganda’s agricultural sector. He emphasized improved soil fertility, irrigation for de-risking agriculture, mechanization, appropriate genetics for seeds and livestock, and a crucial mindset shift through awareness creation.

“The establishment of an organic fertilizer factory with the production capacity of 250,000 metric tons per year will help farmers across Uganda to boost both production and productivity,” Maj. Gen. Kasura-Kyomukama affirmed, stressing that the factory directly addresses the non-negotiable need for quality fertilizer inputs.

This transformative partnership is considered a cornerstone to Uganda’s agricultural transformation, reflecting a mutual interest in fostering sustainable agricultural growth, ensuring national food security, and creating robust economic opportunities for Ugandan farmers.

With an investment of US$180 million, Itracom Fertilizers Uganda aims to complete the project within an ambitious 18-month timeframe. The initiative also includes an offtake agreement, guaranteeing the purchase of the locally manufactured fertilizer, thereby creating a stable market for the factory’s output.

The momentous signing ceremony was witnessed by key government officials, including Ministers Matia Kasaija, Lillian Aber, Victoria Rusoke, Permanent Secretaries, and other distinguished figures, all congratulating Adrian Ntigacika and the team at Itracom Fertilizers Uganda on this significant milestone for the nation.

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