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  ANNEX 5 UGANDA  
 
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  CONTENTS  
1   ECONOMIC ENVIRONMEN T ................................ ................................ ......................  356  
1.1   Main Features of the Economy  ................................ ................................ ...................  356 
1.2   Recent Economic Developments  ................................ ................................ .................  357 
1.3   Developments in Trade and Investment  ................................ ................................ ...... 360 
1.3.1    Trends and patterns in merchandise and services trade  ................................ ..............  360 
1.3.1.1    Merchandise trade  ................................ ................................ ...............................  360 
1.3.1.2    Services trade  ................................ ................................ ................................ .... 362 
1.3.2    Trends and patterns in FDI  ................................ ................................ .....................  363 
2   TRADE AND INVESTMEN T REGIMES ................................ ................................ .........  365  
2.1   General Framework  ................................ ................................ ................................ .. 365 
2.2   Trade Policy  Formulation and Objectives  ................................ ................................ ...... 365 
2.3   Trade Agreements and Arrangements  ................................ ................................ .........  366 
2.3.1    WTO ................................ ................................ ................................ ....................  366 
2.3.2    Regional agreements  ................................ ................................ ..............................  366 
2.3.3    Other agreements and arrangements  ................................ ................................ ....... 367 
2.4   Investment Regime  ................................ ................................ ................................ .. 367 
3   TRADE POLICIES AND PRACTICES BY MEASURE  ................................ ......................  369  
3.1   Measures Directly Affecting Imports  ................................ ................................ ............  369 
3.1.1    Customs procedures and requirements  ................................ ................................ ..... 369 
3.1.2    Customs valuation  ................................ ................................ ................................ . 370 
3.1.3    Rules of origin  ................................ ................................ ................................ ....... 371 
3.1.4    Tariffs  ................................ ................................ ................................ ..................  371 
3.1.4.1    WTO bound tariff s ................................ ................................ ...............................  371 
3.1.4.2    Applied MFN tariffs  ................................ ................................ ..............................  371 
3.1.4.3    Preferential tariffs  ................................ ................................ ...............................  371 
3.1.4.4    Tariff exemptions and reductions  ................................ ................................ ..........  371 
3.1.5    Other charges affecting imports  ................................ ................................ ...............  372 
3.1.5.1   Internal taxes collected at the border  ................................ ................................ .... 372 
3.1.5.2    Other charges ................................ ................................ ................................ ..... 373 
3.1.6    Import prohibitions, restrictions, and licensing  ................................ ..........................  373 
3.1.6.1    Import prohibitions  ................................ ................................ .............................  373 
3.1.6.2    Import licensing  ................................ ................................ ................................ .. 373 
3.1.7    Anti-dumping, countervailing, and safeguard measures  ................................ ..............  373 
3.1.8    Other measures affecting imports  ................................ ................................ ............  373 
3.2   Measures Directly Affecting Exports  ................................ ................................ ............  374 
3.2.1    Customs procedures, valuation, and requirements  ................................ .....................  374 
3.2.2    Taxes, charges, and levies  ................................ ................................ ......................  374 
3.2.3    Export prohibitions, restricti ons, and licensing  ................................ ...........................  374 
3.2.3.1    Export prohibitions  ................................ ................................ ..............................  374 WT/TPR/S/384 • Uganda  
 
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  3.2.3.2    Export licensing  ................................ ................................ ................................ .. 374 
3.2.4    Export s upport and promotion  ................................ ................................ .................  374 
3.2.4.1    Export incentives and support  ................................ ................................ ..............  374 
3.2.4.2    Free zones  ................................ ................................ ................................ .........  375 
3.2.5    Export finance, insurance, and guarantees  ................................ ................................  375 
3.3   Measures Affecting Production and Trade  ................................ ................................ ..... 375 
3.3.1    Incentives  ................................ ................................ ................................ .............  375 
3.3.2    Standards and other technical requirements  ................................ .............................  376 
3.3.3    Sanitary and phytosanitary requirements  ................................ ................................ .. 378 
3.3.4    Competition policy and price controls  ................................ ................................ ....... 379 
3.3.5    State trading, state -owned enterprises, and privatization  ................................ ...........  379 
3.3.6    Government procurement  ................................ ................................ .......................  380 
3.3.7    Intellectual property rights  ................................ ................................ ......................  382 
3.3.7.1    Industrial property  ................................ ................................ ..............................  382 
3.3.7.1.1    Patents, utility models, and industrial designs  ................................ ......................  382 
3.3.7.1.2    Trademarks and geographic indications  ................................ ...............................  383 
3.3.7.1.3    Trade secrets, and other IPRs  ................................ ................................ ............  384 
3.3.7.2    Copyrights  ................................ ................................ ................................ .........  384 
3.3.7.3    IPR enforcement  ................................ ................................ ................................ . 384 
4   TRADE POLICI ES BY SECTOR  ................................ ................................ ...................  385  
4.1   Agriculture, Forestry, and Fisheries  ................................ ................................ .............  385 
4.1.1    Agriculture  ................................ ................................ ................................ ............  385 
4.1.1.1    Overview  ................................ ................................ ................................ ...........  385 
4.1.1.2    Agricultural p olicy ................................ ................................ ...............................  385 
4.1.1.3    Subsectors  ................................ ................................ ................................ .........  386 
4.1.1.3.1    Cash crops  ................................ ................................ ................................ ...... 386 
4.1.1.3.1.1    Coffee  ................................ ................................ ................................ ..........  386 
4.1.1.3.1.2    Cotton  ................................ ................................ ................................ .........  387 
4.1.1.3.1.3    Cocoa  ................................ ................................ ................................ ..........  388 
4.1.1.3.1.4    Tea ................................ ................................ ................................ ..............  388 
4.1.1.3.2    Food crops  ................................ ................................ ................................ ...... 388 
4.1.1.3.3    Livestock  ................................ ................................ ................................ .........  389 
4.1.2    Forestry  ................................ ................................ ................................ ................  390 
4.1.3    Fisheries  ................................ ................................ ................................ ...............  391 
4.2   Mining and Energy  ................................ ................................ ................................ .... 391 
4.2.1    Mining  ................................ ................................ ................................ ..................  392 
4.2.2    Energy  ................................ ................................ ................................ .................  392 
4.2.2.1    Oil and gas  ................................ ................................ ................................ .........  392 
4.2.2.2    Electricity  ................................ ................................ ................................ ...........  394 
4.3   Manufacturing  ................................ ................................ ................................ ..........  395 WT/TPR/S/384 • Uganda  
 
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  4.4   Services  ................................ ................................ ................................ ..................  396 
4.4.1    Financial services  ................................ ................................ ................................ ... 396 
4.4.1.1    Banking  ................................ ................................ ................................ .............  396 
4.4.1.2    Insurance  ................................ ................................ ................................ ..........  398 
4.4.1.3    Capital markets  ................................ ................................ ................................ .. 400 
4.4.2    Communications  ................................ ................................ ................................ .... 400 
4.4.2.1    Telecommun ications  ................................ ................................ ............................  400 
4.4.2.2    Postal services  ................................ ................................ ................................ .... 402 
4.4.3    Transport  ................................ ................................ ................................ ..............  403 
4.4.3.1    Air transport  ................................ ................................ ................................ ....... 403 
4.4.3.2    Land tra nsport  ................................ ................................ ................................ .... 404 
4.4.4    Tourism  ................................ ................................ ................................ ................  404 
5   APPENDIX TABLES  ................................ ................................ ................................ .. 406  
 
CHARTS  
 
Chart 1.1 Revenue collection, FY2016/17  ................................ ................................ ............  358 
Chart 1.2 Core inflation and CBR, July 2011 -October 2018  ................................ ....................  359 
Chart 1.3 Composition of merchandise trade, 2011 and 2017  ................................ ................  361 
Chart 1.4 Direction of merchandise trade, 2011 a nd 2017  ................................ .....................  362 
Chart 1.5 FDI stock in Uganda, 2016  ................................ ................................ ..................  364 
 
TABLES  
 
Table 1.1 Selected macroeconomic indicators, 2011 -17 ................................ ........................  356 
Table 1.2 Balance of Payments, 2011 -17 ................................ ................................ ............  360 
Table 1.3 Trade in services, 2011 -17 ................................ ................................ ..................  363 
Table 3.1 Different excise duty rates for locally produced and imported goods, 2018  ................  372 
Table 3.2 State -owned companies and statutory corporations ................................ ................  379 
Table 3.3 Thresholds for procurement methods, 2018  ................................ ..........................  381 
Table 4.1 Coffee exports, 2011 -17 ................................ ................................ .....................  387 
Table 4.2 Cocoa exports and earnings, 2012 -17................................ ................................ ... 388 
Table 4.3 Livestock numbers, 2012 -17 ................................ ................................ ...............  389 
Table 4.4 Meat production, 2012 -17 ................................ ................................ ...................  389 
Table 4. 5 Milk production, 2012 -17 ................................ ................................ ....................  390 
Table 4.6 Fish catch by water body, 2012 -16 ................................ ................................ ...... 391 
Table 4.7 Annual mineral production, 2012 -17................................ ................................ ..... 392 
Table 4.8 Annual changes in industrial production, 2012 -16 ................................ ..................  395 
Table 4.9 Annual changes in food processing production, 2013 -16 ................................ .........  396 
Table 4.10 Balance sheet of the banking sector, 2012 -17 ................................ ......................  397 
Table 4.11 Ratios of NPLs to total loans, 2012 -17 ................................ ................................  397 WT/TPR/S/384 • Uganda  
 
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  Table 4.12 Performance of mobile money services, 2012 -17................................ ..................  398 
Table 4.13 Insurance services indicators, 2012 -17 ................................ ...............................  398 
Table 4.14 Minimum paid -up capital requirements for insurance operators, 2018  .....................  399 
Table 4.15 Selecte d telecommunications indicators, 2012 -17 ................................ ................  401 
Table 4.16 Numbers of licensed telecommunications services providers, June 2018  ..................  402 
Table 4.17 Numbers of licensed postal services providers, June 2017  ................................ ..... 402 
Table 4.18 Selected statistics regarding aviation transport, Entebbe, 2012 -17 .........................  404 
Table 4.19 Tourist arrivals, by origin, 2012 -17 ................................ ................................ .... 405 
 
APPENDIX TABLES  
 
Table A1. 1 Merchandise exports by group of products, including re -exports 2011 -17 ...............  406 
Table A1. 2 Merchandise imports by group of products , 2011 -17 ................................ ...........  408 
Table A1. 3 Merchandise exports by destination, including re -exports 2011 -17 ........................  410 
Table A1. 4 Merchandise imports by origin, 2011 -17 ................................ ............................  411 
 
Table A2. 1 Status of WTO notifications, July 2018  ................................ ...............................  412 
 
Table A3. 1 Excise duty ra tes, 2011, 2014, 2016, and 2018  ................................ ..................  415 
 
 
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  1  ECONOMIC ENVIRONMENT  
1.1  Main Features of the Economy  
1.1.  Uganda is a landlocked East African least developed country (LDC ), sharing borders with Kenya, 
South Sudan, the Democratic Republic of the Congo, Rwanda, and Tanzania. Its population is 
growing at an annual rate of 3.2% ; in 2017, the total population reached 37.4 million.  According to 
the latest census in 2014, the  population  is young , with 31% aged between 20 and 44.1  
1.2.  In November 2014, the Uganda Bureau of Statistics (UBOS) rebased the GDP series from 
calendar year 2002 to FY2009/10 to better reflect the dynamism of economic activity and improve 
the quality of statist ics. After the rebasing ex ercise (base year: 2010) , services constitute the most 
important sector in terms of contribution to G DP, accounting for  51.5% in 201 7 (Table 1.1). Within 
services, "trade and repair s" is the largest subsector, accounting for 13.2% of GDP, followed by 
education (9 .1%). Agriculture  (together with forestry and fishing)  accounts for more than a quarter 
of GDP, and contributes to 6 0.9% of the country's merchandise exports (Chart 1. 2). The share of 
manufacturing declined slightly during the period under review, contributing  to 9.4% of GDP in 2017. 
Despite being the largest recipient of foreign direct investment (FDI), mining and quarrying accounts 
for less than  1% of GDP. Apparently, t he informal sector accounts for almost half  of the eco nomy.  
Table 1.1 Selected macroeconomic indicators, 2011 -17 
  2011  2012  2013  2014  2015  2016  2017  
Nominal GDP ( UGX billion)  54,195  61,226  66,517  72,351  81,333  86,951  98,780  
Nominal GDP (USD  billion)  21.5 24.4 25.7 27.8 25.1 25.4 27.4 
Real GDP (%change at 2009/10 
prices)  5.9 3.2 4.7 4.5 5.7 2.6 5.1 
Headline inflation (%)  15.9 12.7 4.9 3.1 5.4 5.5 5.6 
Core inflation (%)  13.8 11.3 5.8 2.6 5.4 5.9 4.4 
Population (million)  30.7 31.6 32.6 33.5 35.4 36.4 37.4 
Per capita GDP (nominal USD) 699.5  773.0  789.8  830.5  709.4  698.6  731.0  
Per capita GDP ( USD at constant 
2009/10 prices)  731.6  733.4  746.0  757.8  758.5  756.5  773.3  
GDP by type of expenditure (% of GDP)  
Final Consumption Expenditure  86.6 83.0 82.1 85.1 86.4 83.3 84.8 
General government  10.5 8.1 8.1 9.0 8.4 8.0 7.3 
Non-profit institutions serving 
households NPISH  1.5 1.6 1.7 1.8 1.5 1.8 1.7 
Household  74.5 73.3 72.3 74.3 76.5 73.5 75.9 
Gross fixed capital formation  27.6 28.1 27.1 25.4 24.4 23.7 22.4 
Changes in inventories  0.3 0.4 0.5 0.5 0.5 0.5 0.5 
Net exports of goods and services  -14.6 -11.5 -9.6 -11.0 -11.3 -7.5 -7.7 
Exports  20.1 20.1 20.1 17.1 19.3 17.7 18.2 
Imports  34.6 31.6 29.7 28.0 30.5 25.2 25.9 
Economic activity (% of GDP at current basic prices)  
Agriculture, forestry and fishing  28.1 28.2 27.0 27.1 25.8 25.4 26.9 
Mining & quarrying  0.9 1.0 0.9 0.8 0.7 0.8 0.6 
Manufacturing  11.5 10.3 9.8 9.0 9.8 9.8 9.4 
Electricity  0.7 1.0 0.9 0.9 0.9 1.0 1.1 
Water  2.0 2.3 2.6 2.8 2.7 3.0 3.0 
Construction  7.8 7.5 8.1 8.3 8.0 8.1 7.5 
Services, of which:  49.0 49.8 50.7 51.2 52.0 51.9 51.5 
Trade and repairs  16.0 15.1 14.6 13.7 14.7 13.9 13.2 
Transportation and storage  2.8 3.1 3.5 3.4 3.3 3.4 3.0 
Accommodation and food service 
activities  2.6 2.8 3.0 3.0 2.7 2.9 3.0 
Information and communication  2.6 3.0 3.3 3.6 3.6 2.4 2.5 
Financial and insurance activities  2.7 2.8 2.6 3.1 3.3 3.6 3.6 
Real estate activities  4.0 4.2 4.6 4.8 4.8 5.0 4.7 
Education  4.8 5.1 6.0 6.6 6.9 8.2 9.1 
Human health and social work 
activities  2.8 3.2 3.5 3.5 3.4 3.5 3.3 
                                                
1 UBOS (2016), The National Population and Housing Census 2014 – Main Report, Kampala, Uganda. 
Viewed at: https://www.ubos.org/wp -
content/uploads/publications/03_20182014_National_Census_Main_Report.pdf .  WT/TPR/S/384 • Uganda  
 
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    2011  2012  2013  2014  2015  2016  2017  
Public finance (% of GDP)a, b        
Total revenue and grants  .. 12.7 12.6 14.4 15.2 .. .. 
Revenue  .. 11.3 11.6 13.2 13.8 .. .. 
Tax  .. 10.8 11.1 12.4 13.0 .. .. 
International trade taxes  .. 0.9 1.1 1.1 1.3 .. .. 
Income taxes  .. 4.0 3.9 4.4 4.7 .. .. 
Excises  .. 2.3 2.5 2.8 2.8 .. .. 
VAT .. 3.6 3.6 4.1 4.2 .. .. 
Infrastructure levy  .. 0.0 0.0 0.1 0.1 .. .. 
Nontax  .. 0.5 0.5 0.6 0.7 .. .. 
Oil revenue  .. 0.0 0.0 0.2 0.1 .. .. 
Grantsc .. 1.4 1.0 1.2 1.4 .. .. 
Expenditures and net lending  .. 16.2 16.6 18.7 20.1 .. .. 
Current expenditures  .. 9.0 9.5 10.0 11.0 .. .. 
Development expenditures  .. 6.5 7.0 6.8 7.1 .. .. 
Net lending and investment  .. 0.6 0.0 1.6 1.8 .. .. 
of which: Hydro -power projects  .. 0.0 0.0 1.3 1.6 .. .. 
Other spending  .. 0.1 0.0 0.3 0.1 .. .. 
Float  .. -0.3 -0.5 0.1 0.4 .. .. 
Overall balance  .. -3.2 -3.5 -4.4 -5.3 .. .. 
Public gross debt (% of GDP)  .. 26.1 28.3 32.2 35.7 .. .. 
Domestic debt (% of GDP)  .. 10.9 12.5 13.4 14.0 .. .. 
External debt (% of GDP)  .. 15.3 15.8 18.7 21.7 .. .. 
Memorandum         
UGX per U.S. Dollar, period average  2,522.7  2,504.6  2,586.9  2,599.8  3,240.6  3,420.1  3,611.2  
Real effective exchange rate  
(% change - = depreciation)  -6.1 12.4 1.2 1.9 -3.1 -4.1 -3.6 
Nominal effective exchange rate  
 (% change - = depreciation)  -14.6 3.8 -0.4 1.8 -9.9 -3.0 -5.6 
Gross official reserves ( USD million)  2,399.1  2,950.5  3,122.3  3,246.0  2,843.1  3,034.4  3,654.4  
in months of imports  3.8 4.8 4.8 5.5 5.5 5.2 5.3 
FDI in Uganda ( USD)        
Flow (US$ million)  894.3  1,205.4  1,096.0  1,058.6  737.7  625.7  699.7  
% of GDP  4.2 4.9 4.3 3.8 2.9 2.5 2.6 
Stock ( USD million)  6,469.5  7,674.9  8,770.9  9,829.5  10,567.1  11,192.8  11,892.6  
% of GDP 30.1 31.4 34.1 35.3 42.1 44.0 43.5 
.. Not available.  
a Data are from IMF Country Report No. 17/206 (July 2017). Fiscal year runs from 1 July to 30 June. 
2012 is FY2012/2013 ending June 2013.  
b Estimate for 2015/2016.  
c Including mainly HIPC  related grants from FY 2013/14 onwards.  
Source:  Uganda Bureau of Statistics online information, viewed at: https://www.ubos.org/; Bank of Uganda 
online information, viewed at: https://www.bou.or.ug/bou/rates_statistics/statistics.html; IMF 
Country Report No. 17/206, July 2017: IMF online information, viewed at: http://elibrary -
data.imf.org/DataExplorer.aspx; and UNCTAD Stat. Viewed at: http://unctadstat.unctad.org/EN/.  
1.3.  Uganda's tourism industry is one of its largest foreign exchange earners. Improvements i n 
infrastructure and investment in this sector could unlock its potential and increase earnings. The 
recent discovery of commerc ially-viable petroleum deposits brings both development opportunities 
and challenges. Exploitation of petroleum could  offer Uganda a n economic development  opportunity 
if an institutional framework were in place to properly manage the related revenue  and address 
economic, social, and environmental issues.   
1.4.  Since its last Review in 2012, Uganda  has taken steps to address the structural challenges its 
economy is facing. These include  infrastructure bottlenecks, particularly energy and transport; youth 
unemployment and underemployment; low productivity in agriculture; narrow exports base; and 
low tax base due to a large info rmal sector.  
1.2  Recent Economic Developments  
1.5.  The Ugandan economy continued expanding during the 2011-17 period , with real GDP growth 
averaging 4.5% per year. Over the same period, per capita GDP increased from US D 732 to US D 773 WT/TPR/S/384 • Uganda  
 
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  in real term.  According to th e authorities, Uganda envisions graduating from LDC to a lower middle -
income country by 2020, and to an upper middle -income country  by 2040. Econom ic growth slow ed 
to an annual rate of 2.6% in 2016 , due to drought tha t adversely affected agricultural  produ ction 
and agro -processing2; the spillover from regional conflict also had a negative impact on growth. With 
weather condition s improving , the GDP annual growth  rate bounced back to 5 .1% in 2017.   
1.6.  Over the review period, the key driver of economic growth wa s public investment, particularly 
in infrastructure to tackle the bottleneck of transport and electricity. In line with the second National 
Development Plan (NDPII), the Government began to implement the investment programme in July 
2013 for a period of ten years. The whole programme is estimated to invest a total of US D 11.1 
billion in key projects, including electricity projects, oil and oil -related infrastructure, and transport 
infrastructure. The IMF estimated that the construction of  these projects would increase  the GDP 
growth rate by 1.5% over 2014  to 2019; and , once the projects are completed, they would raise the 
economy's potential growth path.  
1.7.  Uganda's  public expenditure policy  was primarily focused on maintaining infrastructure  
investment ; however, due to under -execution of budget, the fiscal deficits in the last five years were 
below 6% of GDP . Trade -related tax es are the major source of Government's revenue. In FY2016/17, 
taxes collected at the border  accounted for 42%  of tota l revenue (Chart 1.1). The risk of debt distress 
remains low .3 According to the IMF, government debt is projected to peak at 42% of GDP in 
FY2019/20 , when the scaling -up of infrastructure investment is completed.  
Chart 1.1 Revenue collection, FY2016/17  
 
Source:  WTO Secretariat's calculations , based on Uganda Revenue Authority online informat ion. Viewed at: 
https://www.ura.go.ug/index.js .  
1.8.  Infrastructure projects are also financed through non -concessional borrowing (NCB), and 
public-private  partnerships (PPPs) in the international market; the crowd -out effect on private credit 
is therefore limited. Yields on treasury bills and treasury bonds were close to the central bank's 
policy rate.  
1.9.  The Bank of Uganda (BOU) continues implementing its inflation targeting lite (ITL) monetary 
policy. Under the ITL framework, the BOU targets core inflation4 of 5% , with a band of ± 2%. The 
                                                
2 The UBOS estimated that the drought reduced growth by about 0.5 percentage point. It also 
contributed  to a hike in bank loan defaults in 2016.  
3 IMF (2017), Country Report No. 17/206 . Viewed at: 
https://www.imf.org/en/Publications/CR/Issues/2017/07/12/Uganda -2017-Article -IV-Consultation -and-Eighth -
Review -Under -the-Policy -Support -Instrument -45069 .  
4 Core inflation excludes a number of  food products and fuel from the consumer price basket.  
Direct domestic taxes
32.4%Indirect domestic taxes: 
excise duty
6.4%Indirect 
domestic taxes: 
VAT
15.7%Fees and licenses
1.6%Non tax revenue
2.0%
VAT on imports
16.0%
Petroleum duty
12.5%
Import duty
8.1%
Other taxes
5.5%Taxes on 
international trade
42.0%Chart 3.[Uganda] Revenue collections, 2016/2017
Gross revenue collections
UGX 12.9 trillion
WTO Secretariat calculations, based on Uganda Revenue Authority online informaiton. Viewed at: 
https://www.ura.go.ug/index.js.(% of total revenue collections)
Source:  WT/TPR/S/384 • Uganda  
 
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  BOU sets the monthly policy rate (the Central Bank Rate (CBR)) through open market operation s 
(i.e. repos or reverse repo s).5 
1.10.   The BOU maintained an accommodative monetary policy stance during the period under 
review, except for a short period between April 2015 and April 2016.  Core inflation during the review 
period remained modest, falling into the ITL band most of the time, except in 2015. In response to 
rising core inflation, the BOU increased the CBR to 12% in April 2015 and 17% in October 2015. 
According to the authorities , the hike in price level s was attributed to the pass -through effect of a 
sharp depreciation of the currency, and supply shocks , mainly  unfavourable weather that disrupted 
agricultural output . Taking the  view that these shocks were transitory, the BOU relaxed the CBR to 
support the recovery of economic activit y in 2016; the CBR was at 10% in October  2018. 
Chart 1.2 Core inflation and CBR, July 2011 -October 2018  
 
Source:  Bank of Uganda online information. Viewed at: 
https://www.bou.or.ug/bou/rates_statistics/statistics.html .  
1.11.   During the review period, the nominal exchange rate against the US dollar depreciated by 
43%, accumulatively.  The peak of depreciation pressure occurred in September 2015. According to 
the BOU,  the exchange rate s of the Ugandan sh illing are  market -determined.6 Its major 
determinants  include demand for imports, the evolution of the US dollar, the crisis in South Sudan, 
and electioneering .7  
1.12.   During the review period, the external current account remained in deficit, attributable mainly 
to merchandise trade (Table 1. 2). Apparently  80% of equipment and materials needed for 
infrastructure projects must be sourced outside Uganda. In fact, the merchandise trade deficit was 
generally stable  during 2011 -15 but narrowed considerably in 201 6, reflecting  increased export 
receipts (from agri culture and gold exports) and a lower import bill (due to lower investment -related 
imports) (Section 1.3.1.1) . The current account deficit reached 4. 1% of GDP in 2017.  Overall, the 
balance of payments deficit stood at 1.8% of GDP in 2017, and official rese rves amounted to 
                                                
5 The BOU noted that policy tools as reserve ratios are barely used.  
6 BOU (2017), Bank of Uganda Annual Report 2016/17 , Kampala, Uganda. Viewed at: 
https://www.bou.or.ug/bou/bou -downloads/publications/Annual_Reports/Rprts/All/Annual -Report -2016-
2017.pdf .  
7 IMF, Country Report No. 15/175 . Viewed at: http://www.imf.org/~/media/Websites/IMF/imported -full-
text-pdf/external/pubs/ft/scr/2015/_cr15175.ashx ; Ministry of Finance, Planning and Economic Development 
(2017), Annual Performance of the Economy Report Financial Year 2016 -2017, Kampala, Uganda. Viewed at: 
http://www.finance.go.ug/site s/default/files/Publications/Annual%20Economic%20Performance%20Report%20
FY2016.17_0.pdf .  
0.0%5.0%10.0%15.0%20.0%25.0%
Core inflation Central Bank RateChart 1.[UGA] Core inflation and CBR, July 2011 -October 2018
Source:  Bank of Uganda online information.  Viewed at: https://www.bou.or.ug/bou/rates_statistics/statistics.html.WT/TPR/S/384 • Uganda  
 
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  USD 3,654 million, enough to cover 5.3 months of import s; this level of reserves meets  
the East African Monetary Union ( EAMU ) convergence criterion of 4.5 months.  
Table 1.2 Balance of Payments , 2011 -17 
(USD million)  
  2011  2012  2013  2014  2015  2016  2017  
Current account  -2,087.3  -1,655.6  -1,843.1  -2,166.0  -1,674.9  -668.0  -1,117.4  
Credit  6,086.0  6,770.3  6,383.7  6,393.7  6,276.9  6,517.4  6,783.2  
Debit 8,173.3  8,425.9  8,226.8  8,559.7  7,951.8  7,185.4  7,900.6  
Goods and services  -3,161.1  -2,812.3  -2,470.0  -2,869.2  -2,608.7  -1,574.9  -2,087.8  
Credit  4,298.5  4,935.8  4,931.8  4,905.3  4,725.7  4,828.0  4,988.5  
Debit 7,459.6  7,748.1  7,401.8  7,774.5  7,334.3  6,402.9  7,076.3  
Goods  -2,477.6  -2,451.1  -2,145.4  -2,374.8  -2,288.2  -1,503.2  -1,684.8  
Credit (exports)  2,519.1  2,810.5  2,828.7  2,724.8  2,667.2  2,921.2  3,349.9  
Debit (imports)  4,996.7  5,261.5  4,974.1  5,099.6  4,955.4  4,424.4  5,034.7  
Services  -683.5  -361.2  -324.6  -494.4  -320.5  -71.8 -402.9  
Credit  1,779.4  2,125.4  2,103.1  2,180.5  2,058.5  1,906.7  1,638.6  
Debit 2,462.9  2,486.6  2,427.6  2,674.9  2,379.0  1,978.5  2,041.6  
Primary income  -401.4  -454.9  -629.8  -563.7  -434.1  -577.5  -583.4  
Credit  17.1 75.1 -12.3 28.1 32.2 23.9 41.1 
Debit 418.6  530.0  617.5  591.7  466.3  601.4  624.5  
Secondary income  1,475.3  1,611.6  1,256.7  1,266.9  1,367.9  1,484.5  1,553.7  
Credit  1,770.4  1,759.3  1,464.2  1,460.3  1,519.0  1,665.6  1,753.6  
Debit 295.1  147.8  207.5  193.4  151.2  181.1  199.9  
Capital account  12.0 21.8 80.0 94.7 108.1  139.0  122.3  
Financial account  -1,506.9  -1,618.8  -1,362.1  -1,824.8  -875.9  -1,000.3  -1,295.8  
Direct investment  -906.1  -1,159.1  -1,143.2  -1,031.5  -737.4  -625.6  -699.2  
Portfolio investment  -259.3  -3.1 14.5 -33.1 212.1  66.7 459.4  
Financial derivatives (other 
than reserves) and 
employee stock options  -5.5 -3.8 -1.7 -2.6 -5.0 -1.4 -1.1 
Other investment  -335.9  -452.9  -231.7  -757.5  -345.6  -440.1  -1,054.9  
Net errors and omissions  486.9  549.1  630.7  462.4  304.1  -152.5  187.1  
Overall balance  81.5 -534.1  -229.7  -215.9  386.8  -318.9  -487.8  
Indicators (%)        
  
Current account balance/GDP  -9.7 -6.8 -7.2 -7.8 -6.7 -2.6 -4.1 
Overall balance/GDP  0.4 -2.2 -0.9 -0.8 1.5 -1.3 -1.8 
Source:  BOU online information. Viewed at: https://www.bou.or.ug/bou/rates_statistics/statistics.html .   
1.3  Developments in Trade and Investment  
1.3.1   Trends and patterns in merchandise and services trade  
1.13.   Over the review period, Uganda  remained a net importer, both in terms of trade in goods and 
trade in services.  
1.3.1.1   Merchandise trade  
1.14.   In 2017, based on UN Comtrade data, the value of Uganda's merchandise exports wrose by 
35% from 2011 . Agricultural goods remained the main export categories,  accounting for about 61% 
of total exports  in 2017 . Among the se, coffee and tea maintained their importance, contributing one 
third of the agricultural  export earnings in 2017. The share of gold in total export s fluctuated  
significantly, from less than 1% in 2011 to 14% in 2017 (Chart 1. 3 and Table A1.1).  The authorities 
attributed the hike in gold exports to the increase in international demand and domestic supply 
capacity. Re-exports decline d, accounting for 10% of total exports in 2017, down from 30% in 2013.  
Possible reasons for the decline of re -exports were not provided to the Secretariat.   
1.15.   The total value of merchandise imports in 2017 was slightly lower than that for 2011; this 
was attributed to a decline in the import  of capital goods , such as machi nery and transport 
equipment, which accounted for 24.5% in 2017, down from 28.2% in 2011. Slower implementation 
of the infrastructure projects (due to budget under -execution) plus slower inflow of FDI into the 
mining sector (due to lower global prices of c ommodities) induced the decline in machinery imports. 
However, t he composition of imports did not change considerably in 2011 -17 (Chart 1. 3 and Table 
A1.2).  Machinery and transport equipment, and fuels, continued to represent  the largest share of 
the impor t bill. Imports of chemicals registered a 4% increase  from 2011 to 2017 , due to an 
expansion of fertilizer and pharmaceutical imports.  WT/TPR/S/384 • Uganda  
 
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  1.16.   The European Union remained the top destination for Ugandan merchandise exports, 
accounting for about  20% of total exports in 2017 (down from 22% in 2011). The United Arab 
Emirates became the second -largest market outside the region, accounting for  15.3% of total 
merchandise export s in 2017. The relative weight of the United Arab Emirates  in Uganda 's export 
proceeds al so increased considerably, mainly on account of gold purchases at rising international 
prices.  About 42% of Ugandan merchandise was sold to neighbouring countries, in particular Kenya 
(Chart 1. 4 and Table A1.3).  
Chart 1.3 Composition of merchandise trade, 2011 and 2017  
 
Note:  SITC Rev. 3. for product groups.  
Source:  WTO Secretariat's calculations, based on UNSD, Comtrade database.   
Chart 1.[UGA] Composition of merchandise trade, 2011 and 2017
2011 2017
Exports (f.o.b.), including re -exports
Manufactures
31.4% Manuf.
17.9%
Agriculture  
60.9%Machinery and 
transport 
equipment 
4.2%
Coffee 19.1%Other 
manufactures
2.4%
Iron and steel
2.9%
Tea 2.7%Chemicals 3.3%
Leguminous 
vegetables
2.7%
Other food 
29.6%Agricultural 
raw 
material
4.1%Mining
6.8%Gold, non -
monetary
14.4%
Maize 
seed
2.6%Other 
semi-manufactures
5.1%
Total:   USD 2,159.1 million Total:  USD 2,901.5 million
Imports (c.i.f.)
Chemicals 12.9%Food 13.5%
Iron and steel 
4.8%Other 1.3% Machinery and 
transport 
equipment 
28.2%Other manufactures
7.1%
Fuels
18.5%Chemicals 17.0%
Iron and steel 
5.0%Other semi -
manufactures
8.0%Food 
14.9%Other 1.7% Machinery and 
transport equipment 
24.5%Other 
manufactures
8.7%
Manufactures
63.2% Agri-
culture
16.7%
Agri.raw 
material 
1.7%
Total:   USD 5,630.9 million Total:   USD 5,595.9 millionAgriculture  
61.3%
Source:  WTO Secretariat's calculations, based on UNSD, Comtrade database.Agri-
culture
14.5%Machinery and 
transport 
equipment 
12.3%
Coffee 21.3%Other 
manufactures
3.2%
Iron and steel
4.8%
Tea 3.3%Chemicals 3.2%
Leguminous 
vegetables
0.8%
Manufactures
60.8%
Fuels
23.4%Other semi -
manufactures
7.8%Agri.raw 
material 1.1%
Note:      SITC Rev. 3. for product groups.Other food 
27.8%Agricultural raw 
material
7.4%Mining
6.9%Gold, non -
monetary
0.3%
Maize 
seed
0.6%Other 
semi-manufactures
7.9%WT/TPR/S/384 • Uganda  
 
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  1.17.   About half of Ugandan imports came from Asia.  China replaced India to become the principal 
supplier. Imports from the Middle East doubled over the review period. While imports from China 
and the Middle East expanded, supplies from the E uropean Union and Kenya contracted  slightly, 
standing at around 9% and 8% of total imports, respe ctively (Chart 1. 4 and Table A1.4).  
Chart 1.4 Direction of merchandise trade, 2011 and 2017  
 
Source:  WTO Secretariat's calculations, based on UNSD, Comtrade database.   
1.3.1.2   Services trade  
1.18.   Ugand a was a net importer  of services throughout the period under review (Table 1. 3). Except 
for a spike in 2014, t he deficit of trade in services  generally was on a declin ing trend , except in 
2017. In 201 7, the services trade deficit was USD 402.9  million, compared to a deficit o f USD 683.5  
Chart 1.[Uganda] Direction of merchandise trade, 2011 and 2017
2011 2017
Exports (f.o.b.), including re -exports (f.o.b.)
Democratic 
Rep. of the 
Congo
6.5%Rwanda
6.3%
Africa 
51.8%
EU-28
19.8%United Arab 
Emirates 
15.3% Other Africa
9.7%
Kenya 19.0%Asia 
7.4%
Other 
5.6%
South Sudan
10.3%
Total:   USD 2,159.1 million Total:  USD 2,901.5 million
Imports (c.i.f.)
China 9.3%
Americas 4.8%Other Asia
10.2%
United Arab 
Emirates
6.6% Africa 
19.4%
EU-28
12.7%India
16.5%
Asia 
45.7%Other 6.9%
South Africa
4.7%Saudi Arabia, 
Kingdom of
3.9%
Kenya 
11.4%Other Africa 
3.3%Indonesia
4.0%
Japan 5.7%
China 17.6%
Americas 
3.3%Other Asia
6.1%
United Arab 
Emirates
11.8% EU-28
9.5%India
13.2%
Other 4.1%
South Africa
4.4%Saudi Arabia, 
Kingdom of
6.6%
Kenya 
8.2%
Other Africa 
4.3%Indonesia
4.3%Japan 6.6%
Africa 
16.9%Asia 
47.8%
Total:   USD 5,630.9 million Total:   USD 5,595.9 millionDemocratic Rep. of 
the Congo
8.4%
Source:  WTO Secretariat's calculations, based on UNSD, Comtrade database.Rwanda
9.0%Africa 
49.4%
EU-28
22.0%United Arab 
Emirates 
6.6%
Other Africa
21.5%
Kenya 10.5%Asia 
8.2%
Other 
13.7%WT/TPR/S/384 • Uganda  
 
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  million in 201 1. The deficit  was mainly attributable to transport services  and other business services 
such as consultancy and business operations.  
Table 1.3 Trade in services, 2011 -17 
(USD million)   
2011  2012  2013  2014  2015  2016  2017  
Exports  1,779.4  2,125.4  2,103.1  2,180.5  2,058.5  1,906.7  1,638.6  
Transport  149.9  191.8  225.1  168.2  134.6  142.6  155.0  
Travel  959.8  1,135.5  938.7  964.8  1,036.9  1,093.2  937.3  
Construction  245.9  244.6  240.4  221.3  151.8  103.9  19.3 
Insurance and pension services  18.1 33.7 18.4 26.9 39.3 38.8 4.4 
Financial services  24.8 30.3 28.8 34.3 29.0 29.0 34.9 
Telecommunications, computer, 
and information services  74.6 74.3 102.1  56.9 65.4 39.9 39.1 
Other business services  129.9  197.5  297.3  508.9  333.8  198.7  180.0  
Personal, cultural, and recreational 
services  4.5 8.6 12.0 6.9 7.9 15.4 7.1 
Government goods and services 
n.i.e. 164.1  175.8  226.0  179.3  255.9  243.6  259.9  
Other  7.8 33.3 14.3 13.0 4.1 1.5 1.6 
Imports  2,462.9  2,486.6  2,427.6  2,674.9  2,379.0  1,978.5  2,041.6  
Transport  1,181.1  1,260.2  1,200.3  1,148.7  1,134.2  968.3  1,133.2  
Travel  404.7  484.2  207.7  188.7  185.6  208.5  217.8  
Construction  197.4  196.4  178.0  160.6  110.4  76.1 26.9 
Insurance and pension services  89.4 80.0 73.4 76.9 71.1 67.7 55.1 
Financial services  9.4 22.2 7.9 9.4 9.4 9.7 11.0 
Telecommunications, computer, 
and information services  76.6 64.5 131.1  76.0 81.0 53.9 36.8 
Other business services  409.3  312.5  555.9  957.1  727.2  527.5  514.5  
Personal, cultural, and 
recreational services  15.9 14.7 17.4 19.6 17.8 22.1 15.2 
Government goods and services 
n.i.e. 21.4 26.5 34.9 21.5 9.5 23.3 12.0 
Other  57.7 25.4 21.0 16.3 32.6 21.3 19.0 
Trade balance  -683.5  -361.2  -324.6  -494.4  -320.5  -71.8 -402.9  
Transport  -1,031.3  -1,068.4  -975.2  -980.5  -999.6  -825.7  -978.2  
Travel  555.1  651.3  731.0  776.1  851.3  884.7  719.4  
Construction  48.4 48.2 62.4 60.6 41.4 27.7 -7.6 
Insurance and pension services  -71.2 -46.3 -55.0 -50.0 -31.8 -28.9 -50.7 
Financial services  15.4 8.1 20.9 24.9 19.5 19.3 23.9 
Telecommunications, computer, 
and information services  -2.0 9.8 -28.9 -19.1 -15.7 -14.0 2.4 
Other business services  -279.4  -115.1  -258.6  -448.2  -393.5  -328.9  -334.5  
Personal, cultural, and 
recreational services  -11.4 -6.1 -5.5 -12.6 -9.9 -6.7 -8.1 
Government goods and services 
n.i.e. 142.7  149.3  191.1  157.8  246.3  220.3  247.9  
Other  -49.9 8.0 -6.7 -3.3 -28.6 -19.7 -17.5 
Source:  BOU online information. Viewed at: https://www.bou.or.ug/bou/rates_statistics/statistics.html . 
1.19.   Travel (and tourism ) is the major income source of services trade (Table 1. 3). Tourism 
receipts remained stable;  however,  infrastructure bottleneck s hinder the country from reaping 
further benefits from its abundant tourism resources. On average, travel services accounted for 
more than half of the value of services export s during the review period. Uganda continue s to be a 
net exporter of financial services.  
1.20.   Regarding services imports, a considerably large share was spent on transport . Through out 
the period under review, transport outgoings exceeded income  from tourism , except in 2016  
(Table  1.3). The authorities stated that th e re-operation of national airlines would bring down 
transport cost s (Section 4 .4.3). Other business services account for about 25% of services imports .  
1.3.2   Trends and patterns in FDI  
1.21.   FDI is one of the key sources of private investment in the country, represe nting about 25% 
of total private investment. During the period 2011-14, FDI flows into Uganda were generally on an WT/TPR/S/384 • Uganda  
 
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  increas ing trend ; they then began to fall in 2015  (Table 1.2).  From 2011 to 2017, FDI stock almost 
doubled   
1.22.   Based on the BOU Private Sector I nvestment Survey , during the period under review, more 
than half  of inward FDI  stock was  directed to the mining and quarrying sector, followed by finance 
and insurance (1 1%), and manufacturing ( 10%) (Chart 1. 5).  
1.23.   As of end -2016, the Netherlands was the leading  source of FDI , accounting for 45% of the 
FDI stock. Other major sources were Australia, Kenya, the U nited Kingdom, and South Africa  
(Chart 1. 5). 
Chart 1.5 FDI stock in Uganda, 2016  
 
Source:  Bank of Ug anda's Private Sector Investment Survey 2017 Report .  
 
Mining & quarrying
57.0%
Finance & Insurance
11.1%Manufacturing
10.0%Wholesale & 
retail 5.4%Construction
5.1%Electricity & gas
3.2%Other
8.2%
Netherlands
44.5%
Australia
16.5%Kenya
8.2%United 
Kingdom
6.2%South 
Africa
3.3%Bermuda
1.9%Switzerland
1.8%India 1.5%France
1.4%
Other
14.7%Chart 1.[UGA] FDI stock in Uganda, 2016 
By sector By source country
Total FDI: UGX 32,099 billions
Source:  Bank of Uganda's Private Sector Investment Survey 2017 Report.WT/TPR/S/384 • Uganda  
 
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  2  TRADE AND INVESTMENT  REGIMES  
2.1  General Framework  
2.1.  There have been no major changes to the legal and institutional framework for trade and 
investment policies in Uganda since its previous Review in 2012. Under the Constitution, Uganda is 
a Republic with executive, legislative, an d judicial branches.   
2.2.  The legislative responsibilities fall under  the unicameral National Parliament . The Executive 
power is vested in the President . The Constitution provides for election by universal  adult suffrage  
every five years. The last general elec tion for the President and the Parliament was conducted in 
February 2016; the next election is to be held in 2021. On 20 December 2017, t he Parliament 
approved a change to the Constitution that removes the age limit of 75 years for presidential 
candidates.  The President serves as head of State, head of Government, and Commander -in-Chief 
of the armed forces. The Cabinet consists of the President, the Vice -President, the Prime Minister 
and other Cabinet Ministers . The Prime Minister chairs the Cabinet, and is the Leader of Government 
Business in Parliament . The Cabinet aid s and advise s the President on the formulation of national 
policies . 
2.3.  Uganda has a four -level judiciary: the Supreme Court, the Court of Appeal, the High Court , 
and subordinate courts. The President, upon advice from the Judicial Service Commission and with 
the approval of Parliament, appoints the Chief Justice (head of the Supreme Court), the Deputy 
Chief Justice (head of the Court of Appeal), and the Principal Judge (head of the High Court), as well 
as the Justices of the Supreme Court, the Justices of Appeal, and the Judges of the High Court. The 
Commercial Court, a department of the High Court, handles commercial issues, including trade 
matters. There is also a tax appeal tribunal under the Ministry of Finance, Planning and Economic 
Development (MFPED).  
2.4.  Regarding  international agreements, Uganda operates a "dualist" system, under which 
international agreements take legal effect through their transposition into domestic legislation. 
International agreements that have not been incorporated into domestic laws cannot be invoked 
before the courts , and have no direct effect under Ugandan law.  The C onstitution supersedes all 
legal instruments, including treaties and in ternational agreements, including WTO agreements.1 
2.5.  All principle  legislation (i.e. Acts) is available on the website of the Uganda Law Reform 
Commission (ULRC).2 Uganda does not provide a centralized online location for published 
regulations. However, all laws and regulations are available in hardcopies of the Government Gazette  
from the Uganda Printing and Publishing Corporation. Sector-specifi c regulations are generally 
published on  the website of the relevant ministry.  
2.2  Trade Policy Formulation and Objectives  
2.6.  Under Uganda Vision 2040 , the Government aims to achieve "a transformed Ugandan society 
from a peasant economy to a modern and prosperous country within 30 years ". As part of this 
national vision, the authorities are implementing the Second National Development Plan ( NDPII 
2015/16 –2019/20 ), through which trade policy was outlined to  "strengthening Uganda’s 
competi tiveness for sustainable wealth creation, employment and inclusive growth".3  
2.7.  Over the NDPII period , Uganda's key trade policy focus  areas include: increasing market access 
for Uganda 's products and services in regional and international markets; improv ing the stock and 
quality of trade infrastructure; promot ing the formation and growth of cooperatives; enhanc ing the 
capacity of cooperatives to compete in domestic, regional and international markets; increas ing the 
                                                
1 Article 123 of  the Constitution states that "t he Constitution is the Supreme Law in Uganda and any law 
or custom that is in conflict with it is null and void to the  extent of the inconsistency ". 
2 The ULRC , established by Article 248 of the Constitution, keeps under constant review the laws of 
Uganda,  with a view to making recommendations for their systematic improvement and simplification. The 
Commission may also receive and review proposals for the reform of laws, provide advice to ministries, and 
promote public participation in the process of law -making. 
3 National Planning Authority (NPA) (2015), Second National Development Plan  (2015/16 –2019/20) . 
Viewed at http://npa.ug/wp -content/uploads/NDPII -Final.pdf . WT/TPR/S/384 • Uganda  
 
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  share of manufactured goods and services i n total exports as well as increas ing exports as a share 
of GDP; and improv ing private -sector competitiveness.  
2.8.  The Ministry of Trade, Industry and Cooperatives  (MTIC)  has the main responsibility for 
formulating and imp lementing trade policy. Other m inistri es involved include the m inistries of : 
Finance, Pl anning and Economic Development; Foreign Affairs;  Justice and Constitutional Affairs;  
Informati on and Communication Technology;  Works and C ommunications;  Agriculture , Animal 
Industry and Fisheries;  and Wate r and Environment. Government agencies involved in trade policy 
formulation also include the Uganda Revenue Authority, the Uganda Export Promotion Board, the 
Uganda Investment Authority, the Uganda Free Zones Authority (UFZA) , and the Uganda National 
Burea u of Standards  (UNBS) . 
2.9.  The MTIC chairs t he Inter -Institutional Trade Committee (IITC)4, a forum t o coordinate the 
formulation and implementation of trade policy . The IITC also serves as  a platform for analy sing 
trade issues, and coordinating and formulating positions relating to multilateral and regional trade 
negotiations.   
2.10.   When preparing  a bill, the relevant ministry or government agency must undergo a 
consultative process by convening meetings among private and public stakeholders with interest s 
affected by the bill. Following consultations, a bill is then drafted by the Ministry of Justice , in 
collaboration with the ministry concerned, returned to Cabinet and , after approval, published in the 
Government Gazette  for public comment and consultati on; it is then introduced in Parliament. If the  
vote is successful , the Parliament enacts laws to authorize  the relevant minister to draft regulations , 
which are then  published in the Government Gazette . 
2.3  Trade Agreements and Arrangements  
2.3.1   WTO  
2.11.   Uganda  is an original  Member of the WTO . It has been reviewed four times under the WTO 
Trade Policy Review Mechanism: the previous Review was  conducted  in 2012 , when all EAC WTO 
Members  were reviewed jointly . Together with other EAC members, Uganda places import ance on 
the effective functioning of the multilateral trading system.  Uganda ratified the WTO Agreement on 
Trade Facilitation (TFA) and submitted its instrument of acceptance on 27 June 2018.  
2.12.   All of Uganda's trading partners receive at least most -favoured -nation (MFN) treatment.  
Uganda is not a signatory to any plurilateral agreement negotiated in the WTO; it has not participated 
in the WTO negotiations on basic telecommunications, nor in those on financial services.  It has been 
neither a complainant or respondent, nor a third party  under the WTO Dispute Settlement 
Mechanism . 
2.13.   During the period under review, Ug anda made a number of  notifications to the WTO 
(Table  A2.1), mainly  under Article 2.9 of the Agreement on Technical Barriers to Trade (TBT) . 
However , as at 3 0 June 2018 , notifications were outstanding in the areas of , inter alia : agriculture 
(export subsidies); import licensing procedures; quantitative restrictions; customs valuation; the 
Integrated Database for 2016 imports and 2018 tariffs; subsidies and countervailing measures; state 
trading enterprises; anti -dumping actions  for 2017 ; and GATS.  
2.3.2   Regional agreements  
2.14.   Uganda is a member of the East African Community (EAC) , and applies the rules and 
regulations of the Community , including the Common Extern al Tariff (CET) , to imports originat ing 
from non -EAC members . Uganda negotiates, jointly with other EAC member States, regional trade 
agreements with other trading partners; these include  the Economic Partnership Agreement (EPA) 
with the European Union, th e COMESA -EAC-SADC Tripartite Forum, and the African Continental Free 
Trade Area (AfCFTA) (main report , Section 2) .  
                                                
4 According to the authoritie s, the composition of the IITC is broad -based, drawing from public and 
government institutions, private -sector institutions, academics and researchers, and civil society 
representatives . WT/TPR/S/384 • Uganda  
 
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  2.3.3   Other agreements and arrangements  
2.15.   Uganda is a beneficiary of a number of unilateral preferential arrangements  (main report , 
Section 2),  including:  
• The Everything But Arms (EBA) Scheme of the European Union;  
• The African Growth and Opportunity Act (AGOA) of the United States; and  
• The General ized System of Preference s (GSP) schemes of other developed  countries.  
2.4  Investment Regime  
2.16.   The investment regime in Uganda remained la rgely unchanged since the last R eview. The 
main legislation is the Investment Code 1991  (as amended) . An investment bill is currently with the 
Parliament. Foreign investment and 100% foreign ownership are allowed in all economic activities , 
except for those relating to defence  and land ownership . The Government is placing the utmost 
emphasis on attracting investment  to the following five priority sectors : agriculture and agribusiness, 
information and communication technology (ICT), tourism, packaging, and mineral beneficiation.  
2.17.   The Land Act , 1998 prohibits foreign investors from owning land, but allows them to lease for 
up to 99 years.  Foreign investors m ay participate in joint ventures involving the outright purchase 
of agricultural land , in which  Ugandans must hold a majority share. In addition, investors may 
purchase and own specific land titles for commercial, industrial, agricultural, and residential 
purposes. This may be: (a) land purchased by the Uganda Investment Authority (UIA) and allocated 
as leasehold or freehold tenure; (b) land belonging to ministries and town councils under freehold 
(for Ugandans only) and leasehold; or (c) government -held la nd. 
2.18.   All investment projects are subject to investment licensing requirement s by the UIA. In 
practice , a threshold of USD 100,000 is applied to foreign investors and USD 50,000 to local 
investors.5 A local investor is defined as a company in which the local  partner holds more than 50% 
of the shares . The licence is issued within three days at no cost.  Pursuant to Section 13 of the 
Investment Code, foreign investors may be subject to a number of performance obligations (not 
imposed on national counterparts) as  a condition for granting an investment licence. These include 
foreign exchange earnings, staff training and local employment, technological transfer, contribution 
to socio -economic development, and other obligations that the UIA may consider relevant for 
meeting the objectives of the Investment Code  (e.g. investment size and environmental protection).6  
2.19.   Similarly, under the Petroleum Exploration, Development and Production Act , 2013 and the 
Petroleum Re fining, Conversion,  Transmission and Midstream Storage Act , 2013, investors are 
required to contribute to the creation of a local skilled workforce. The Uganda Investment Act does 
not specify mandatory numbers for local employment in management positions. According to the 
authorities, no performance appraisal regarding this matter has been carried out since the mid -
1990s .   
2.20.   An entity must be registered as a company before it can apply for an investment licence.  The 
registration procedure s for foreign companies  seem to differ from th ose applicable to domestic 
companies , but details were not available . 
2.21.   The UIA is a semi -autonomous government agency , operating in partnership with the private 
sector and the Government . Its objectives  are to  attract value -adding investment that bri ngs 
technology, skills and jobs; contribute to the image of Uganda as a leading African investment  
destination; provide serviced sites, buildings , and competitive infrastructure to me et the needs of 
growing Ugandan -based businesses; stimulate and lead key stakeholders in creating a competitive 
business environment; set  up and develop industrial and business parks; and offer support to SMEs.  
                                                
5 WTO document WT/TPR/S/271/UGA/Rev.1, 31 May 2013.  
6 The Investment Code authorizes the Government to review and revoke the investment licence or other 
relevant permit of both domestic and foreign investors on a case -by-case basis if the investor fails to perform.  WT/TPR/S/384 • Uganda  
 
- 368 - 
 
  2.22.   The UIA offers information on investment opportunities in Uganda . It also  helps investors 
obtain investment licences; provides assistance in securing other licences and secondary approvals; 
helps locate relevant project support services; assist s in the acquisition of industrial land; help s 
obtain work permits and special passes; arrange s contracts for potential investors and organiz es 
itineraries for visiting foreign missions; and assist s in seeking joint -venture partners and funding.  
2.23.   The UIA also  provides a one -stop services centre  (OSC) , where investors can register their 
business with the Uganda Registration Services Bu reau (URSB) ; deal with tax and other registration 
issues with the Uganda Revenue Authority (URA) ; and organize work permits and residency issues 
with the Directorate of Citizenship and Immigration Control.  The one -stop facilitation services centre 
has made  it easier to start a business in Uganda,  by streamlining procedures and making them 
simpler and faster, and introducing modern technological and communication tools. In December 
2016, the electronic  portal of the OSC , e-Biz, became operational. e -Biz works as a complement to 
the OSC, helping investors to register through a number of modules connect ed to it. Currently, 
investors may register a business, search for a land title, and apply for an investment licence or 
environmental impact assessment on the e -Biz portal; the authorities indicated that more modules 
will be connected to the portal in the future.  The UIA also develops and manages  22 industrial and 
business parks (IBPs) throughout  the country. Business es estab lished in these IBPs enjoy the 
incentives provided in the relevant legislation.  
2.24.   Generally, business es in Uganda are subject to corporate income tax at a standard rate of 
30%. They may benefit from a number of tax and other investment incentives (Section 3. 3.1).7 
Plants and machinery used for agriculture, manufacturing, oil and gas production are exempted  from 
import duties and VAT.  
2.25.   Uganda is a signatory to major international investment -related arrangements and 
institutions, such as the Multilateral Invest ment Guarantee Agency (MIGA), the Overseas Private 
Investment Corporation (OPIC), the Convention on the Recognition and Enforcement of Foreign 
Arbitral Award (CREFAA), the Islamic Corporation for the Insurance of Investment and Export Credit 
(ICIEC), and t he International Centre for the Settlement of Investment Disputes (ICSID).   
2.26.   It seems that Uganda has signed avoidance of  double -taxatio n treat ies (DTAs)  with a number 
of countries, but the list is not available. The list of countries with which Uganda has signed bilateral 
investment treaties ( BITs) is neither available . 
 
 
                                                
7 The UIA publishes online a guide on tax i ncentives/exemptions for investors in Uganda. Viewed at: 
http://www.ugandainvest.go.ug/wp -content/uploads/2016/03/A -Guide-on-Incentives -Exemptions -available -
Ugandan -Investors.pdf .  WT/TPR/S/384 • Uganda  
 
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  3  TRADE POLICIES AND P RACTICES BY MEASURE  
3.1  Measures Directly Affecting Imports  
3.1.1   Customs procedures  and requirements  
3.1.  The legal  and institutional framework for customs matters remained largely unchanged since 
the last Review. Uganda implements the EAC Customs Management Act , 2004 (as amended in 
2009), the EAC Customs Management Regulation , 2010, the EAC One-Stop Border Posts Act , 2016, 
and the EAC Elimination of Non -tariff Barriers Act , 2017. The URA, through  its Customs Department, 
is the main enforcement agency for customs matters  on national borders .1 It has also established 
offices in Mombasa Port, Na irobi, Kisumu, Nakuru and Eldoret  to facilitate customs clearances .2 
3.2.  Uganda ratified the TFA, and deposited its instrument of acceptance on 25 June 2018 . It 
submitted its notification of Category A measures3, covering 8% of the TFA provisions . According to  
the authorities, Uganda's notifications of Categor y B and C measures are under preparation.4 A 
National Committee on Trade Facilitation  was established5, which  is in the process of preparing a 
national action plan for TFA implementation .  
3.3.  Any registered b usiness ( Section 2. 4) may import goods for commercial purposes6, upon 
registration with the URA and the obtention  of a tax identification number (TIN) . An Export/Import 
Code Number is then issued to the trader.  
3.4.  Importer s are required to fill  in an import declaration form (form C17). A simplified form is 
available for informal traders  and small cross -border traders . The C17 form is generally filled in and 
submitted electronically , together with the other required documents , which may include: a 
certificate of conformity, for goods subject to technical regulations; an import permit a nd/or licence , 
for the importation of some goods (see Section 3.1. 5); and evidence of payment for the goods . 
These documents may also be submitted electronically.  The s ubmission of a customs declaration 
before cargo arrival (pre -arrival declaration) may be allowed . 
3.5.  All customs -related  documents are submitted through ASYCUDA  World . Since January 2014, 
the URA has been operat ing ASYCUDA World , an upgrade from ASYCUDA++ , in all its customs 
offices.  Based on ASYCUDA  World , Uganda  launched an Electronic Single Window (UESW), a n 
electronic  portal connecting various agencies involved in the regulation or control of imports ; the 
authorities noted that the UESW was still an ongoin g project.  Importers may utilize the system to 
track the status of every stage of document clearance.  
3.6.  Based on risk profiling7, import s are assigned to one of the following four lanes for customs 
release : the red lane for cargos to be subjected to physica l inspection  and document verification,  
the yellow lane for cargos destined for document verification , the blue lane for goods released 
without inspection or examination of documents, but subject to a post-clearance audit, and the 
green lane for cargos to be cleared without any physical inspection .  
                                                
1 Other agencies enforcing domestic legislation at the borders include the UNBS, the Ministry of 
Agriculture, Animal Industry and Fisheries (MAAIF), and the Uganda Police Force.  
2 The URA offic e in Mombasa Port is mainly responsible for maritime goods; other URA offices outside 
Uganda are mainly responsible for the intra -EAC transfer of goods.  
3 WTO document WT/PCTF/N/UGA/1, 7 August 2015.  
4 The authorities indicated, during the WTO Secretariat visit to Kampala in May 2018, that another 
technical assistance for needs assessment would be required, in order to prepare the notifications on Category 
B and C measures.  
5 The National Committee on Trade Facilitation is chaired by the MTIC.  
6 Personal ef fects are governed by the EAC CMA 5th schedule.  
7 The authorities noted that c riteria for risk assessment are largely based on World Customs 
Organization ( WCO) Risk Management Standards.  WT/TPR/S/384 • Uganda  
 
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  3.7.  Upon payment of customs duties and other internal taxes  collected at the border , importers 
apply for the release of goods  from Customs. According to URA standards, it takes up to: 1 hour for 
the green channel, 6 for yellow, and 24 for red , to release the imports after the lodgement.8  
3.8.  Uganda fully rolled out its Authorized Economic Operator (AEO) programme in April 2013 . 
There are two AEO schemes: national AEOs whose benefits are limi ted to the jurisdiction of Uganda, 
and East African regional AEO s (main report, Section 3.1.1). National AEO benefits may include: less 
document control, expedited customs clearance, flexible arrangement s for physical inspection, self -
management of bonded warehouses, and the possibility of obtaining withholding tax exemption 
status.9 In practice, AEOs use the blue and green lanes for clearance.  As of end-September 2018, 
there were 56 AEOs in Uganda , of which 26 were EAC  regional  AEOs. 
3.9.  According to the authorities, the use of c ustoms clearing  and/or forwarding agents  is not 
mandatory but , in practice, the majority of customs declarations are handled by such agents. These 
agents must be licensed by  the URA, and must be Uganda n citizens and legal persons. Licences are 
valid for one year, renewable.10 These agents  can operate at the national level only, or can operate 
in any other EAC country ( main report , Section 3.1.1). The URA maintains and regularly updates the 
list of agents licensed to operate at the national and regional levels.11  
3.10.   The authorities  indicated that  Uganda was implement ing the EAC Transit Scheme. Since 
January 2014, the URA has deployed the Electronic Cargo Tracking System (ECTS) for transit goods; 
a physical escort is no longer required. The URA estimated that the deployment of the ECTS saves 
importers  UGX 3 million per year.12 
3.11.   Complaint s and appeal s against customs decisions  follow the procedures set down  in the EAC 
Customs Management Act . Uganda established a Tax Appe al Tribunal ; however, d ata on appeals 
were not available . 
3.1.2   Customs valuation  
3.12.   According to the authorities, customs valuation rules are based on the provisions of the EAC 
Customs Management Act, which are aligned to the WTO Agreement on Customs Valuations (C VA) 
(main report , Section 3.1.2 ). In principle, the primary method of valuation is the transaction value 
of the imported goods. The customs authorities may, when necessary, have recourse to alternative 
methods following the hierarchy set out in the CVA.  
3.13.   Customs duties are assessed on the c.i.f. value of go ods; insurance is mandatory except for 
inter-EAC transfer of goods . The URA uses its own exchange  rates that are published  on its website 
at the time it approves the customs declaration . A valuation database is used for purposes of 
reference and application of alternative valuation methods where a declaration is found 
unsatisfactory during the vetting process. The database of reference values  is constituted from 
previously accepted transac tion values .   
                                                
8 URA online information, Customs Business Centre Standards . Viewed a t: 
https://www.ura.go.ug/openFile.do?path=//webupload//upload//download//staticContent//RGTMENU//307//88
6_FAQs.pdf .  
9 URA onlin e information, AEO. Viewed at: 
https://www.ura.go.ug/openFile.do?path=//webupload//upload//download//staticContent//RGTMENU//307 //10
05_AEO.pdf .  
10 As of end -September 2018, the renewal fee is charged at USD 450.  
11 URA online information, Licensed Agents . Viewed at: 
https://www.ura.go.ug/openFile.do?path=//webupload//upload//download//staticContent//RGTMENU//307//81
7_UPDATED_LICENSED_CUSTOMS_AGENTS_2013.pdf .   
12 URA online information, Electronic Cargo Tracking System . Viewed at: 
https://www.ura.go.ug/openFile.do?path=//webupload//upload//download//staticContent//RGTMENU//307//93
48_ECTS_.pdf .  WT/TPR/S/384 • Uganda  
 
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  3.14.   For valuation of used motor vehicles, the URA publishes a Used Motor Vehicle Indicative Value 
Guide  on its website.13 The m ajority of customs valuation s of used motor vehicles w as referenced to 
the Guide.  
3.15.   According to the authorities, the ma in challenges in the area of customs valuation  include: 
difficulties in obtaining information (for valuation  purposes) from foreign sources,  falsification of 
documents (particularly in the case of used cars) , and the issuance of dual or blank invoices by 
suppliers.   
3.1.3   Rules of origin  
3.16.   Uganda does not maintain non-preferential rules of origin.  
3.17.   Pursuant to the EAC Customs Management Act  (CMA) , Uganda maintains preferential rules of 
origin for goods originat ing from EAC member States (main report , Section 3.1.3) . Also, as a 
member of the COMESA FTA, Uganda implements COMESA rules of origin. According to the 
authorities, Uganda does not maintain any other preferential rules of origin.   
3.18.   The URA is responsible for issuing preferential certificates of origin (i.e. EU,  COMESA, EAC, 
AGOA, GSP certificates of origin) , free of charge . Certificates of origin for non -preferential trade are 
issued by the Chamber of Commerce , against payment  of UGX 10,000 .  
3.1.4   Tariffs  
3.1.4.1   WTO bound tariffs  
3.19.   About 17 % of tariff lines are bound. The tar iff bindings cover all lines for agricultural products 
(WTO definition), and  157 lines for non -agricultural products (approximately 2.8% of total lines ). 
The simple average rate of Uganda's bound tariff is 72.8%, with an average bound rate of 77.1% 
for agricultural products, and 51.1% for non -agricultural products  (main report , Table 3.4) . The 
bound rate for most agricultural products is 80%, except for 75 lines bound at r ates between 40% 
and 70% . For non -agricultural products, the bound rates vary from 40% to 80%. 
3.1.4.2   Applied MFN tariffs  
3.20.   Uganda applies the EAC CET , with certain deviations,  to imports originating  from countries 
other than EAC member  States ( main report , Section 3.1.4.1).  The deviations from the EAC CET are 
those lines under the EAC "Stay Application" S cheme  (main report , Section 3.1.4.3  and Table 3.5 ). 
3.21.   The EAC CET rates  are, in most cases, considerably lower than the bound rates.14 However, 
for 13 lines  carrying mixed duties  in the CET  (rice and sugar ), the applied rates may exceed their 
corresponding ad valorem  bound rates  (main report , Section 3 .1.4.1  and table 3. 1).  
3.1.4.3   Preferential tariffs  
3.22.   Uganda grants duty -free treatment to all products originating  from EAC member States, and 
an 80% reduction in the EAC CET rate s to goods o riginating in other COMESA countries ( main report , 
Section  3.1.4.4) .  
3.1.4.4   Tariff exemptions and reductions  
3.23.   The regimes for tariff exemptions and reductions in Uganda are subject to the har monized 
EAC schemes  under  the Fifth Schedule of the EAC CMA, as amended  (main report , Section 3.1.4.3).   
3.24.   As of end -2017, 55 companies from Uganda benefited from the EAC Duty Remission Scheme. 
Beneficiary products include: completely knocked down kits; pre -cured rubber for re -treading tyres; 
                                                
13 URA online information, Used Motor Vehicle Indicative Value Guide . Viewed at: 
https://www.ura.go.ug/op enFile.do?path=//webupload//upload//download//staticContent//RGTMENU//307//81
8_MV_Guide_as_at_10th_June_2015_(2).pdf .  
14 The tariff analysis of the EAC CET is included in the main report.  WT/TPR/S/384 • Uganda  
 
- 372 - 
 
  inputs for the manufacture of transformers; inputs for the manufacture of matches and match boxes; 
inputs for the manufacture of sanitary towels; duplex board and paper for the manufacture of 
exercise books; and sugar for industrial use.  
3.1.5   Other charges affe cting imports  
3.1.5.1   Internal taxes  collected at the border  
3.25.   Internal taxes , such as VAT and excise duties (Section 3.3.1) , on imports are collected at the 
border. In general , internal taxes are equally applied to domestically -produced goods and their 
imported equ ivalents; however, some imported products are subject  to higher rates , compared to 
their domestically -produced equivalent s (see below) .  
3.26.   VAT is applied at a standard rate of 18%  to the sale price of locally -produced goods and 
services, and to the customs -duty inclusive c.i.f. value of imports , with exemptions to products listed 
in the Second Schedule of the VAT Act  (Section 3.3.1) . Exports are zero -rated.  Specific g oods subject 
to zero -rated VAT are listed in the Third Schedule of the Act , and includ e drugs and medicines, 
educational materials, and seeds, fertili zers, pesticides and hoes and sanitary towels  and tampons 
and inputs for their manufacture.    
3.27.   Uganda applies excise duties on, inter alia , tobacco products, alcoholic and non -alcoholic 
beverage s, fuel, mobile phone calls, sugar, and sacks . Excise duties are calculated based on the ex-
factory price for domestically produced goods, and on the customs -duty-inclusive c.i.f. value for 
imports . During the period under review, the Excise Tariff Act was  amended several times. Compared 
to the excise duties valid in 2011, the rates of excise duties for some products were increased , and 
new items were added into the schedule of excisable goods and services (Table  A3.1) . Since 1 July 
2014, the following good s and services have become excisable: wine, kerosene, motor lubricant, 
cement, sugar confectioneries, cosmetics and perfumes, value -added telecoms services, and mobile 
money services. Since 1 July 2016, excise duty has been applied to imported furniture. E ffective on 
1 July 2018, "over the top" telecoms services are subject to excise.  
3.28.   A rate of 200% excise duty is applied on cigars and other tobaccos in 2018, up from 160% in 
2011; for soft cup s with more than a 70% local content, the rate increased from UGX22,000 to 
UGX55,000 per 1,000 pieces ; for hinge lid s, the rate increased from UGX55,000 to UGX80,000 per 
1,000 pieces . Excise dut y on fuels (i.e. gasoline and diesel) also increased.  Plastic packaging 
materials are subject to an excise duty at a rate of 120%.  Effective on 1 July 2017, different rates 
of excise dut y are applied to a number of products, depend ing on whether they are produced locally  
or not  (Table 3. 1). 
3.29.   Imported goods are also subject to a withholding tax of 6% on the c.i.f. value, which may  be 
offset against the final tax liability of the importer.  This tax is applicable to specified payments made 
to resident and non -resident companies, dividends, interest, royalties, management or professional 
fees, and repatriated income, among others. In respect of payments to resident companies, this t ax 
is generally an advance tax.15 
Table 3.1 Different excise duty rates for locally produced and imported goods, 2018  
Duty  Locally produced  Imported  
Soft cup s UGX 55,000/1,000 pieces  UGX 75,000/1,000 pieces  
Hinge lid s UGX 80,000/1,000 pieces  UGX 100,000/1,000 pieces  
Beer 30% 
or UGX 950/l, whichever is higher  60% 
or UGX 1,860/ l, whichever is higher  
Spirits  60% 80% 
Wine 20% 70% 
Furniture  Nil 20% 
Source:  Information provided by the authorities.   
                                                
15 The withholding tax rates applicable to payments to non -residents may be reduced or eliminated if a 
double tax agreement has been entered into between Uganda and the recipient 's country of residence.  WT/TPR/S/384 • Uganda  
 
- 373 - 
 
  3.1.5.2   Other charges  
3.30.   A number of fees , that have been harmonized at the EAC level ( main report , Section 3.1.4.5) , 
are levied on imports . 
3.31.   An environmental levy is imposed on imports of used motor vehicles. For used cars that were 
manufactured five to ten years before importation, the levy is charged at a rate of 35% of the c.i.f. 
value of the car; for cars older than ten years, the levy is charged at 50%. Following the enactment 
of the Traffic Safety Act , 2018, an importe d truck aged five years or more attracts the environmental 
levy at 20% of the c.i.f. value. In addition, used clothing, used shoes and other used articles are 
subject to the environmental levy at 15% of the c.i.f. value.   
3.1.6   Import prohibitions, restrictions,  and licensing  
3.1.6.1   Import prohibitions  
3.32.   According to the authorities, import restrictions, including  prohibitions and  controls , are 
largely harmonized at the EAC level  (main report , Section 3.1.6) . However , Uganda  maintains  a 
national  list of goods subject to i mport prohibitions;  the list may be amended by the Trade Minister . 
It seems that used tyres  and pornographic materials are banned from importation, for environmental 
protection, human safety, and social moral considerations.   
3.33.   During the review period, Uganda reversed its import prohibition on plastic bags .16   
3.1.6.2   Import licensing  
3.34.   Uganda maintains several import control s, such as requirements for import 
permits/authorization, and import licences.  Licence s are valid for six months from issuance, and are 
renew able. 
3.35.   Importers of agri -chemicals are required to register with , and obtain approval from , the 
Agricultural Chemicals Board (ACB). The National Drug Authority (NDA) regulates imports of 
pharmaceuticals; importers must apply to the NDA for registration and certification under the 
National Drug Policy and Authority Act , 1993. The URA may require supplementary documents at 
the entry point for certain imports. A licence and a Quality Clearance Certificate , issued by the NDA , 
are required for human and animal me dicine .   
3.36.   Imports of products protected under the Convention on International Trade in Endangered 
Species of  Wild Fauna and Flora (CITES) require permits. Application for permits must be 
accompanied by CITES certificates , issued by the exporting countries.  Sanitary and phytosanitary 
(SPS) certificates are required for trade in agricultural products ( Section 3.3.3). A fumigation 
certificate is required for second -hand clothing . 
3.1.7   Anti-dumping, countervailing, and safeguard measures  
3.37.   Trade remedies  (anti-dumping, countervailing  and safeguard)  measures are governed by 
various EAC Customs Union regulations ( main report  3.1.7). Uganda does not have its own 
legislation on trade remedi es, nor has it initiated or adopted any such measures against WTO 
Member s. 
3.1.8   Other measures  affecting imports  
3.38.   Countertr ade is not practised in Uganda. T here are no offsetting requirements in force.  
Uganda does not maintain strategic reserve stocks .  
3.39.   Uganda is under the waiver of non -TRIMs consistency, which is to expire by 202 0. The 
authorities noted that the new Investment Code is under parliament ary debate at its second reading.   
                                                
16 In 2006, the Finance Act was amended to ban the importation, manufacture, sale, and use of plastic 
bags.  WT/TPR/S/384 • Uganda  
 
- 374 - 
 
  3.2  Measures Directly Affecting Exports  
3.2.1   Customs procedures , valuation,  and requirements  
3.40.   Registration formalities for exports are similar to those applying  to imports (Section 3.1.1). 
Required documents may include a commercial invoice, a packing list and a bill of lading (or airway 
bill). Depending o n the product and/or destination market, the following may also be required: a 
certificate of origin, a phytosanitary certificate, a sanitary certificate, a fumigation certificate, or a 
quality assurance certificate. Export -related documents , including declarations,  are submitted 
through  ASYCUDA World . For customs purp oses, export values are assessed on a n f.o.b. basis, and 
converted at URA exchange rates (Section 3.1.2).  
3.41.   The authorities indicate that, on average, clearance of exports through customs takes less 
than one day, unless there is a need to verify the informa tion provided.  
3.2.2   Taxes, charges, and levies  
3.42.   Hides and skins are subject to a 15% levy on  the f.o.b value of the exports; exports of raw 
tobacco are charged a levy of USD 0.2 per kg. The authorities indicate that the rationale for these 
levies is to encourage value addition and to promote local industry.  
3.43.   An export levy is also imposed on fish and fish products , at a rate of USD 0.05 per kg for 
large fish, and USD 0.02 per kg for small fish and fishery industrial by -products.  According to the 
authorities, these levies were imposed to avoid indiscriminate fishing.  
3.44.   Uganda maintains a cess of 1% on exports of coffee (collected by the Uganda Coffee 
Development Authority), which is used for c offee development activities . A cess of  2% is collected  
by the Cotton Development Organization  on the exports of  cotton.   
3.2.3   Export prohibitions, restrictions, and licensing  
3.2.3.1   Export prohibitions  
3.45.   Export prohibitions are largely harmonized at the EAC  level, under the Third Schedule of the 
EAC CMA, as amended  (main report , Section 3.2.3) .  
3.2.3.2   Export licensing  
3.46.   Export permits or licences are required for flowers, fruits, vegetables, plants, bees and bee 
products, coffee, cotton, and game and trophies. Expor t certificates are required for precious metals, 
fish, and hides and skins. For other products, export permits are only necessary if required by the 
importing country.  
3.2.4   Export support and promotion  
3.2.4.1   Export incentives  and support  
3.47.   The authorities indicate tha t Uganda does not provide export subsidies.  
3.48.   Under the Income Tax (Tax Incentives for Exporters of Finished Consumer and Capital Goods) 
Regulations , 2009, income tax exemptions are provided for ten years for companies exporting at 
least 80% of fini shed con sumer and capital goods , whether or not the raw materials originate in  
Uganda.  In accordance with the Excise Tariff (Amendment) Act, excise duties paid on goods that are 
finally exported out of Uganda may be remitted, upon satisfactory proof of exporting.   
3.49.   The Uganda Export Promotion Board (UEPB) is the main export promotion agency.  It provides 
exporters with trade and market information, as well as advisory services. According to the 
authorities, the Export Promotion Fund (EPF) , launched within the BOU in 1995 , is no longer 
operational. Funds for export promotion are now available through commercial banks.   WT/TPR/S/384 • Uganda  
 
- 375 - 
 
  3.2.4.2   Free zones  
3.50.   Uganda passed the Free Zones Act in February  2014. Pursuant to the Act, t he Uganda Free 
Zones Authority  (UFZA)  was established on 1 Septe mber 2014. The UFZA is responsible for the 
establishment, development, management, marketing, maintenance, supervision and control of free 
zones ( FZs).17 The authorities stated that the overriding purpose of FZs is to promote investment in 
export -oriented m anufacturing and processing in all sectors of the economy, in such a way as to 
"diversify the co untry 's economic base, attract FDI, generate employment, increase foreign 
exchange earnings, enhance technology transfer, skill acquisition/upgrading as well as  create 
backward linkages" . 
3.51.   In Uganda, FZs may be  either Export Processing Zones  (EPZs)  or Free Port Zones . Information 
on the FZs that are operational in the country  is not available . The first FZ (Arua  Special Economic 
Zone) mainly focuses on fish processing, timber processing, and the  construction of pre -built factory 
unit and warehousing facilities.  
3.52.   A licence from the UFZA  is required  for businesses  to be involved in FZ  activities . There are 
three typ es of licences: developer, operator, and manager.  Developer and operator licences are the 
two major categories to attract investors ; a manager licence is issued to a business enterprise which 
will only undertake the management of a n FZ. A developer 's licen ce is issued to investors intending 
to invest in infrastructure development, including industrial buildings and warehouses, roads, as well 
as the provision of utilities , such as power, water, sewerage systems and telecommunication lines. 
An operator 's lice nce is issued to investors intending to carry out , inter alia , manufacturing or 
processing, commercial activities such as breaking bulk, re -packaging, re -labelling and providing  
export -oriented services.  All licences are subject to an annual licence fee.  
3.53.   As regard s the eligibility requirement , both local and foreign companies may be licensed 
However, they must meet the following criteria: be registered or incorporated for the sole purpose 
of developing and operating in an FZ in Uganda;  must have an adequate equity base and access to 
capital to enable it  to develop a n FZ or operate in a n FZ; and  the activities  of the projects for which 
the developer or o perator seeks  to engage in  must be commercially viable and must be based on a 
suitable and credible business plan. An FZ company must export at least  80% of its output.   
3.54.   There are 22 industrial and business parks (IBPs) operational in the country. IBPs are 
managed by the UIA. The priority sectors for IBPs are similar to those  for FZs; they includ e agro-
processing for strategic commodities , such as coffee, fish, cotton, tea, fruits and vegetables ; oil, gas 
and mineral sectors; manufacturing (light and heavy industries); commercial handicrafts; and 
services.  
3.55.   Incentives available to companies operating in FZs or IBPs  include: duty exemption on 
imported raw materials and intermediate goods, machinery and equipment, and spare parts for 
exclusive use in the FZ /IBP; an income tax holiday for the first ten years on export  earnings  of 
finished consumer and capital goods; a 100% income tax exemption on earnings from agro -
processing; an exemption from the payment of stamp duty for land owned by the UFZA; and free 
land rent for five years.   
3.2.5   Export finance, insurance, and guarantees  
3.56.   According  to the authorities, the Government  does not maintain any schemes for export 
finance, insurance, and/or guarantees .18  
3.3  Measures Affecting Production and Trade  
3.3.1   Incentives  
3.57.   Companies engaged in agro -processing may enjoy a tax holiday on corporate income for ten 
years. An exemption of income tax for ten years is accorded to companies operating in an industrial 
                                                
17 UFZA online i nformation, About Us . Viewed at: http://freezones.go.ug/about -us/.  
18 An export finance scheme and an export guarantee scheme were discontinued in 2006, following the 
decision of the Ministry of Finance to t ransfer all development funds to Uganda Development Bank Ltd.  WT/TPR/S/384 • Uganda  
 
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  park or a n FZ; similar treatment is granted to companies outside the parks/zones if their investment 
value is more than USD 30 million for a foreign company or USD 10 million for a Ugandan company.19 
3.58.   A 50% initial allowance is available in respect of plant and machinery, which is increased to 
75% if such assets are outside the areas of Ka mpala, Entebbe, Namanve, Jinja and Njeru. During 
the year a new industrial building or expansion to an existing one is put to use for the first time , 
20% of the  related  cost is available as allowance . 
3.59.   Mining operations are granted a 100 % deduction for any expenditure of a capital nature 
incurred in the exploration of, discovery, testing or gaining access to mineral deposits in Uganda.   
3.60.   All goods that are exempt under the Fifth Schedule of the EAC  CMA are exempt from VAT  in 
Uganda . These are listed in the Se cond Schedule of the VAT Act, and includ e unprocessed foodstuffs ; 
unprocessed agricultural products and livestock ; computer software ; bio-degradable packaging 
materials; financial services; insurance services; education services; veterinary, medical, dental, 
and nursing services; new computers, printers, and parts; and liquefied petroleum gas.  
3.3.2   Standards and other technical requirements  
3.61.   During the period under review, Ugan da's framework for standards and technical 
requirements remain ed largely unchanged. The basic legislation is the Uganda National Bureau of 
Standards Act , Cap 327  (as amended) . The UNBS is the sole statutory organization responsible for 
the formulation, pro motion , and enforcement of standards and technical regulations. It is the 
national enquiry point for TBT issues in the context of the WTO20; the MTIC is responsible for 
notifications to the WTO.   
3.62.   In the period between 1 January 201 2 and 31 July 2018, Uganda  submitted about 700 regular 
notifications to the WTO  under the TBT Agreement . The notifications cover, inter alia , food and 
beverage s, cosmetic products, construction materials, fertilizer s, fuel products, medical instruments, 
clothing and textile s, mecha nical devices, and measuring devices . Most  of these notifications 
specified  a comment period of at least 60 days  and a proposed date of adoption . During the same 
period, Uganda also submitted a large number of addenda, providing additional information on t he 
adoption, entry into force, and content of the final text of previously notified TBT measures.  Some 
WTO Members in the TBT Committee expressed their concerns about EAC -harmonized technical 
regulations on alcoholic beverages . 
3.63.   Any interest ed party (i.e. public sector , private sector, academia, or members of the public ) 
may submit proposals for national standards /technical  regulations to the UNBS . The technical 
committees prepare the draft standards, and publish  them for comments.21 A 60-day period is 
usual ly given for public comments from a wider range of stakeholders. The authorities noted that 
the UNBS responds to all comments in writing. Final texts of standards must be approved by  the 
National Standards Council , prior to being declar ed as national stand ards by the Minister for Trade .  
3.64.   Upon the recommendation from the National Standards Council, the Minister may declare a 
standard  a technical regulation (i.e. mandatory standards).  The Council recommend s a standard to 
be declared compulsory depending on th e objectives it intend s to achieve. These objectives include 
quality requirements, the protection of human health or safety, the protection of the environment, 
the protection of animal or plant life or health, the prevention of deceptive trade practices and 
consumer protection, and consumer information or labelling . A 60-day period is accorded to the 
                                                
19 The Ugandan tax system is residence -based . Capital gains are aggregated with business income , and 
taxed at the standard corporate income tax rate.  The basic rate of corporate income tax in Uga nda is 30%. The 
rates for mining companies and petroleum operations are calculated differently, according to the corresponding 
provisions set forth in the Income Tax Act (Section 4.2).  Small -business taxpayers, with a turnover of between 
UGX 5 million and UGX 50 million, are taxed on a turnover basis.  
20 The UNBS represents Uganda in the African Regional Organization for Standardization (ARSO), in the 
International Organization for Standardization (ISO) as a correspondent member, and at the EAC and the 
COMES A for the harmonization of regional standards.  
21 As of end -July 2018, there were 20 technical committees. See UNBS online information, Technical 
Committees . Viewed at: https://unbs.go.ug/content.php?src=technical -committees&pg=content .  WT/TPR/S/384 • Uganda  
 
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  public for the submission of any objection. If no objection is registered, the standards become 
technical regulations when the Minister of Trade declares the m as such .22  
3.65.   The UNBS publishes a bi-annual  catalogue of standards.  A list of technical regulations is also 
maintained on the UNBS website. As of end-2017, a total of 3,125  standards were in force, of which 
1,317 were compulsory (i.e. technical regulations ). According to the authorities, Uganda  considers 
relevant international standards as the basis for preparing national standards and technical 
regulations , unless the international standards  are ineffective (due to climate or geographic 
conditions , for ins tance) or inappropriate to achieve the intended, legitimate objectives.  The 
authorities noted that 747 technical regulations were directly adopted  or derived  from international 
standards , while 270 were EAC regional standards.   
3.66.   Products (domestically -produ ced or imported) subject to technical regulations must be tested 
for conformity before they are placed on the market.23 In principle, t he tests are carried out by the 
appropriate UNBS laboratories in the fields of chemistry, microbiology, mechanic s, building 
materials , and electrical equipment.  The UNBS operates a product certification scheme , under which  
manufacturers apply for and are granted permits to use the Uganda Standards Distinctive  Mark on 
their products . The Mark is mandatory for products s ubject to technical regulations.  As of end-July 
2018, 1,200 products ha d been certified and 400 companies ha d benefited from this scheme.  
3.67.   For locally -produced goods, the UNBS carries out scheduled and surprise site visits to 
industrial plants to ensure saf ety and conformity with technical regulations . The UNBS has 
established  an Import Inspection and Clearance Scheme that requires all imported products subject 
to technical regulations to be inspected for conformity.  The inspection may follow  one of two 
methods: pre -export verification of conformity (PVoC), or destination inspection.24  
3.68.   PVoC is usually applied to imports valued above USD 2,000 ( f.o.b. ). Under it, importers  must 
present a Certificate of Conformity (COC )25 at the point of entry; in the absence of a COC, the arrival 
cargoes are subject to destination inspection, instead . In most cases, COCs are required before the 
goods are loaded in the exporting countries (i.e. pre -export) . COCs may be issued by inspection 
agents , who are  pre-qualified and commissioned by the UNBS; the UNBS also accept s test reports 
issued by accredited foreign laboratories .26 In general, the inspection fees are charged at ad valorem  
rates o n the f.o.b. value of the shipment27: 0.5% for unregistered products, 0.45% for reg istered 
products, and 0.25% for licensed products. The authorities stated that the inspection fees  have 
remained unchanged since 2013 .  
3.69.   The UNBS provides facilitation procedures for products subject to PVoC  requirements. 
Products that have been registered with the UNBS , or frequent importers of homogeneous products , 
may enjoy self -declaration of compliance supported by substantiated evidence of conformity and 
consistency (test reports, certificates, Quality Management Certificates, etc); product registration is 
valid for one year, renewable . Exporters to Uganda may  also apply for a UNBS Product Compliance 
Licence, under which COCs will be issued if the licence review is satisfactory ; this Licence is 
renewable  annually . Imports bearing the Uganda Standards Distinctive Mark are exempted from the 
PVoC requirement. Under the prin ciple of intra-EAC transfer , imports originating  in other EAC 
members are not subject to PVoC , if they bear notified certification marks of other EAC partner 
States. 
3.70.   For goods valued at less than USD 2,000, d estination inspection is applied on their arrival at 
the point of entry. No inspection fees are charged for this inspection . However, if goods subject to 
                                                
22 Objections are submitted to the National Standards Council. The Council's decision is final.  
23 In general, products subject to technical regulations may be categorized into 11 groups , as 
referenced in Schedule 2 of the UNBS (Import Inspection and Clearance) Regulations 2015.  
24 Under unusual circumstances, such as the authorities uncovering non -compliance behaviours , 
imported goods may be subject to both PVoC and destination inspectio ns. 
25 For imports of used motor vehicles, a Certificate of Road Worthiness (CRW)  is required instead.  
26 Accredited bodies include laboratories accredited for goods in the related group of products by a full 
member of the International Laboratory Accreditat ion Cooperation  (ILAC), and product certification bodies 
accredited for goods in the related group of products by a full member of the ILAC. For details, see the Pre-
Export Verification of Conformity to Standards Operational Manual .  
27 Inspection fees for used motor vehicles are charged at specific rates.  WT/TPR/S/384 • Uganda  
 
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  PVoC fail to produce COCs at th e point of entry, a surcharge for the inspection is imposed , at a rate 
of 15% o f the c.i.f. value of the shipment . 
3.71.   In order to accelerate  customs clearance, in February 2017, the UNBS introduced a new 
procedure to release imported goods under seal to a bond house or to the importers' own premises 
while the actual release is pending laboratory testing results . Importers now apply for release under 
seal, upon all relevant payment s being made and cash worth 15% of the c.i.f. value of the goods 
being de posited as a bond. The bond is returned to the importer when the Import Clearance 
Certificate is issued; the bond is used for the destruction or re -export of the goods if the test result 
is not in favour of the importer.  
3.72.   The UNBS conducts  market surveillan ce. Where necessary, it draws samples of the product 
for laboratory testing. Testing charges are imposed if samples are drawn for laboratory analysis.  If 
the product does not meet the critical minimum requirements for health, safety , and performance , 
as set out in the relevant Ugandan Standard, the product is prohibited from entry on those grounds 
and seized for destruction or re -exportation at the importer 's expense.   
3.73.   Uganda concluded a mutual recognition agreement  (MRA)  with other EAC partner States 
within the framework of EAC SQMT Act . It has not concluded any MRAs  with other countries, nor is 
it a member of any accreditation forums . According to the authorities , a bill on accreditation has 
been submitted to the legislature.   
3.74.   The following information must be clearly marked on imports and exports:  importer/exporter 
name, consignee, flight/vehicle details, place of discharge, number of packages, container identity, 
description of goods, airway bill number/bill of lading , and country of origin /destination. Additional 
labelling requirements have been adopted for used clothing. Uganda 's standards on labelling and 
packaging apply to , inter alia , food, textile products, and cosmetics.  
3.3.3   Sanitary and phytosanitary requirements  
3.75.   During the period under review, Uganda's framework for sanitary and phytosanitary (SPS) 
requirements appear s largely unchanged. The main SPS -related legislation includes the Food and 
Drugs Act , 1964, the Public Health Act , 1964, the Plant Protection Act , 1964, the Drugs Act , 1993, 
the Seeds and Plant Act No . 3, 2007, and the Agricultural Chemicals (Control) Act No . 1, 2007. The 
authorities are revising or preparing laws and regulations in the SPS area, e.g. regulations for the 
Agricultural Chemicals (Control) Act , the draft Biosafety Act and Regulations, the Plant Protection 
and Health Act, and the Food and Nutrition Bill.   
3.76.   The MAAIF is the national enquiry point for all SPS -related issues  (including for the issuance 
of permits and certificates) , while the MITC is responsible  for notifications to the WTO.  During the 
period between 1 January 2012 and 31 July 2018, Uganda submitted 35 regular notifications  to the 
WTO under the Agreement on the Application of Sanitary and Phytosanitary Measures , covering food 
safety, and animal h ealth issues.  
3.77.   Various institutions share responsibility  for the implementation of food safety controls. At the 
time of the previous Review, Uganda developed a National Food Safety St rategic Plan (2007 -16), 
aiming at, inter alia , guiding the implementation of food safety laws, programmes, activities , and 
other food safety control systems.28 The Ministry of Health is responsible for issues related to drugs 
and food safety. Import s of drugs require  a valid import permit issued by the NDA.29 The drugs are 
inspect ed by an NDA inspector at the port of entry, to ensure that they comply with the approved 
specifications and regulations. Each batch must be accompanied by a relevant certificate of analysis. 
The inspector may carry out sampling or pick samples for further  investigation.   
3.78.   The MAAIF is responsible for initiating the formulation and review of laws, regulations , 
standards, strategies , and plans related to SPS measures and for the regulation of animal  and animal  
products  (including  fish and fish products ). A phytosanitary certificate is required from the exporting 
country for flowers, fruits, vegetables, and plants , and related products;  and a health certificate is 
required for animal s and animal product s, certifying that the y are free from infectious or con tagious 
                                                
28 WTO document, WT/TPR/S/271/UGA/Rev.1, 31/05/2013.  
29 For import procedures, see NDA online information. Viewed at: http://www.nda.or.ug .  WT/TPR/S/384 • Uganda  
 
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  diseases. A permit  from the relevant department under the MAAIF is required prior to the importation 
of these products .  
3.79.   The Department of Fisheries Resources is responsible for the certification of fish and fish 
products intended for export. It en forces fisheries regulation s, including the inspection of factory 
premises, processing lines, landing sites, fish transport , and export points for adherence to safety 
and quality requirements, as well as maintaining a national fish inspection and quali ty control 
system.  
3.80.   The Crop Protection Department of the MAAIF is responsible for all matters related to plant 
health, including the control of SPS permits on imports, the issuance of export phytosanitary 
certificates for live plant material and horticultural  crops , and the deployment of staff at all border 
posts to enforce agricultural import and export regulation s and certification against crop pests and 
diseases. The Department is also responsible for enforcing regulations on the registration and use 
of pes ticides and other agri -chemicals. Imports of flowers, fruits, vegetables, plants , and seeds 
require a phytosanitary certificate. Seed importers are subject to licensing requirements. Soil 
imports are prohibited.  
3.3.4   Competition policy and price controls  
3.81.   Ugand a has no national legislation to regulate competition or anti -trust cases.  However, 
provisions on competitive practices are embodied in various sectoral laws and regulations , such as 
the Uganda Communications Act (1997), the Uganda Electricity Regulatory Act , and the Uganda 
Insurance Regulatory Act.   
3.82.   A National Competition and Consumer Protection Policy  was approved by the Cabinet in 2014. 
Bills for a competition law and a con sumer protection law have been drafted but have not yet been 
debated in the legislature.   
3.83.   According to the authorities, Uganda does not operate any price control schemes , except for 
the utility sector (i.e. water and electricity) , where sectoral regulators  approve prices.  
3.3.5   State trading, state -owned enterprises, and privatization  
3.84.   Uganda notified the WTO that it does not have any state -trading enterprises within the 
meaning of Article XVII:4(a) of GATT 1994.30 
3.85.   Uganda began  a privatization programme in 1993 und er the Public Enterprises Reform and 
Divestiture Act (the PERD Act) . Divestiture proceeds are used to support the privatization process. 
The use of divestiture proceeds is provided for under Section 26 of the PERD Act , which indicates 
the priority for usin g proceeds to meet the costs and expenses associated with the termination of 
contracts of employment between the public enterprise whose employees are affected as a result of 
the divestiture , the liabilities of the public enterprise under the divestiture , the costs and expenses 
incurred in the process of preparing a public enterprise for divestiture , and the costs and expenses 
of the divestiture.  
3.86.   There are apparently 30 state-owned enterprises  (SOEs) in operation. SOEs mainly exist in 
the sectors of finance, agriculture, water utilit ies, mining, housing , electricity, and transport  
(Table 3. 2). In some of these sectors, the Government is not directly involved in the running of the 
business, but remains a shareholder.  
Table 3.2 State -owned companies and statutory corporations  
Name  Activity  State 
holding  
(%) 
Amber House Ltd . Assets ownership and management (Amber 
House)  100 
Dairy Corporation Ltd . Dairy  products (assets leased to Sameer 
Agriculture)  100 
                                                
30 WTO document G/STR/N/10/UGA , 28 September 2005.  WT/TPR/S/384 • Uganda  
 
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  Name  Activity  State 
holding  
(%) 
Housing Finance Bank Ltd . Commercial banking  49.2 
Kilembe Mines Ltd . Copper mining  99.6 
Kinyara Sugar Ltd . Sugar production (due for sale)  30 
Mandela National Stadium Ltd . Stadium management  100 
Munyonyo Commonwealth Resort Ltd . Hotel  49 
National Housing and Construction 
Company Ltd . Housing estates and constructions services  51 
New Vision Group  Newspaper printing and publishing/TV/radio 
services  53 
Nile Hotel International Ltd . Hotel services  concessioned to TPS Ltd . t/a 
Serena Hotel  100 
Phenix Logistics Ltd . Textiles  96 
Post Bank Uganda Ltd . Commercial banking  100 
Uganda Development Bank Ltd . Development banking  100 
Uganda Development Corporation Ltd . Government investment  100 
Uganda Livestock Industries Ltd . Government ranches (all ranches leased out)  100 
Uganda Seeds Ltd . Agriculture and seed promotion  100 
Uganda Telecom Ltd . (UTL)  Telecommunication  31 
Uganda Prison Industries Ltd . Government prison welfare services  100 
Uganda Post Ltd . (Posta Uganda)  National postal services  100 
Uganda Property Holdings Ltd . Government assets management  100 
Uganda Electricity Generation Company Ltd . 
(UEGCL)  Electricity generation (concessioned to Eskom 
Ltd.) 100 
Uganda Electricity Transmission Company 
Ltd. (UETCL)  Electricity transmission  100 
Uganda Electricity Distribution Company 
Ltd. (UEDCL)  Electricity distribution (concessioned to 
Umeme Ltd .) 100 
Corporations established by law   
National Enterprise Corporation  
National Medical Stores Ltd . 
National Water and Sewerage Corporation  
Source:  Informati on provided by the authorities.  
3.87.   Uganda does not impose  restrictions on foreign participation in privatization, except  on 
industries  considered sensitive.  Information on the sensitive industries was not available . In practice, 
the Government usually limits foreign investment in the sensitive industries to ordnance . It seems 
that f oreign investors are primarily attracted to the agribusiness, hotel, and bankin g industries.  
3.3.6   Government procurement  
3.88.   The legislation includes the Public Procurement and Dispos al of Public Assets Act , 2003 (as 
amended)  (PPDA Act) , the Public Financi al and Accountability Act , 2003, and the Local Government 
Act, 2006. During the period under review, the Amendment to PPDA Act entered into force in March 
2014; consequently, a number of regulations for implementing the Act came into force, including 
the PPDA Regulations, the PPDA Administrative Review Regulations, the PPDA  Evaluation 
Regulations, and the PPDA Procuring and D isposing Entities (PDE) Regulations.31 The authorities 
noted that the PPDA amendment strengthened the procurement regime , through enhanc ing 
transparency in the system , increasing  the accountability of pro curing officers, and establishing an 
independent PPDA Tribunal.   
3.89.   The Public Procurement and Disposal of Public Assets Authority ( PPDA ) is responsible for 
setting standards, monitoring compliance, reviewing procurement decisions, auditing and 
investigating complaints , and building capacity in procuring entities. It noted that all procurements 
that are financed by public fund s are subject to the PPDA Act and its related Regulations. Public 
                                                
31 All regulations related to public procurement may be consulted on the website of the PPDA. Viewed 
at: https://www.ppda.go.ug/download -reports/legal/regulation s/.  WT/TPR/S/384 • Uganda  
 
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  procurement operations are decentralized , with responsibility assigned  to PDEs at central and local 
government levels.  
3.90.   The PPDA issues guidelines on thresholds for procurement methods. The current thresholds 
were published in 201 3, and have remained unchanged since then (Table 3. 3).32  
Table 3.3 Thresholds for procurement methods, 2018  
 Works  Supplies and non -consultancy 
services  
Open bidding  Exceeding UGX 500 million  Exceeding UGX 200 million   
Restricted bidding  UGX 200 million  to UGX 500 million  UGX 100 million  to UGX 200 million  
Request for quotation  UGX 10 million  to UGX 200 million  UGX 5 million  to UGX 100 million  
Micro procurement  UGX 10 million  and below  UGX 5 million  and below  
Source:  Information provided by the authorities.  
3.91.   The recommended  procurement method  is open bidding33, especially for large amounts of 
public purchases.  The tender is advertised in the national, and in some cases international, print 
media, and displayed on noticeboards.  The Government also maintains an online procurement portal 
to publish tenders and other related information.34 Bids are opened and registered by the 
procurement contract committee ; an evaluation committee  evaluates the bids and makes 
recommendations regarding contract awards to the contract committee . Local and region al 
authorities , as well as  public enterprises , follow the same procedure. Procurement audits are carried 
out by PPDA staff or are contracted to approved external companies.  
3.92.   For FY 2016/17, direct procurement accounted for some 45.9% of the total , followed by open 
bidding ( 39.3% : 22.2% for international and 17.1% for domestic) . The other procurement methods, 
such as restricted bidding , request for quotations/proposals, and micro procurement , cover the rest 
of the procurement values .  
3.93.   The Amended PPDA Act provides for  local preferences under  the Preference Scheme and the 
Reservation Scheme.  The Preference Scheme is applied only to open biddings. Under it, margins of 
preference are: 15% for goods manufactured, mine d, extracted or grown in Uganda, and/or  7% for 
works by Ugandan contractors or services provided by Ugandan consultants. Goods qualify for 
preference  as domestically -manufactured where the labour or valu e addition is more than 30% and 
the production facility in which the goods are manufactured, ass embled or processed is in Uganda.  
In order to be eligible for the Preference Scheme, bidders must be Ugandan citizens or companies 
(incorporated or registered in Uganda) controlled by Ugandan citizens (i.e. owning more than 50% 
of the capital).  
3.94.   The Reserva tion Scheme is applied to micro - small  and medium -sized suppliers, regardless of 
the procurement method used. Under it, procurement projects for a particular sector , or in a given 
geographical area in Uganda,  are reserved exclusively for the "reserved" sup pliers. These  suppliers 
must be 100% owned by Ugandan citizens.35 The PPDA must consult other relevant authorities as 
well as stakeholders to specify which procurement contracts are subject to the Reservation Scheme, 
and to designate the particular sector w ithin a specified geographical area eligible for the Scheme.   
3.95.   For FY 2016/17, contracts awarded to local providers accounted for 52.8% of the total 
procurement value.  
3.96.   A bidder may file a complaint for administrative review first to the Accounting Officer o f the 
PDE within ten working days of the bid der's awareness of the circumstances giving rise to the 
complaint . The Accounting Officer must issue a decision within 15 working days. If a bidder is not 
                                                
32 There are also special thresholds for the procurement of medicines and other health supplies.  
33 Negotiations are prohibited  except where only one bid is received under a competitive method or 
under direct procurement or for consultancy services, and  only where the bid exceeds the budget.  
34 Government procurement portal. Viewed at: http://gpp.ppda.go.ug/page/home .   
35 The authorities noted that the Reservation Scheme also applies to "resident suppliers" that are 
incorporated in Uganda for at least two years at the time of submission of the bid , regardless of ownership or 
control.  WT/TPR/S/384 • Uganda  
 
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  satisfied with the Accounting Officer 's decision, or the Accounting Officer fails to issue a decision, 
the bidder may appeal to the PPDA  within 10 working days from  date of receipt of the Accounting 
Officer 's decision or the date when the Accounting Officer fails to have issued the decision. Similarly, 
the PPDA  must reach a decision with 15 working days from receipt of the appeal. Since 2010, the 
PPDA has handled 217 applications for administrative review. For most cases, it rejected the claims; 
on a simple average over the last six years, approximately 35%  of cases got the PPDA's support.  
3.97.   Bidders  aggrieved by PPDA decisions may appeal to the PPDA Appeals  Tribunal , which has ten 
working days to issue a decision.  A bidder may apply for administrative review at any stage of the 
procurement process, but may not appl y for review after a procurement contract has been signed.   
3.98.   In addition, the PPDA reacts to whistle -blowers' complaints , and investigate s malpractice s in 
the procurement process. It has initiated 442 investigations since 2010. As a result of these, over 
140 suppliers have been suspended, most ly on the ground s of breach es of ethical code s (e.g. 
submission of forged documents).   
3.99.   Uganda is neither a signatory nor an observer to the Plurilateral Agreement on Government 
Procurement, nor  to any bilateral agreemen ts.  
3.3.7   Intellectual property rights  
3.100.   During the period under review, Uganda modernized its legal framework for intellectual 
property rights  (IPRs) : the Geographic Indication Act , 2013 and the Industrial Property Act , 2014 
entered into force . Along with the Copyright and Neighbouring Act , 2006 and the Trademarks Act , 
2010, the se two new Act s enhance legal protection of intellectual propert y in Uganda. The URSB  is 
the main competent authority in the area of IPR  protection . 
3.101.   Uganda accepted the protocol amending  the WTO Agreement on Trade -Related Aspects of 
Intellectual Property Rights (TRIPS) in July 2010.36 It is a member of the Paris Convention for the 
Protection of Industrial Property, the Convention establishing the World Intellectual Property 
Organization (W IPO), the Patent Co operation Treaty, and the Nairobi Treaty. It is also a member of 
the African Regional Intellectual Property Org anization (ARIPO).  
3.3.7.1   Industrial proper ty 
3.3.7.1.1   Patents, utility models, and industrial designs  
3.102.   The Industrial Property Act , 2014 ente red into force on 1 April 2015 ; the legislation covers 
patents, utility models, industrial designs, and technovations . It replaced the Patents Act , 1993.  
3.103.   Under it, inventions, whether products or processes , that are applicable to industrial 
activit ies may be protected. The Act listed  eight items which are not protected under patents, 
including pharmaceutical products and test data until 1 January 2016 or such other period as may 
be granted to Uganda or LDCs by the WTO TRIPS Council. Ugandan resident s are normally not 
allowed to  apply for patents outside the country unless written permission  is given by the URSB . 
3.104.   Applications for patents in Uganda must be made by a Ugandan resident; foreign applications 
must be represented by an advocate of the High C ourt. Any interested party may file with the URSB 
a notice of opposition within 90 days of the publication of the application. The URSB is responsible 
for producing search and examination reports  for patent applications.  
3.105.   Patents are granted for 20 years ( up from  15 years  under  the previous legislation ), subject 
to the payment of annual fees.  A public -interest provision allows for the exclusion of certain kinds 
of product s or process inventions from patentability for up to two years.37  
3.106.   Two types of compulsory licence s are provided for in the legislation . First, on the grounds of 
"vital public interest", government agencies or designated persons may , at any time , obtain 
                                                
36 WTO document WT/LET/678, 15 July 2010.  
37 The exclusion is to be applied on a case -by-case basis but , according to the authorities, it has not 
been used , to date.  WT/TPR/S/384 • Uganda  
 
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  authorization to exploit a patented invention, provided that the patent owner or l icensee has been 
given an opportunity to comment , and that adequate remuneration is paid.38 Second, Uganda n 
authorities  may grant a compulsory licence after specified periods39 if the patented invention has 
not been supplied in Uganda  or not being supplied o n reasonable terms ; and if the patented invention 
is necessary for advancing the working of a later patented invention .40 To date, according to the 
authorities , no compulsory licences have been granted.  
3.107.   Utility models are protected in a similar manner to patents. Utility is protected for a period 
of ten years, and is not renewable.  
3.108.   Under the Industrial Property Act, an industrial design means that aspect of a useful article 
which is ornamental or aesthetic that may consist of three -dimensional features , such as a shape or 
the surface of an article , or a three -dimensional feature , such as patterns, line s or colours.41 
Applications for the protection of i ndustrial designs are also submitted to the URSB.42 Upon approval, 
an industrial design is protect ed for five years, with the possibility of renewal for two consecutive 
periods of five years.  
3.109.   In the event of infringement, the right holder of a patent , utility model, or industrial design  
may initiate proceedings in the High Court for damages, an injunctio n (including border measures) , 
and other remedies . The Industrial Property Act also contains provisions on the enforcement of 
patent rights . 
3.110.   Furthermore, t he Industrial Property Act defines technovation as "a solution to a specific 
problem in the field of technology, proposed by an employee of an enterprise in Uganda for use by 
that enterprise, and which relates to the activities of the enterprise but which, on the date of the 
proposal, has not been used or actively considered for use by that enterprise". A n employee may 
file a request for a technovation certificate  with the enterprise . The enterprise must decide whether 
or not to issue a technovation certificate within three months after receipt of the request; on the 
technovation certificate, the enterpris e must clearly indicate whether or not it intends to use the 
technovation. The enterprise must pay a remuneration to the employee (i.e. the certificate holder) 
for using the technovation, of an amount mutually agreed by both parties.  
3.3.7.1.2   Trademarks  and geograp hic indications  
3.111.   Trademarks are co vered under the Trademarks Act , 2010. The Act provides for the 
registration of trademarks that meet the requirements of distinctiveness for goods or services.  
Trademarks are valid for seven years, renewable thereafter every  ten years upon payment of a fee. 
A registered trademark may be transferred.  Registrations of certification marks are also permitted.  
Trademarks of goods and services registered in another country are protected , provided that the 
country accords the same t reatment to Uganda. A trademark may be removed from the register 
upon proof of prior registration in another country, and upon application in writing within seven 
years of registration in Uganda.   
3.112.   The Act makes provision for penalties for offences such as the forging or counterfeiting of 
trademarks, the falsification of entries in the register, and the falsification or unlawful removal of a 
registered trade mark. These range from fines of 48 to 120 currency points or imprisonment for two 
to five years, or b oth. A person whose rights are infringed may also seek civil remedies. The 
Trademark Act also provides for the appointment of inspectors who will assist in the enforcement, 
in collaboration with the police.  
                                                
38 Section 66 of the Industrial Property Act, 2014.  
39 The period is four years from the expiration of the filing date of an application, or three years from 
the grant of a patent, whichever expire s last. 
40 Sections 58 and 59 of the Industrial Property Act, 2014.  
41 The protection of industrial designs shall not extend to anything in an industrial design which serves 
solely to obtain a technical result, and to the extent that it leaves no freedom as regards arbitrary features of 
appearance.  
42 The authorities noted that the United Kingdom Design (Protection) Act of 1937 (as amended) has 
been repealed since the Industrial Property Act entered into force.  WT/TPR/S/384 • Uganda  
 
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  3.113.   Geographic indications (GIs) are protected under the Geographic Indication s Act, 2013.43 A 
GI refers to any indication which identifies goods as originating in a particular country, region or 
locality where a given quality, reputation or other characteristi c of the goods is essentially 
attributable to its geographic origin .44 A name that has become generic is excluded from GI 
protection.45 A GI is valid for ten years, renewable. Provisions regarding remedies against violations 
are similar to those set forth fo r trademarks.  
3.3.7.1.3   Trade secrets , and other IPRs  
3.114.   Trade secrets  or undisclosed information in commercial transactions and other related 
matters are protected under t he Trade Secrets Protection Act , 2009. Trade secrets include 
information relating to a formula, p attern, compilation, program me, method, technique, or process, 
or information contained or embodied in a product, device or mechanism , that has economic value 
from not being generally known. Such rights are not exclusive and shall not prejudice rights in o ther 
forms of IP. In the event of improper disclosure, acquisition or use of a trade secret, the High Court 
may order an injunction, an award of damages, an account of p rofits or an adjustment order.  
3.115.   There is no legislation providing protection on the layo ut design of integrated circuits, nor  
are there any provisions on parallel imports.  
3.116.   Plant varieties are protected by the Plant Varieties Act , 2014.46 
3.3.7.2   Copyrights  
3.117.   The Copyright and Neighbouring Rights Act, 2006 protects  literary, scientific, and artistic 
intellectual works , which include audio -visual works, computer program s, electronic data banks, and 
derivative works such as translations.  The Act applies to any work created by a citizen of Uganda or 
a person resident i n Uganda; first published in Uganda, irrespective of the nationality or residence 
of the author; or created by a person who is a national of, or resident in, a country that is a member 
of WIPO, ARIPO, UNESCO or the WTO. The moral righ ts of an author are pr otected. Literary, musical , 
and artistic works are protected for the duration of the author 's life plus 50 years. Neighbouring 
rights, which apply to performers, producers of sound recordings , and audio -visual and broadcasting 
companies, are protected for 50 years from the date of the performance or broadcast.   
3.118.   Infringement s of copyright or neighbouring rights are subject to a fine not exceeding 
100 currency points or imprisonment not exceeding four years , or both . The Act provides for the 
creation of colle ctive management organizations , registered by the Registrar of Companies. The 
Registrar may register as a collecting society any society or body whose  main objective is to promot e 
the economic and social interest of its members through defending their copy right and neighbouring 
interest s. The Registrar may cancel the registration certificate of any society that does not conform 
to the provisions of the Act.  
3.3.7.3   IPR enforcement  
3.119.   The Commercial Court is responsible for hearing IP cases, including by artists and mu sicians 
in Uganda's Performing Arts Rights Society.  The UNBS , the URA, and the Uganda Police Force (UPF) 
are responsible for enforcing the law on IP. In 2016, the URSB , in cooperation with the UPF,  
established the Intellectual Property Enforcement Unit. Th e Unit 's role is the enforcement of the law 
against trademark counterfeiting and copyright piracy. It is reported that the enforcement efforts 
are constrained by inadequate resources and funding.  
 
                                                
43 According to the authorities, GIs are protecte d as certification marks under the Trademarks Act, 
2010. Certification marks may freely be converted to GIs, or vice versa , upon the request by the applicant. See 
Article 19, Geographic Indications Act, 2013.  
44 Article 2, Geographic Indications Act, 2013.  
45 As per Article 5(2) of the Geographic Indications Act, 2013, a name that has become generic means 
the name of a product which, although it relates to the place or the region where the product was originally 
produced or marketed, has become the common na me of the product in Uganda.  
46 The MAAIF is the competent authority for plant variety protections.  WT/TPR/S/384 • Uganda  
 
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  4  TRADE POLICIES BY SE CTOR  
4.1  Agriculture, Forestry, and Fisheries  
4.1.1   Agriculture  
4.1.1.1   Overview  
4.1.  Agriculture provides the livelihood for the majority of Ugandans, particularly women, and has 
long been of fundamental importance to the economy in terms of its contribution to GDP, export 
revenue , and employmen t. Over the period under review, the sector accounted for more than a 
quarter of the GDP (Table 1.1).  The authorities stated that a griculture is the backbone of Uganda' s 
economy , and will be critical to achieving the goal set in  NDPII, of propelling the co untry towards 
middle -income status with a per capita income of US D 1,039 by 2020.   
4.2.  Over the period 2010 -2015, the sector 's average annual growth rate was 2.2%.  It was lower 
than the average annual GDP growth rate of 5.2% and the average annual population growth rate 
of 3% over the same period.  The average contribution for the different subsectors was 1.7% of GDP 
for cash crops, 12.7% for food crops, 4.2% for livestock, 0.03% for agriculture support services, 
4.0% for f orestry and 1.2% for fisheries.1 
4.3.  Ugand a has a total area of 241,551 km2 (of which 83% is land area and 17% open water and 
swamps) , and contains nearly half  of the arable land in East Africa. Cultivated land accounts for 41% 
of the total land  area. Although 75% of the land is arable, only slightly more than half is cu ltivated . 
Smallholder s with average farm sizes of 2.5 ha account for 75% of total agricultural output.  
4.4.  In accordance with the Constitution and the Land Act , 1998 (as amended) , land in Uganda is 
managed und er four land tenure systems: customary, mailo , freehold, and leasehold. These regimes 
confer different land rights on their owners , with different implications for the security of tenure. A 
fifth tenure system applies to public land. Customary tenure, unde r which landholders do not have 
a formal title to the land they use, but may acquire certificates o f ownership, is the most common: 
over 80% of land in Uganda is held under unregistered customary tenure. Leaseholders are not 
required to be Ugandan citizens . The other forms of tenure are available only to Ugandan citizens. 
The Government may convert public land to private use to encourage investment and economic 
growth.  
4.1.1.2   Agricultural policy  
4.5.  The MAAIF is responsible for the formulation and implementation of a gricultur al policy.  It has 
three  technical directorates, dealing with crop resources, animal resources , and fisheries. In 
addition, seven  semi-autonomous agencies operate under it: the National Agricultural Research 
Organization (NARO) for the generation a nd dissemination of research technologies ; the National 
Agricultural Advisory Services (NAADS) for the delivery of advisory services ; the National Animal 
Genetic Resource Centre and Data Bank (NAGRC&DB) for animal genetic development ; the 
Coordinating Offi ce for the Control of Trypanasomiasis in Uganda (COCTU) ; the Dairy Development 
Authority (DDA) for the promotion of dairy development ; the Uganda Coffee Development Authority 
(UCDA) for the promotion of coffee development ; and the Cotton Development Organi zation (CDO) 
for the promotion of cotton development. The Secretariat for the Plan for Modernisation of 
Agriculture (PMA) is an administrative  unit for policy harmoniz ation and inter -sectoral coordination.  
4.6.  In the National Agricultural Policy, the Governmen t considered that agriculture faces several 
challenges at different stages of the commodity value chain, including low production and 
productivity , low value addition to agricultural produce , lack of access to markets , failure to maintain 
a consistent poli cy regime and functional institutions , insufficient skilled agricultural labour force , 
high human disease burdens,  and inadequate attention to natural resource sustainability.2   
4.7.  The MAAIF implemented the Development Strategy and Investment Plan (DSIP) over the 
period 2010 -15. The DSIP 's vision is to create "a competitive, profitable and sustainable agricultural 
                                                
1 MAAIF  online information. Viewed at: http://agriculture.go.ug/agriculture -sector -strategic -plan-assp/ .  
2 MAAIF (2013), National Agriculture Policy, September 2013, Entebbe, Uganda.  WT/TPR/S/384 • Uganda  
 
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  sector" which will "transform subsistence farming to commercial agriculture". Its development 
objectives are to increase rural incomes and livel ihoods, and to improve household food and nutrition 
security.  Investment in agriculture under the DSIP has been packaged under four programmes: 
enhancing production and productivity , improving access to markets and value addition , creating an 
enabling envi ronment , and strengthening  institutions . 
4.8.  In June 2015, the Government issued NDPII, 2015/16 –2019/20 ). According to NDPII, the 
production of 12 agricultural goods (i.e. cotton, coffee, tea, maize, rice, cassava, beans, fish, beef, 
milk, citrus, and bananas)  has been identified as an investment priority. The authorities noted that 
the choice of these 12 goods was based on the consideration of their high potential for food security  
and high contribution to export earnings . The authorities expected agricultural  exports to reach 
USD 4 billion by 2020 (from USD  1.76 million in 2017) (Table A1.1) after the successful 
implementation of NDPII.  
4.9.  With the NDPII targets in mind, the MAAIF began implementing the Agriculture Sector Strategic 
Plan (ASSP) in 2015, for a five -year period up to 2020. The ASSP, the plan following on from the 
DSIP, defines the priorities and interventions that guide its implementation over the five -year period, 
with the aims of reducing poverty, and supporting the country's economic growth and tr ansformation 
to middle -income status.  
4.10.   During the period 2012 -16, the budget allocated to the agricultural sector increased from UGX 
378.9 billion in 2012 to UGX 484.7 billion in 2016. Despite this, the percentage allocation in the 
national budget to the se ctor actually declined from 3.4% 2012 to 2.7% in 2016.  
4.11.   The National Agricultural Research System, established by the National Agricultural Research 
Act 2005, has developed a ten -year strategic p lan (2008 -18), with the goal of improving agricultural 
researc h service d elivery, through decentralizing  research services, mainstreaming integrated 
resea rch and development (R&D, enhancing  services quality, and developing and maintaining a 
strategic programme of advanced science .   
4.12.   Uganda's latest notification to  the WTO regarding agricultural export subsidies was in 2005, 
and indicated that the country had not provided export subsidies to its agricultural products over 
the period 2000 -04.3 
4.13.   At the regional level, improving food security has been identified as one of the key priorities 
of the EAC Agriculture and Rural Development Policy  (main report, Section 4.1.2) . However, t he 
absence of a harmonized system for SPS measures among EAC members may have an impact on 
Uganda 's exports and on domestic food safety.  
4.1.1.3   Subsecto rs 
4.1.1.3.1   Cash c rops 
4.14.   Uganda's traditional cash crop s are coffee, cotton, tea, cocoa , and tobacco.  
4.1.1.3.1.1   Coffee  
4.15.   Uganda is the second -largest coffee producer in Africa,  after Ethiopia . Annual production is 
made up , on average , of 20% Arabica, grown at high altitudes, and 80% Robusta, grown at lower 
altitudes around the Lake Victoria basin. Unlike Robusta, which is a native plant , Arabica  is an 
introduced crop originating in Ethiopia. Uganda 's Robusta is considered as one of the  best in the 
world and commands a considerable premium .  
4.16.   Coffee is Uganda 's leading foreign exc hange earner in merchandise trade, contributing an 
annual average of 20% to total export revenue. During the period under review, exports, in particular 
Robusta,  increased. In 2017, total export earnings from coffee reached USD 440  million , 
approximately 65% of which came from Robusta (Table 4.1).  Key markets for Uganda 's coffee 
                                                
3 WTO document, G/AG/N/UGA/3, 30 September 2005.  WT/TPR/S/384 • Uganda  
 
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  exports include the European Union, Sudan, the United States , India, and Switzerland . Domestic 
consumption remains low: less than 1% is consumed locally.  
Table 4.1 Coffee exports, 2011 -17 
Year Total quantity  Total value  Arabica  Robusta  
Quantity  Value  Quantity  Value  
2011  2,726,249 392.70  822,073 168.72  1,904,176 223.98  
2012  3,582,629 432.69  801,151 114.96  2,781,478 317.73  
2013  3,499,829 393.92  764,809 108.31  2,735,020 285.61  
2014  3,455,852 410.55  733,216 122.16  2,722,636 288.39  
2015  3,315,567 326.68  880,407 103.02  2,435 ,160 223.66  
2016  4,605,158 544.59  986,527 139.73  3,618,631 404.86  
2017  3,418,441  440.31  836,015  120.54  2,582,426  289.77  
Note:  Quantity is denoted in 60 -kg bags; value is denoted in USD million.  
Source:  UCDA.  
4.17.   Although large -scale coffee producers are gradually emerging, the subsector is almost entirely 
dependent on about 500,000 low input -intensity smallholder farmers, with an average farm size of 
0.33 ha. Input use is low, therefore yields are low, with an estimate of 369  kg per ha. The coffee 
industry employs over 3.5 million families in coffee -related activities.  
4.18.   The MAAIF published a National Coffee Policy in 2013, aimed at increasing production, value 
addition and domestic consumption. The Government set a target for annu al coffee production of 
595,890 tonnes by 2020. According to the ASSP, a ctivities  to boost the coffee subsector i nclude: 
promoting improved varieties (seven elite varieties resistant to wilt) through increased financing of 
coffee research , support ing the production and distribution of 100 million coffee seedlings per annum 
to expand production areas (by 5% in traditional areas and 25% in new areas ), controlling pests 
and diseases in coffee , promoting fertili zer use through support to demonstrat ions, training farmers 
on soil and water conservation , promoting and supporting value a ddition, and marketing of coffee . 
The ASSP estimated that UGX 402.87 billion  is needed to fund the above activities . 
4.19.   The UCDA 's mandate is to promote and oversee the coffee subsector through support for 
research, the propagation of clean planting materials, quality assurance, value addition , and the 
timely provision of market information to stakeholders. The UCDA publishes indicative prices o n its 
website and in daily market reports but does not set reference prices. Marketing and transportation 
of coffee are private -sector led , with the UCDA playing only a regulatory role.  The UCDA promot es 
domestic coffee consumption, including through  institutional development, training in roasting and 
brewing practices, and brand development and market research.  
4.20.   All processors and exporters of coffee must be registered with, and certified by , the UCDA. 
The UCDA funds coffee development activities from the c ess, levied at 1% of the export value , which 
is paid to the UCDA directly by exporters . 
4.1.1.3.1.2   Cotton  
4.21.   Uganda 's climate is well suited to the cultivation of cotton, most of which is grown by 
small -scale farmers on plots averaging 0.5 -10 acres. The c otton produced is of premium grade and 
is rain-fed. Over 90% is exported as raw lint. Uganda considers cotton as a strategic crop due , to 
its backward and forwar d linkages as well as its value -chain potential in industrialization.  
4.22.   Challenges  include climate change, the h igh cost of production inputs, low domestic lint 
consumption , fluctuations in world market prices, the low use of pesticide s and fertilizers, and low 
levels of funding in the sector . Against this background, output has fluctuated considerably over the 
past few years .  
4.23.   The CDO, a statutory and regulatory body, provides cotton planting seed s and other inputs, 
and cotton extension services, and establishes demonstration gardens for farmer training  
programmes .  WT/TPR/S/384 • Uganda  
 
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  4.24.   Exporters must have  a quality certificate and proo f of the payment of the export cess  before 
exportation . At the star t of each marketing season (end -November or beginning -December), the 
CDO announces indicative farm -gate, ginnery -buying , and export prices (based on prices from 
international bodies such as  the Cotlook A Index). Uganda maintains a 2% export cess on cotton, 
which is collected by the CDO.  
4.25.   The Government set a target  for the sector to produce 64,750 million tonnes  by 2020 . 
According to the ASSP, the CDO will pilot the formation of cotton farmers ' associations in two to 
three  districts per production zone for three years , with the intention of increas ing the bargaining 
and lobbying power of farmers regarding  production input and output prices, credit faci lities and 
speciali zed extension services . It is estimated that UGX 95.82  billion is required for these assistances 
to the farmers.  
4.1.1.3.1.3   Cocoa  
4.26.  In Ugan da, cocoa is regarded as a high -value , environmentally -friendly export crop . It grows 
well in areas planted wit h Robusta coffee. The Government is promoting the production  of cocoa  for 
poverty alleviation, diversification in areas affected by coffee wilt disease ( CWD), and to increase 
export earnings. Production of cocoa ha s steadily increased from 16,478 t onnes  in 2010 to 25,720 
tonnes  in 2014 .  
Table 4.2 Cocoa exports and earnings, 2012 -17 
Year Export  volume  
(tonnes ) Export value  
(USD million ) 
2012  19,664  38.4 
2013  26,352  54.8 
2014  25,720  59.4 
2015  25,915  56.7 
2016  29,761  75.0 
2017  25,700  54.9 
Source:  Information provided by the authorities.  
4.27.   Production, marketing , and transportation of cocoa are private -sector led. The funding of 
cocoa research activities has been ad hoc , making it difficult to undertake effective research for 
improving the industry.  In response to this, the Government intends to commit adequate human 
and financial resources to cocoa research , with a focus on developing high -yield cocoa varieties,  and 
developing appropriate technologies to address existing and emerging pests and diseases which 
reduce the yields of cocoa crop s and the quality of cocoa beans . The ASSP planned to spend UGX 
40.5 billion to achieve these objectives.  
4.1.1.3.1.4   Tea 
4.28.   Uganda is Africa's third -largest producer and exporter of tea, after Kenya and Malawi. Tea is 
produced on 26,000 ha of land, 40% under estate and 60% under smallholders. Production in 2016 
amounted to 69,000  tonnes, 99% of which was exported. This generated US D 71.5 million in 
earnings. The Government  expect s the sector to produce 112,000 tonnes by 2020.  
4.29.   According to the authorities, the Government is in the process of developing a national tea 
policy favourable to investors and other actors in the industry . It also intends to provide loan 
guarantees, so as to mobilize smallholder tea growers into independent legal farmer 
groups/associations , with a critical mass of shareholders owning processing facilities . The ASSP 
estimated that UGX 532.4 billion would be  required to achieve the policy objective.  
4.1.1.3.2   Food c rops 
4.30.   The food crop subsector accounts  for more than half of agriculture 's total contri bution to GDP, 
accounting for about 12 % of GDP  over the period under review . Plantains, maize, cassava, and 
sweet potato es are the major food crops.  WT/TPR/S/384 • Uganda  
 
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  4.31.   Rice production is growing steadily. About 70% of the country is suitable for the double -
cropping of rain -fed rice. The National Rice Development Strategy (NRDS) seeks to raise production 
in order to increase food security and r educe poverty. The goal is to produce 680,000 tonnes per 
year by 2020 . During the review period, while the production of rice generally increased, rice exports 
declined. In 2016, about 20% was exported. Rice trading is performed by the private sector.  
4.32.   Maize is an important primary staple food that has also become a cash crop. Output has 
remained steady, averaging 2.7 million tonnes per annum. Roughly 10% is exported, accounting for 
2.8% of the value of formal agricultural exports  in 2016.  
4.1.1.3.3   Livestock  
4.33.    Over the period under review, l ivestock accounted for 18% of agricultural output an d about 
4% of GDP. Compared to data from the 2008 livestock census, numbers of livestock grew steadily 
in the period 2012 -17 (Table 4.4).  
Table 4.3 Livestock numbers, 2012 -17 
('000)  
Species  Livestock 
census 
2008  2012  2013  2014  2015  2016  2017  
Cattle  11,409  11,979  13,020  13,623  14,031  14,368  14,189  
Sheep  3,413  3,842  3,937  3,842  4,198  4,307  4,445 
Goats  12,450  14,012  14,433  14,011  15,312  15,725  16,043  
Pigs  3,184  3,584  3,691  3,584  3,916  4,037  4,109 
Poultry  37,448  36,956  43,396  44,698   46,039  46,291  47,578  
Source:  MAAIF, and UBOS.  
4.34.   Current production of livestock meets only half of the domestic and regional demand , although 
the production of meat grew steadily over the period under review (Table 4.4).  Export s of livestock 
products are limited to raw and semi -processed hides and skins , with rapidly growing export s of live 
animals (cattle and goats) to  South Sudan.  
Table 4.4 Meat production, 2012 -17  
(tonnes)   
 2012  2013  2014  2015  2016  2017  
Beef  191,280  197,019  202,929  209,017  214,033  211,358  
Goat/ mutton  35,666  36,736  37,838  38,973  39,987  39,990  
Pork  20,867  21,493  22,138  22,802  24,190  24,197  
Poultry  63,000  64,500  60,012  59,768  65,135  .. 
.. Not available.  
Source:  MAAIF, UBOS, and FAO statistics (for poultry) .  
4.35.   The sector has set production targets for 2020 for beef; pork; mutton and goat meat; and 
poultry  meat. There are also plans to increase the production of honey and silk , as well as  to increase 
the export of hides and skins.  
4.36.   Imports of live animals are subj ect to an average tariff of 18.3% . In 2018, Uganda imposed 
a higher -than-CET rate,  of 35%, on  imports of meat and edible offal for 12 months under the EAC 
"stay application scheme" . 
4.37.   Total milk production also grew steadily over the period under review; it reached 1.6 billion 
litres in 2016 (Table 4.5). Only about one third of the milk marketed in Uganda is processed . Exports 
of milk and its products reached USD 79 million in 201 7. One of Uganda' s leading exports under the 
AGOA  is casein protein, a processed dairy product.  WT/TPR/S/384 • Uganda  
 
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  Table 4.5 Milk production, 2012 -17 
(Million litres) 
 2012  2013  2014  2015  2016  2017  
Indigenous  703  724  745  768  848  838 
Exotic  758  780  804  828  786  776 
Total milk produced  1,461  1,504  1,550  1,569  1,634  1,614  
Source:  MAAIF, and UBOS.  
4.38.   The dairy sector aims to produce 3.35 billion litres, and to export milk and related products 
worth approximately USD 92 million , annually , by 2020. To achieve these targets, the Government 
plans to spend UGX 199.7 billion to support the development of the sector, by implement ing the 
Presidential directive to provide one heifer per household ; support ing dairy extension se rvices ; 
establish ing a dairy herd information system;  and setting up mobile and regional laboratories . 
4.1.2   Forestry  
4.39.   Forests cover less than 10% of Uganda 's land area. Over 15% of the forest is in c entral  forest 
reserves (CFRs) ; 15% in national parks and wildli fe reserves man aged by the Uganda Wildlife 
Authority ; and 64% in priva te forests, including community , cultural , and private forest owners. 
During the period 2010 -15, the decline in forest cover was estimated at 92,642 ha per annum. For 
the period 1990 -2015, 2.6 million ha of unprotected forest were lost, while over 418,000 ha were 
also lost from protected areas. Deforestation is mainly due to the conversion of forest land to other 
land use , such as agriculture.  
4.40.   Forestry management is the responsibility of , inter alia , the Forestry Sector Support 
Department under the Ministry of Water and Environment , the National Forestry Authority (NFA), 
the Uganda Wildlife Authority, and the district forestry s ervice s of local governments. In addition, 
the private sector plays an important role in terms of commercial tree plantation development and 
the promotion of wood -based industries and trade. However, natural forests and woodlands are 
declining as a result of change in land  use to agriculture and grazing, as well as high demand for 
timber (furniture and construction) and fuel wood (firewood and charcoal)  . 
4.41.   The NFA, a semi -autonomous agency , is responsible for managing 506 CFRs on a sustainable 
basis, and supplying high quali ty forestry -related products and services to the G overnment, local 
communities , and the private sector. The district forestry s ervices are responsible for implementing 
international and national policies on forests , and for permits, licence fees , and tax c ollection, while 
the Forestry Sector Support Department is charged with the formulation and oversight of policies, 
standards , and legislation for the forestry sector , including the monitoring of the NFA using a 
performance contract.  
4.42.   The 2002 National Fore st Plan (NFP) and the National Forestry and Tree Planting Act, 2003 
are the main legal instruments for the sector. Regulations provided for in the Act are still in draft 
form with the Solicitor General.   
4.43.   Uganda has prioritized forest restoration; targets a re provided in the Government's Vision 
2040, NDPII, and the National Forestry Plan (2011/12 -2021/22). The main target is to restore forest 
cover to 24% of the land. Uganda made a pledge in the Bonn Challenge to restore 2.5 million ha of 
land to forests usi ng the Forest Landscape Restoration (FLR) approach. Restoration options include 
agroforestry, afforestation, reforestation, natural regeneration, and riparian vegetation restoration 
in riverine buffer zones.  
4.44.   Domestic consumption of forestry products (e.g. timber) is mainly for construction, furniture 
manufacturing, firewood and charcoal. Key markets of forestry products exports include Kenya, 
China, the European Union, Rwanda, Thailand, and the United Arab Emirates.  
4.45.   Imports of wood charcoal, wood, and arti cles of wood are subject to an average tariff of 
16.2%, with rates ranging from zero to 25%.  Effective 1 July 2016, an excise duty of 15% is charged 
on imported wooden furniture, while furniture manufactured from local timber is exempted from the 
duty. WT/TPR/S/384 • Uganda  
 
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  4.1.3   Fisheries  
4.46.   Fish catch activities, which are carried out in open water sources, provide an important source 
of livelihood for many people in Uganda. Open waters cover 15.3% of Uganda's total surface area, 
comprising five major lakes (Victoria, Albert, Kyoga, Ed ward, and George). Lake Victoria continues 
to be the most important water body for fisheries.4 Its share of fish catch was 54.2%, followed by 
Lake Albert (31.7%) and Lake Kyoga (8.7%).  
4.47.   During the period under review, the catch from Lakes Victoria, Edward, and George, Kazinga 
Channel, the Albert Nile river, and other waters gradually increased, while Lakes Albert, Kyoga, and 
Wamala recorded a decline in fish catch (Table 4.6).  
Table 4.6 Fish catch by water body, 2012 -16 
('000 tonnes)  
Water body  2012  2013  2014  2015  2016  
Lake Victoria  185,000  193,000  245,000  238,630  252,804  
Lake Albert  152,560  160,000  152,000  149,040  148159  
Lake Kyoga  44,049  40,000  38,000  41,768  40,710  
Lakes Edward and George, and the  
Kazinga Channel  5,208  6,248  6,246  6,354  6,638  
Albert Nile river 5,043  5,500  5,390  5,122  5,375  
Lake Wamala  5,712  4,500  4,590  4,186  3959  
Other waters  9,547  10,000  10,500  9,760  9,883  
Total  407,119  419,248  461,726  454,860  467,528  
Source:  Fisheries Department, MAAIF.  
4.48.   The fi sheries subsector is among the main  foreign exchange ear ners for Uganda, contributing 
USD 137.5 million , or 4.7%, to total export earnings in 201 7, although fish exports, both in terms 
of value and volume, continued to decline over the review period . The leading destinations for 
Uganda 's fish exports are France, Belgium, and the Netherlands.  Kenya, Sudan, the Democratic 
Republic of  Congo,  and Rwanda are the leading  importers of Uganda 's products  in the region . Nile 
perch products represent over 90% of total exports.  Fish for regional and domestic trade is mainly 
composed of whole fresh fish and artisanally processed fish (mainly sun -dried, smoked , and salted) , 
while international trade is dominated by fresh and frozen fillets.  
4.49.   Apparently, o pen access policies have increas ed the number of fishermen and boats, while 
the use of illegal fishing gear  and methods , which catch immature fish , while the use of illegal fishing  
gear and methods, which catch immature fish, has increased . In order to deter illegal fishing and 
trade in immature fish, the enforcement agencies conduct crack down campaigns. For instance, in 
an operation in August 2018, more than 36,000 illegal fishnet s, lines and plastic hook products  were 
seized and destroyed; and six illegal fishers were arrested. Moreover, the Fisheries Court, a 
specialized court handling cases related to illegal fishing activities, was established in December 
2017.  
4.50.   Imports of fish  and fish products are subject  to an average tariff of 24.5%.  
4.2  Mining and Energy  
4.51.   Uganda has over 50 different types of minerals , although the potential for viable exploitation 
has not yet been established for most of the m. The y include copper, cobalt, tin, phosphates, 
vermiculite, diamond, gold, petroleum, chromite, magnetite, and iron ore.  
4.52.   Under the Constitution, ownership and control of all minerals, oil , and natural gas are vested 
in the Government.5 The Ministry of Energy and Mineral Development (MEMD) i s mandated to 
"establish, promote the development, strategically manage and safeguard the rational and 
sustainable exploitation and utilization of energy and mineral resources for social and economic 
development".  
                                                
4 Lake Victoria is shared between Uganda (45%), Kenya (6%), an d Tanzania (49%) . 
5 Article 244 of the Constitution.  WT/TPR/S/384 • Uganda  
 
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  4.53.   The MEMD 's priorities over the medium -term are to : increase electricity generation capacity 
and the transmission network; increase access to modern energy services through rural 
electrification and renewable energy development; promote and monitor petroleum exploration and 
development to achieve local production; streamline petroleum supply and distribution; and promote 
mineral investment through  the acquisition of geo -scientific data and capacity building. In line with 
these priorities, the MEMD is focusing on the implementation of four projects:  the development of 
the Karuma hydropower project; the development of an oil refinery; the promotion of investment in 
phosphates from the Sukuru region; and the development of an iron and steel industry.  
4.2.1   Mining  
4.54.   On average, mining contributes about 0.7% to the economy. Over the period under review, 
production volumes of non -metallic minerals such as limestone, pozollana, and kaolin gradually 
increased, while production of metallic minerals fluctuated (Table 4.7). It seems that mineral exports 
continued to de cline, except for gold.  
Table 4.7 Annual mineral production, 2012 -17 
(Tonnes)  
Mineral  2012  2013  2014  2015  2016  2017  
Non-metallic   
Limestone  936,264  922,372  1,090,240  979,660  1,203,074  1,231,925  
Pozollana  650,324  623,471  742,423  686,564  846,604  792,564  
Vermiculite  51,962  2,297  2,661  801  3,295  4,119  
Kaolin  42,886  43,875  46,286  34,697  45,909  55,317  
Metallic   
Gold  0.004  0.004  0.024  0.013  0.011  0.004  
Cobalt  556  181  .. .. .. .. 
Crude cobalt carbonate  .. 567  .. .. .. .. 
Wolfram  43  72  80  45  52  78 
Iron ore  4,431  2,282  41,959  9,000  2,163  2,320  
Coltan (30 % purity)  .. .. .. 0.367  13  11 
Tin (75 % purity)  .. 26  45  180  83  88 
Beryl (1 % Beryllium)  .. .. .. .. 14  .. 
.. Not available.  
Source:  MEMD.  
4.55.   Mineral exploration activities continue to be d ominated by artisanal and small -scale mining 
practices. Between 2012 and 2018, the MEMD Directorate of Geological Surveys and Mines issued 
907 licences to 414 applicants, including for prospecting, exploration, and retention activities . The 
remainder were for mining location , mining leases , and mineral dealers.  
4.56.   The Income Tax Act provides a specific method to calculate the income tax rate for mining 
companies;  under this method, mining companies are subject to income tax at a rate of between 
25% and 45%.6 Mining companies are given a number of incentives, including various deductions 
and allowances for income tax, as well as import duty  exemption on plant  and m achinery (and their 
spare parts).   
4.57.   An average tariff of 4.8% is applied to imports of mining and quarrying products.  
4.2.2   Energy  
4.2.2.1   Oil and gas  
4.58.   Since the first discovery of oil in Uganda in 2006, 58 fields have been discovered which may 
produce an estimated 2.5 billion barrels of oil equivalent, of which about 1.4 billion barrels are 
recoverable. Reserves of natural gas are estimated at 500 billion m3. With only 40% of the total 
prospective area explored, the authorities expect a further increase in established reserves . It seems  
that the discoveries to date could  support the production of over 100,000 barrels of oil per day 
(bbl/d) for 25 years , and ar e sufficient to implement large -scale refining in the country.  
                                                
6 Part 11, Income Tax Act.  WT/TPR/S/384 • Uganda  
 
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  4.59.   The source of Uganda 's oil is the Albertine Rift  in western Uganda,  on the border with South 
Sudan and the Democratic Republic of  Congo. This area is rich in biodiversity , including the rare 
mountain gorilla. The Albertine Rift has a large number of protected areas, including national parks, 
forest rese rves, and wildlife sanctuaries. A number of parks are partly or wholly inside the oil blocks , 
and many others that lie outside the blocks are likely to be affected by oil development.  Therefore, 
cautious measures need to be taken  to protect the biodiversit y in this area.  
4.60.   In February 2008, the Government issued a National Oil and Gas Policy, aiming "to use the 
country's oil and gas resources to contribute to early achievement of poverty eradication and create 
lasting value to society". The Policy also laid o ut a plan to create a Petroleum Fund (PF), which is to 
be financed by the revenues from oil and gas. The PF was established in March 2015 under the Public 
Finance Management Act, 2015. As of end -June 2017, the PF received USD 109 million and UGX 31 
billion  from the oil operators. At the time of drafting this report (October 2018), legislation to 
regulate the payment, sharing, use and management of revenues is not yet complete.  
4.61.   The legal framework governing the oil and gas sector is mainly the Petroleum Exp loration, 
Development and Production Act , 2013 and the Petroleum Re fining, Conversion,  Transmission and 
Midstream Storage Act, 2013. Pursuant to these two Acts, the Petroleum Authority of Uganda (PAU) 
was established and became operational in 2015, as the sector's regulator for upstream and 
midstream industries. The Uganda National Oil Company (UNOC) was also established, and was 
commissioned to, inter alia , handle the State's interests, and participate in joint ventures 
representing the State's interests.  
4.62.   In February 2015, Uganda held its first Competitive Licensing Round and the Government 
signed three production sharing agreements (PSAs) and issued a licence for exploration, 
development, and production to Armour Energy Limited (from Australia), and two l icences to Oranto 
Petroleum Limited (from Nigeria). The authorities noted that these PSAs were the first agreements 
in line with Section 58 of the Petroleum Exploration, Development and Production Act , 2013. Prior 
to that, Uganda had a farm -out arrangement  with Tullow (from the United Kingdom), and two farm -
in arrangements with China National Offshore Oil Corporation  (from China) and Total (from France); 
they have production licen ces to develop oil reserves for export . 
4.63.   Regarding the midstream sector, Uganda does not yet have any refinery facilities. The 
Government is in the process of developing a refinery at the Hoima District; the design capacity of 
the refinery is 60,000 bbl/d. It is expected to be operational in 2020  when the first commercial cruel 
oil is to be produced.  
4.64.   In May 2017, Uganda and Tanzania signed an agreement to build an East African Crude Oil 
Pipeline (EACOP) ; the 1,145 km -long pipeline will transport  crude oil from Hoima in Uganda to Tanga 
Port in Tanz ania. Construction began in August 2017.  
4.65.   The Act provides for local content requirement. For any oil - and gas -related procurement (by 
licensees, contractors, and subcontractors), preference must be given to goods and services 
produced or available in Ugand a. If such supplies are not available in Uganda, they must be provided 
by a joint venture in which Ugandans have at least 48% of the capital.  
4.66.   The licensee must submit a national content programme to the PAU within 12 months of 
granting the licence; the pr ogramme must contain a detailed plan for giving preference to goods 
and services available in Uganda. Some goods and services, such as transportation, security, food 
and beverages, must be reserved exclusively for Ugandan suppliers.7 
4.67.   Downstream activities,  such as the distribution of petroleum products, are governed under 
the Petroleum Supply Act, 2003. The MEMD's Petroleum Supply Department is mandated by the Act 
to regulate the supply of petroleum products in Uganda.  
4.68.   Under the Petroleum Supply Act, 2003 , any company involved in petroleum supply  must 
obtain an operating licenc e or construction permit from the Commissioner of the Petroleum Supply 
Department. The operating licence covers importation and exportation, surface transportation on 
                                                
7 All detailed provisions for national content are set forth in the Petroleum (National Content) 
Regulations, 2016.  WT/TPR/S/384 • Uganda  
 
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  land or water, s torage, distribution and sales, and processing or other operations involving the 
construction of physical plants. According to the authorities, pricing of petroleum products is entirely 
market -driven.  
4.69.   Petroleum products constitute over 1 8% of the total im port bill.  Uganda currently imports 
about 90% of its petroleum through Kenya8 and 10% through Tanzania . During the review period, 
excise duties on fuel were increased twice; for gasoline, the current rate is UGX 1,100 per litre (up 
from UGX 950 in 2014, an d UGX 850 in 2011); for diesel, the rate increased from UGX 530 per litre 
in 2011 to UGX 780 in 2016.  
4.2.2.2   Electricity  
4.70.   Uganda's  per capita electricity consumption rates are one of the world's lowest ; estimated at 
215 kWh, it is significantly lower than Africa 's average of 5 52 kWh. Low levels of access to modern 
forms of energy, particularly electricity, is one of the major infrastructure bottlenecks to socio -
economic growth in Uganda. Access to the grid remains low , at about 22% in urban areas, and about 
12% in  rural areas.  However,  increased power generation capacity is foreseen through investment 
in hydro and thermal power plants, new transmission lines, increased rural electri fication, and 
energy -efficiency measures.  
4.71.   Uganda has an installed capacity of 938 M W (up from 595 MW  in 2012) , which includes 
hydropower, co -generation , and fossil -based thermal generation ; hydropower accounts for 75% of 
installed capacity.  The Bujagali Hydropower Project  (with a capacity of 250 MW), which is fully 
operational since 2012 , alleviated Uganda 's power deficit  as reported in the last Review. However, 
demand is growing at 10 % annually , and is expected to gradually outstrip supply again. In response, 
the Government is building additional large hydropower facil ities, such as the Karuma H ydro (600 
MW) and the Isimba Falls Hydro (183 MW)  project s; the country also has a reserve capacity of 100 
MW from two heavy oil -based plants.  
4.72.   The legal and institutional framework for the electricity sector remained unchanged during 
the period und er review. The basic legislation is the Electricity Act, 1999. The Electricity Regulatory 
Authority (ERA) is the sector regulator, and is responsible for licensing and regulating the operations 
of all electricity operators .  
4.73.   According to the authorities, p ower generation is fully liberalized. Uganda Electricity 
Generation Company Ltd . (UEGCL)  is a state-owned  enterprise , which has two power stations 
currently operated by Eskom (U) Ltd . under a 20 -year concession agreement, valid until 2023. 
Independent power producers (IPPs) have entered the generation market since 2006.  As at end -
2017, Uganda had 21 power generation plants connected to the national grid , generating 3,589 
GWh; more than half of the power in 2017 was generated by IPPs.  
4.74.   Electricity transmi ssion is carried out by the state -owned Uganda Electricity Transmission 
Company Ltd. (UETCL), the sole licensee . The transmission grid do es not cover the entire country. 
Uganda ha d 1,400‐1,500 km of transmissio n lines (over 33  kV), which the Government expected  
to double  by 2017. Uganda suffers from high power losses at both the technical and commercial 
levels. There are proposals to modify the current "single buyer model" for the UETCL; the ERA has 
adopted a Multi -Year Tariff regime for the UETCL, in order  to create incentives to improve efficiency.9  
4.75.   The state -owned Uganda Electricity Distribution Company Ltd. (UEDCL)  builds and owns the 
distribution network . Umeme , a private company running a 20 -year concession from UEDCL since 
March 2005, distribut es 97% of all electricity in the country. There are also eight other distributors 
in the markets.  
4.76.   Electricity tariffs are set by the operators (i.e. generators, transmitters, and distributors), and 
are subject to approval by the ERA. The ERA conducts quarterly and annual tariff reviews.  
                                                
8 Most products destined for Uganda through Kenya are delive red from Mombasa to western Kenya 
terminals by pipeline and then by road and rail to Uganda.  
9 ERA online information, Strategic Plan 2014/15 –2023/24 . Viewed at: 
http://www.era.or.ug/index.php/resource -centre/publications/plans/37 -strategic -plan-2014-15-2023-
24/download .  WT/TPR/S/384 • Uganda  
 
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  4.77.   The Rural Electrification Board, established in 2001, manages the Rural Electrification Fund 
(REF)10, with the goal of achieving universal coverage by 2035.  There are also projects by IPPs to 
provide off -grid access.  This access is usually achieved by small -scale renewable generation plants . 
IPPs aim to provide an additional 1,000 MW of clean energy and 1 million  new connections by 2020 .  
4.78.   The national grid is connected with those of neighbouring countries. During the period under 
review, Uganda remained a net exporter of electricity. Imports of electricity are subject to a tariff 
rate of 10%.  
4.3  Manufacturing  
4.79.   During the period under review, the manufacturing sector recorded an average annual growth 
rate of 4.6%. Most manu facturing is centred around the processing of agricultural commodities, such 
as food processing, textiles, paper products, and beverages and tobacco (Table 4.8). Manufacturing 
employs about 5% of the working population.  Uganda operates 22 IBPs (managed by the UIA), as 
well as FZs  (managed by the FZA), to promote manufacturing (Section 3.2.4.2).   
4.80.   Manufactured exports include metal products, tobacco, paper products, soap, vegetable oil, 
confectionery, beer, cement, garments, nets and twines, and plastics. Ke y manufactured imports 
include road vehicles, iron and steel , and pharmaceuticals. Most imports of manufactured goods are 
from Asian countries and Kenya, while the main export destinations are Rwanda, the Democratic 
Republic of  Congo, Kenya, the Republic o f Congo, Tanzania,  and South Sudan.  
Table 4.8 Annual changes in industrial production, 2012 -16 
(%)  
2012  2013  2014  2015  2016  
Total manufacturing  3.6 2.9 10.4 0.9 5.4 
Food processing  8.9 10.6 20.4 -11.6 10.6 
Beverages  and tobacco  5.9 -1.9 10.3 0.6 -0.9 
Textiles, clothing and footwear  1.9 -27.7 -16.2 8.3 21.8 
Paper products and printing  10.3 6.2 -10.5 10.7 2.1 
Chemicals, paint, soap and foam products  -4.4 -2.4 4.5 24.6 9.9 
Bricks and cement  -1.8 4.7 -3.0 18.7 0.1 
Metal products  -7.1 6.2 4.8 7.1 -2.4 
Miscellaneous  -2.9 5.7 18.1 5.0 7.1 
Source:  Information provided by the authorities.  
4.81.   The Department of Industry and Technology in the MTIC is responsible for formulating 
industrial policy. The National Industrial Policy 2008 expired in December 2018.  
4.82.   The Government identifies agro -processing as a priority sector. The growth performance of 
food processing was rather volatile and reached an annual average rate of 12% from 2013 to 2016 
(Table 4.9).  
                                                
10 The REF is funded by government budget allocations , surplus funds from the ERA, a levy of 5% on 
transmission bulk purchases , and donations, gifts, grants, and loans.  WT/TPR/S/384 • Uganda  
 
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  Table 4.9 Annual changes in food processing production, 2013 -16 
(%)  
2013  2014  2015  2016  
Food processing  16.8 35.7 -24.4 19.7 
Meat preparation and processing  34.0 -10.6 -40.6 -22.2 
Fish processing and preservation  -4.1 -7.6 8.9 4.8 
Edible oils and fats production  23.5 67.8 -7.1 -18.8 
Dairy production  -15.7 -3.7 -83.3 -0.9 
Grain milling -13.2 -20.7 -6.1 55.1 
Bakery production  74.7 23.9 169.7  143.0 
Sugar processing  21.7 95.8 -62.8 24.6 
Coffee processing  19.5 -3.5 5.2 5.8 
Tea processing  8.3 -17.9 -29.1 43.1 
Animal feed production  21.5 -18.0 -0.7 16.9 
Other food processing  -17.0 -3.7 -15.1 -12.9 
Source:  Information provided by the authorities.  
4.83.   Uganda continues to face challenges  that impede value addition in agri -business. Inadequate 
transport and storage infrastructure, poorly maintained roads, and a lack of railway, air transport , 
and shipping facilities translate into high transport costs which, coupled with its landlocked position, 
mean t hat exports lose competitiveness.  In addition, it seems that p ackaging material is not 
commonly available.   
4.84.   According to the authorities, other constraints in this sector include difficulty in meeting 
international quality standards and certification regul ations , and lack of borrowing capacity by SMEs , 
which dominate the sector. The Government and the BOU  have designed programmes to support 
SMEs and encourage the growth of micro financing.  
4.4  Services  
4.4.1   Financial services  
4.4.1.1   Banking  
4.85.   During the period under review, the legal and institutional framework for the banking sector 
in Uganda remained largely unchanged, comprising t he Bank of Uganda Act, 2000, the Financial 
Institutions Act , 2004, the Micro Deposit Taking Institutions Act , 2003, the Foreign Exchange Act, 
2004, the Tier 4 Microfinance Institutions Money Lenders Act , 201611, and the Financial Institu tions 
Anti Money Laundering Act,  2013. The Financial Institutions Act was amended in 2016. The 
amendments of the Financial Institutions Act  aim: to provide for Islamic banking, bancassurance, 
and agent banking; to provide access to the Credit Reference Bureau by accredited credit providers 
and service providers other than financial institutions; to reform the Deposit Protection Fund; and 
to addre ss the evolution of the banking sector with regard s to globalization and technological 
developments.  Following the amendment, the Deposit Protection Fund was established in April 2017, 
and became operational in June 2017. The BOU remains the sector regulat or, responsible for, inter 
alia, licensing operators and prudential supervision.  
4.86.   All financial institutions are required to obtain a licence from the BOU  prior to the 
commencement of operations. An annual f ee is charged to operators for maintaining the li cence . 
Foreign banks must be locally incorporated in Uganda , i.e. there are subsidiaries but not branches 
of international banks in Uganda.  The authorities stated that the local incorporation requirements 
are based on the ground s of prudential management. The minimum capital requirement for banks 
established in Uganda  is UGX 25  billion; it is UGX 1 billion for credit institutions (CIs), and UGX 500 
million for microfinance deposit -taking institutions (MDIs).  
                                                
11 The draft amendment to the Microfinance Deposit -taking Institutions Act 2003 is yet to be finalized by 
the Ministry of Finance, Planning and Economic Development.  WT/TPR/S/384 • Uganda  
 
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  4.87.   There is a high degree of foreign ownership in U ganda's financial sector . As of end -June 2018, 
24 commercial banks were operating in Uganda , 22 of which were foreign -owned; four CIs, of which 
three are foreign -owned; and five MDIs. As of end -June 2017, the total number of bank branches 
was 546, down fro m 566 one year earlier. The authorities attributed the decrease to mainly the 
integration of two commercial banks, where some branches were closed.12 According to the Finscope 
Survey of 2018, only 58% of Ugandan adults have access to formal financial servic es, with 78% of 
them accessing both formal and informal services.13 
4.88.   In Uganda, the banking sector is dominated by commercial banks. At end -2017, total assets 
of commercial banks reached UGX 26.5 trillion, up from UGX 15.5 trillion in 2012; the total assets 
of commercial banks accounted for 96% of the total assets of the sector (Table 4.10)  
Table 4.10 Balance sheet of the banking sector, 2012 -17 
(UGX billion)   
2012  2013  2014  2015  2016  2017  
Total assets  15,963.5  17,850.7  20,220.2  22,486 .0 24,621.8  27,540.7  
Commercial bank s 15,465.9  17,320.9  19,586.1  21,722.2  23,689.2  26,528.1  
CIs 221.1  265.7  311 389.6  463.1  542.8  
MDIs 276.5  264.1  323.1  374.2  469.5  469.8  
Total liabilities  13,255.4  14,852.9  16,858.1  18,682.2  20,430.3  22,339.5  
Commercial bank s 12,888.8  14,463.8  16,395.4  18,129.1  19,746.3  21,595.7  
CIs 169.6  208.1  244.7  304.3  364.5  435.8  
MDIs 197.0 181.0 218.0 248.8  319.5  308.0 
Source:  Information provided by the authorities.  
4.89.   According to the authorities, all financial institutions (i.e. banks, CIs, and MDIs) are 
adequately capitalized, and all meet the statutory minimum requirements. The consolidated leverage 
ratio of commercial banks (the non -risk based capital requirement) i mproved from 9.6 % in 2016 to 
11.3% in 2017.  
4.90.   Commercial banks have been largely exposed to  government securities. As of end -June 2017, 
commercial banks possessed 42% of all treasury bills and bonds. Banks' lending activities have 
significantly slowed down s ince 2016: the annual growth of loans was 1.5% in 2017, compared to 
14% in 2014. The authorities noted that the banks remained risk -averse, perhaps due to the high 
default rate in 2016; however, they also noted that the loan performance in 2017 improved, w ith 
the sector -wide ratio of non -performing loans (NPLs) to total loans standing at 5.6%, down from 
10.6% in 2016 (Table 4.11). NPLs are concentrated in sectors such as agriculture, construction, and 
trade and commerce.  
4.91.   Whereas the CIs' NPLs increased by 2 .9% from UGX 10.5 billion at end -2016 to UGX 10.8 
billion at end -2017, a more than proportionate increase in loans and advances resulted in a decline 
in the NPL -to-total-loans ratio , from 4% to 3.5% , over the same period (Table 4.11). MDIs' asset 
quality i mproved marginally , as reflected in a decrease of NPLs - by 8.8% from end -2016 to end -
2017. The NPL ratio went down from 5.3% to 5% during the same period. The authorities stated 
that, generally, credit risk increased  from 2014 to 2016, following the upwar d trend in lending rates.  
Table 4.11 Ratios of NPLs to total loans, 2012 -17 
(%)  
2012  2013  2014  2015  2016  2017  
Commercial bank s 4.2 5.6 4.1 5.3 10.7 5.6 
CIs 4.2 3.4 4.0 3.6 4.0 3.5 
MDIs 2.7 1.9 2.0 2.7 5.3 5.0 
Source:  Information provided by the authorities.  
                                                
12 BOU (2017), Annual Report 2016 -2017. Viewed at: https://www.bou.or.ug/bou/bou -
downloads/publications/Annual_Reports/Rprts/All/Annual -Report-2016-2017.pdf .  
13 Finscope Survey, 2018.  WT/TPR/S/384 • Uganda  
 
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  4.92.   The Central Bank Rate (CBR), t he monetary policy rate  set by the BOU,  serves as the 
signalling rate in the economy. The market interest rates are not regulated, and are determined  by 
the demand and supply of loanable funds  in the inter-bank market. The seven -day rate in the inter-
bank market  is close to , and often mirrors,  the CBR. Significant deviations of the seven -day rate 
from the CBR are the basis for the application of moneta ry policy tools.  
4.93.   As the amendment(s) to the Financial Institutions Act came into force, Islamic banking is 
going to be under the BOU's supervision. The Financial Institutions (Islamic Banking) Regulations, 
2018 were drafted by the BOU and gazetted. They  provide for the regulation  of financial institutions  
in the conduct  of Islamic financial business . 
4.94.   Foreign exchange bureaux (BDCs)  and money remitters must obtain a licence from the BOU 
prior to the commencement of business. As of end -June 2018, 262 BDC out lets and 126 money 
remitter outlets14 across the country had been licensed. The BDCs are free to set their spot rates of 
exchange.15 The daily foreign exchange open position may not exceed 25% of a financial institution's 
core capital as of the preceding qua rter. The profitability of BDCs increased during the review period.  
4.95.   The BOU  grants letters of no objection/clearance to financial institutions to engage with mobile 
money service providers.  As of end-2017, there were seven mobile money service providers , with 
23.4 million registered customers across the networks. Mobile money activity continued its growth . 
Transaction values increased by 44 %, to UGX 63.1 trillion in 2017, up from UGX 43.8 trillion in 2016. 
The number of transactions rose by 23.8 % over the s ame period  (Table 4.12) . 
Table 4.12 Performance of mobile money services , 2012 -17 
 2012  2013  2014  2015  2016  2017  
Number of transactions 
(million)  241.7  399.5  496.3  693.6  974.7  1,206.8  
Value of transactions 
(UGX trillion)  11.6 18.6 24.1 32.7 43.8 63.1 
Registered customers 
(million)  8.9 14.2 18.8 21.1 21.6 23.4 
Source:  Information provided by the authorities.  
4.4.1.2   Insurance  
4.96.   The Insurance Act was amended in June 2017. It repealed the Insurance Act 2011, and 
entered into force on 30 March 2018 . All the regulations provided under the Insurance Act 2011 
continue to be applicable until their replacements enter into force . The Insurance Regulatory 
Authority of Uganda (IRA) remains the sector regulator. Anyone wishing to engage in any insurance -
related activities must obtain a licence from the IRA prior to commencing business.  
4.97.   Insurance penetration in Uganda remained low, at 0.81% in 2017. However , growth has been 
strong in recent years ; this is attributed to Ug anda's solid economic performance . Financial and 
insurance services, together, contributed to 3.6% of GDP in 2017 (Table 1.1). A National Insurance 
Policy is being formulated.  
4.98.   As of end -July 2018, 28 insurance companies were operating in the country, of wh ich 19 were 
non-life insurance companies and 9 were life insurance companies (Table 4.13). In 2017, gross 
premium reached UGX 684.7 billion, a 14% increase from 2016. Premiums from non -life insurance 
accounted for around 75% of the total.  
Table 4.13 Insurance services indicators, 2012 -17 
  2012  2013  2014  2015  2016  2017  
Number of companies  
Local 5 5 5 5 5 5 
Foreign  23 23 23 24 24 23 
                                                
14 Money remitters comprised BDCs , MDIs, and CIs. 
15 The BOU publishes the daily rates of foreign exchange on its website, for information purposes. 
Viewed at: https://www.bou.or.ug/bou/collateral/forex_forms/forex_forms.html .  WT/TPR/S/384 • Uganda  
 
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    2012  2013  2014  2015  2016  2017  
Type of operators  
Insurers  28 28 28 29 29 28 
Reinsur ers  0 1 1 1 1 1 
Brokers  26 26 26 30 35 34 
Reinsurance brokers  1 1 1 1 1 1 
Loss assessors/adjusters  15 17 17 21 21 22 
Agents  828 990 1,110 1,335 1,296 2,006  
Health membership 
organizations  7 16 13 10 6 6 
Total gross premium income  (UGX billion)  
Non-life (share of business)  313 351.4 384 464.4 450.2  516.1  
Life (share of business)  39 55.4 74 99.8 132.5  168.5  
Source:  Information provided by the authorities.  
4.99.   All insurers must be locally incorporated, unless exempted  by other bilateral agreement s 
between Uganda and the foreign country . The minimum paid -up capital requirements took effect in 
October 2014 (Table 4.14). Applicants applying for licences after October 2014 must meet these 
requirements.  
Table 4.14 Minimum paid -up capital requirements for insurance operators, 2018  
(UGX million)  
Operator  Required amount  
Non-life insurer  4,000  
Life insurer  3,000  
Reinsurer (life and non -life) 10,000  
Health membership organization  500 
Microinsurer  100 
Insurance/reinsurance broker  75 
Source:  Information provided by the authorities.  
4.100.   Since 1 October 2014, composite insurers may not continue providing both life and non -life 
insurance products. Previously -licensed composite insurers must be demerged. New ap plicants for 
insurance licences may only choose one type of licence.  
4.101.   Rates for insurance premiums and commissions are set by the IRA for all products.16 There 
are currently two mandatory insurances in Uganda: motorists' third -party liability, and workers' 
compensation. Any eligible insurer may offer products to cover mandatory insurance. The 
enforcement of mandatory insurance is weak, due to : lack of awareness, lack of regulations to 
operationalize the respective acts, lack of incentives on the part of enfor cement agencies, low 
compensation limits in the case of motor third -party insurance, and high limits for workers' 
compensation.   
4.102.   VAT at a rate of 18% is applied to the premium of each policy, except for life and medical 
insurance; in addition, the IRA levi es 1.5% of the premium as an annual contribution. A training 
levy of 0.5% is imposed on all policies.  
4.103.   The regulatory framework for reinsurers is similar to that for insurers, except for the 
minimum paid -up capital requirement. Reinsurers may cover risk out side Uganda. Currently, there 
is only one reinsurer in the country – the Uganda Reinsurance Company Ltd.17  
4.104.   Ugandan residents may not be insured by foreign insurance companies not registered in 
Uganda, but Ugandan companies may insure non -residents.  
                                                
16 Article 64, the Insurance Act, 2017.  
17 Two regional reinsurers are opening liaison offices in Uganda: Africa Re, and PTA Re.  WT/TPR/S/384 • Uganda  
 
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  4.105.   Insuran ce agents must be IRA -licensed, and must also pass the Certificate of Insurance 
Proficiency (CoP)  examination. Failure to pass this examination may lead to the IRA revoking the 
agent's licence.  
4.106.   The Act now allows financial institutions, such as commercial banks, to act as agents (dubbed 
as "bancassurance") for insurers or health membership organizations ( HMOs ). Under the Act, 
financial institutions may sell insurance products of an insurer/HMO to their customers through their 
distribution channels.  
4.4.1.3   Capital markets  
4.107.   The Uganda Securities Exchange (USE) was licensed to operate as an approved stock 
exchange in 1997 by the Capital Markets Authority of Uganda.  In May 2017, USE was transformed 
to a public company limited, under the provisions of the amendment to th e Capital Markets Act, 
2016.   
4.108.   The products listed on USE are gover nment and corporate bonds, and 16  equities . In 201 5, 
turnover in the equities ma rket was UGX 201 billion, of which UGX 187 billion was from equities and 
UGX 17 billion was from corporate bon ds.  
4.109.   On 22 July 2015, USE launched an automated trading system (ATS), replacing the manual 
trading (open outcry) system. With the introduction of the ATS, the settlement time at USE has been 
shortened to T+3 (previously T+5). USE implemented a paperless cl earing and settlement  system 
in 2009.  
4.110.   USE operates in close association with the Dar es Salaam Stock Exchange (Tanzania ), the 
Rwanda Stock Exchange, and the Nairobi Stock Exchange (Kenya ).  
4.4.2   Communications  
4.4.2.1   Telecommunications  
4.111.   During the period under review, Uganda overhauled its legal and institutional framework for 
the telecommunications sector. The Uganda Communications Act, 2013 entered into force on 18 
January 2013. It consolidated and harmonized previous acts governing the sector (the 
Communications Act and the Electronic Media Act), with a view to modernizing the sector through 
enhancing competition by encouraging private -sector participation, therefore improving 
infrastructure and services.  
4.112.   The new Act establishes the Uganda Communications Commission (U CC)18 as the 
independent sectoral regulator. The Commission is responsible for, inter alia,  licensing operators, 
allocating spectrum, regulating product tariffs, regulating interconnection, and promoting 
competition in the sector. The National Information T echnology Authority, Uganda (NITA -U) 
arbitrate s disputes arising between operators and their consumers , regulate s the electronic 
signature infrastructure (including the m obile ID infrastructure ), and e nsure s telecom equipment 
and services comply with stand ards. 
4.113.   The telecommunications market experienced fast growth during the period under review, in 
particular mobile telecommunications. The mobile penetration rate was about 58.2% in 2017, up 
from 45.1% in 2012; mobile subscribers increased by 53% during the same period, reaching 24.9 
million in 2017. However, subscription to fixed -line services remained low: the fixed -line penetration 
rate declined to 0.6% in 2016, down from 0.9% in 2011 (Table  4.15).  
                                                
18 The Uganda Communications Comm ission and the Broadcasting Council were dissolved when  the 
Uganda Communications Act, 2013 entered into force, and were reconstituted into one body as the Uganda 
Communications Commission.  WT/TPR/S/384 • Uganda  
 
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  Table 4.15 Selected telecommunications indicators, 2012 -17 
 2012  2013  2014  2015  2016  2017  
Fixed telephone subscriptions ('000)  315.0  272.8  324.4  328.8  368.2  262.3  
Fixed telephone penetration  0.9 0.7 0.8 0.8 0.9 0.6 
Mobile -cellular telephone subscriptions 
('000)  16,356.4  18,068.6  20,365.9  20,220.3  22,838.5  24,948.9  
Mobile -cellular telephone penetration  45.1 48.1 52.4 50.4 55.0 58.2 
Internet users (%)  14.1 20.7 29.5 39.7 44.6 49.9 
Fixed -broadband subscriptions ('000)  38.4 41.5 55.2 80.7 108.3  145.8  
Fixed -broadband penetration  0.1 0.1 0.1 0.2 0.3 0.3 
Note:  Penetration is defined as subscriptions per 100 inhabitants . 
Source:  Information provided by the authorities.  
4.114.   Uganda's telecommunications services have been liberalized since 2006. Anyone wishing t o 
provide telecoms (including radio communications) or broadcasting services, or to operate 
cinematography theatres (or video/film libraries) must apply for a licence from the UCC. The licence 
is renewable.  
4.115.   Uganda implements  a technology -neutral horizontal  licensing framework that allows the 
licensee to select the technology of their choice to deliver ICT services. There are three categories 
of licences: the Public Service Provider (PSP) Licence , the Public Infrastructure Provider (PIP) 
Licence , and the Nat ional Telecommunication Operator (NTO)  Licence .19  
4.116.   The PSP licence  may be issued as one of two subcategory licences:  
a. A Public Voice and Data Provider Licence  allows the licensee to offer telephony and data 
services of any kind using any technology, based on the capacity or infrastructure of a PIP 
licensee ; services that may be provided include fixed voice  services, mobile services and 
Internet access, including Voice  over Internet Protocol ( VoIP); or 
b. A Capacity Resale Licence permits the resale of leased telecomm unications services or 
capacity; s ervices include calling cards and capacity resale to Public Voice and Data 
Provider licensees.  
4.117.   A PIP Licence authoriz es the licensee to establish, operate, and maintain infrastructure for 
the provision of communications services to the public and/or to offer infrastructu re commercially 
for use by PSP l icensees. A PIP l icensee must also hold a PSP Licence to provide communicatio ns 
services to the public. A PIP licensee providing both retail and wholesale services must price its 
wholesale products 20% lower than the equivalent retail price. A PIP licensee requires separate 
authorization to use spectrum resources or other essential  resources and access facilities, including 
international gateways20, numbering resources, and Very Small Aperture Terminal ( VSAT ) services .  
4.118.   NTO L icences apply to public pay communications networks , such as payphone kiosks, fax 
bureau services, Internet ca fés, and cyber cafés. Licensees may provide payphone services using 
VoIP technology. However, they are not permitted to provide prepaid services, such as calling cards, 
unless they obtain the appropriate authorization . 
4.119.   Under t he Communications (Universal S ervice) Regulations, universal service cover s 
connection to a fixed communication network able to support voice telephony, fax , and data 
transmission, but does not include mobile services.21 The UCC designates operators who have an 
obligation to provide uni versal service , and defines supply -time and quality -of-service indicators. All 
licensed providers have an obligation to remit 2% of gross revenues to the Universal Access Fund.  
Any licensed operator may receive financing from the Fund to extend services to  under -served areas.  
The Fund has had total annual receipts of up to USD 3 million, utili zation of which is around 85%.   
                                                
19 All licences, except NTO Licences, are subject to annual licensi ng fees, at various rates. The PIP 
Licence is also subject to a one -off entry fee of USD 100,000.  
20 A gateway may also be used for private use.  
21 The target for universal access to voice telephony was initially 1 per 5,000 persons ; this was revised 
to 2,5 00 persons , and further revis ed to include Internet access.  WT/TPR/S/384 • Uganda  
 
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  4.120.   As at June 2018, there were two national telecom operators: Uganda Telecom (UTL) and 
MTN. Both provide fixed, mobile, and data services . In addition, another 31 licensees were providing 
voice and data services in the market (Table 4.16). MTN, Warid, Airtel, Orange, Smile Telecom, and 
I-tel are the ma jor mobile carrier s in the market.  
Table 4.16 Numbers of licensed telecommunications services providers, June 2018  
Category  Licensed  
NTO 2 
PSP only – voice and data  31 
Capacity Resale only  6 
PIP only  22 
Source:  Information provided by the authorities.  
4.121.   The national operators have their own micro -wave radio relay networks for long -distance 
signal transmission.  During the period under review, telecommunications infrastructure improved 
significantly  – the national backbone network has completed construction of its north -south, and 
east-west chunk routes.22  
4.122.   Other carriers lease their capacity from PIP licensees or Capacity Resale licensees. Under 
the Telecommunications (Interconnection) Regulations, all network operators must interconnect with 
other operators ; number portability  is also possible . The UCC sets interconnection rates , and 
monitors compliance among operators.  In 2012, the reference rate of interconnection was UGX 112, 
down from UGX 131 in 2010; the authorities noted that the interconnection rate would be further 
reduced to UGX 65 onc e all the necessary formality procedures are completed.   
4.123.    Prices of the retail products are determined by the services providers, who must submit 
notifications and seek a UCC " no objection " before a tariff be comes effective in the market. Over the 
period u nder review, the UCC registered a rapid increase in on -net voice traffic (from 11 trillion 
minutes in 2012 to 25 trillion in 2017) and a sharp decrease in off -net traffic (from 1.7 trillion 
minutes in 2012 to 915 million in 2017). This trend reflected that  more and more customers were 
clustered within the network of the carriers. Over the same period, Uganda experienced fast growth 
in Internet use: Internet penetration reached 45.4% in 2017. Most broadband services are provided 
by mobile carriers. Fixed -broadband penetration has remained low (less than 1%) , due to low fixed -
line penetration, whil e apparently wireless broadband penetration has been growing rapidly.  
4.124.   Telecom consumers are subject to various excise duties on the services they use. For 
instance, mobile  voice services attract 12% of the price of airtime while the talktime of fixed line 
services attracts 5%. In addition, since 1 July 2018, Uganda has introduced an excise duty on " over 
the top services " telecommunications, at a specific rate of UGX 2 00 per day.23 
4.4.2.2   Postal services  
4.125.   Pursuant to the Uganda Communications Act , 2013, the UCC is also the regulator for postal 
services and courier services. As at end -June 2017, it had licensed 20 operators in the sector  
(Table 4.17).  
Table 4.17 Numbers of licensed postal services providers, June 2017  
Category  Licensed  
National postal operator  1 
Regional courier operator  4 
Domestic courier operator  7 
International courier operator  8 
Source:  Information provided  by the authorities.  
                                                
22 The East -West backbone fibre  optic chunk route became operational in 2013, while the North -South 
route became operational in 2015.  
23 "Over the top services" means "the trans mission or receipt of  voice or mes sages over the In ternet 
protocol network and includes access to virtual private networks but does not include ed ucational or research 
sites prescribed by the Minister  by no tice in the Gazette ", which affect users of instance messengers, social  
media, and virtual private network (VPN) services . WT/TPR/S/384 • Uganda  
 
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  4.126.   The national postal operator is Uganda Post Limited (UPL), a state -owned enterprise 
providing postal services including universal services. Reserved postal services (e.g. stamps) are 
provided exclusively by UPL.  Express courier service s are fully open to private competition. Other 
licensed courier operators may be allowed use subcontractors to perform the services under the 
licence; it seems that subcontractors are not required to obtain a licence from the UCC. According 
to the authorit ies, prices for postal services, except for universal services, are not regulated.  
4.4.3   Transport  
4.4.3.1   Air transport  
4.127.   The legal and institutional framework for air transport remained largely unchanged during 
the period under review. The Ministry of Work and Transport  (MOWT) is responsible for formulating 
policy in the area. The Civil Aviation Authority (CAA) is the regulator for the sector24, with authority 
over operational and safety issues, including authorizing business operations, licensing aircrafts and 
personnel,  and monitoring air carriers operating in the territory. It also provides air navigation 
services in the airspace of Uganda.  
4.128.   Uganda pursues an open -skies policy, and is a signatory to the Yamoussoukro Declaration 
on the creation of a single African air spa ce. The authorities stated the position of Uganda on the 
exchange of traffic rights:  
a. Grant of first and second freedom traffic rights (freedom of the air) is not automatic;  
b. Multiple designation on routes to and from Uganda has been adopted;  
c. Third and fourth freedom traffic rights are exchanged on reciprocal basis with no restriction 
on frequency or capacity;  
d. Fifth freedom traffic rights are granted on a case -by-case basis; and  
e. There is more flexibility regarding cargo operations.  
4.129.   As of end -July 2018, U ganda maintained 47 bilateral air services agreements (ASAs). As a 
result of these ASAs, 16 international airlines operate scheduled services to and from Entebbe 
International Airport. Four airlines were granted fifth freedom traffic rights.  
4.130.   Uganda Airline s, the national flag carrier, which was liquidated in May 2001, was revived by 
a Cabinet decision in 2014. It remains a state -owned enterprise, and will offer flights on regional 
and long -haul routes. It has placed orders for a number of aircrafts. It is r eported that the Airlines 
has obtained a licence from the CAA, and is expected to resume its flight operations on regional 
routes in April 2019.  
4.131.   Domestic flights are operated by Ugandan carriers, on scheduled and non -scheduled 
services. Cabotage by foreign  companies is not allowed in Uganda.  
4.132.   Air transport services providers are exempted from income tax, indefinitely.  
4.133.   There are 35 airports/airfields in Uganda, of which the CAA manages 14, including Entebbe 
International Airport (EIA). EIA is the major air ga teway into the country25, and is 100% owned by 
the Government. As of July 2018, 38 airlines were operating routes to Entebbe, 17 of which were 
for international scheduled air services, 8 for domestic scheduled air services, and 18 for non -
scheduled air serv ices. During the review period, passenger traffic increased steadily, from 1.2 
million in 2012 to 1.5 million in 2017; cargo traffic also expanded from 55,692 tonnes in 2012 to 
69,305 tonnes in 2017 (Table 4.18).  
                                                
24 CAA - Uganda online information, About CAA . Viewed at: https://caa.go.ug/index.php/about -caa/. 
25 Five other airports are designated as internationa l: Arua, Gulu, Kasese, Kidepo, and Pakuba . WT/TPR/S/384 • Uganda  
 
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  Table 4.18 Selected statistics regarding aviation transport, Entebbe, 2012 -17 
  
2012  2013  2014  2015  2016  2017  
Passenger s  PAX in 633,699  690,811 678,117 691,786 705,280 763,416 
PAX iut 618,617  678,610 677,171 698,292 710,465 766,615 
Total 1,252,316  1,369,421  1,355,288  1,390,078  1,415,745  1,530,031  
Cargo (tonnes)  Export s 33,821  34,130  32,197  32,660  39,376  47,711  
Import s 22,131  21,824  20,644  21,789  20,182  21,593  
Total 55,952  55,954  52,841  54,449  59,557  69,305  
Aircraft movement s Total 30,259  30,364  26,886  27,650  28,347  29,323  
Source:  Information provided by the authorities.  
4.134.   In the EIA, ground and cargo handling is carried out by the CAA and by third parties under 
concession contracts. Two passenger processing service providers compete in the market, and three 
companies provide cargo handling services. The authorities indicate d that there were no restrictions 
on foreign participation in ground handling . 
4.4.3.2   Land transport  
4.135.   Road is the main mode of transport for the movement of persons and goods in Uganda . 
During the review period, the legal and institutional framework for road trans port remained 
unchanged. The MOWT  is the competent authority for policy making , and is the regulator of the 
sector. The Uganda National Roads Authority ( UNRA) is responsible for the construction, 
maintenance and management of the road network.  Uganda has a  total road network of 144,785 
km, of which 20,544 km are national roads, 35,566 km are district roads, 10,108 km are urban 
roads, and 78,567 km are community access roads. The paved national road network, 4,875 km, 
represents 23.4% of the total. In additi on, there are 519 structures linking the roads, such as ferry 
routes. NDPII (2015 -20) emphasized the development of the road infrastructure as one of the critical 
factors for Uganda to achieving middle -income country status, and set a target of having 6,00 0 km 
of national roads paved by 2020.  
4.136.   Road transport, including urban transport, for passengers and freight is liberalized in 
Uganda. The private sector is the sole services provider. There is no restriction on entry and exit 
into the public transportatio n services. Cabotage by foreign operators is not permitted.  
4.137.   EAC countries have taken steps to harmonize their vehicle load limits, through the adoption 
of the EAC Vehicle Load Control Act, 2013, which entered into force on 1 October 2016. Uganda 
started im plementation of the Act in 2018. Under the Act, vehicles with a weight of 3.5 tonnes or 
more are to be weighed at every weighing station on the EAC road network.  
4.138.   Uganda has an operational meter -gauged railway network of 1,228 km. Regulation and 
coordination of railway development projects are currently the responsibility of the Uganda Railways 
Corporation (URC) . According to the authorities, Uganda is considering unbundling the operations of 
the URC, once all necessary policy inter ventions are completed (e.g. the establishment of an 
independent regulator). The URC maintains international routes to Mombasa  (Kenya) and Dar es 
Salaam26 (Tanzania). Net tonnes transported on this route decreased sharply during the period 
under review, fro m 24,245 in 2012 to 3,255 in 2015; information on possible reasons for such a 
sharp drop was not available.  
4.4.4   Tourism  
4.139.   Tourism earnings amounted to USD 917.6  million in 201 7, making the industry Uganda's 
leading foreign exchange earner. Growth in the sector i s attributed to an increase in the number of 
visitors and the growing urban population.  
4.140.   Uganda has many tourist attractions, from East African savannah to West African jungle, 
including Lake Victoria, the Murchison Falls, and the Mountains of the Moon, al ong with a number of 
national parks and wildlife reserves, hosting half of the world's mountain gorilla population. Uganda 
                                                
26 The route to Dar es Salaam goes over Lake Victoria via rail ferries from Port Bell.  WT/TPR/S/384 • Uganda  
 
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  is also host to over 1,000 bird species, some of which are endemic to the country ; they are  found 
mainly in the western region. Despi te the large potential for growth in the sector, Uganda faces a 
number of challenges, including poor transport and accommodation infrastructure, insufficient 
training of personnel, and the high cost of domestic flights.  Also, the recent development of oil 
projects in the Albertine Rift is causing a lot of concern over the environmental impact on the nearby 
natural reserves, including on the protection of wildlife and the erosion of wetland.  
4.141.   Tourist arrivals increase d from 1.2 million  in 2012 to 1.4 million in 2017  (Table 4.19). Almost 
81% of all tourist arrivals were from Africa, particularly neighbouring countries. Tourists from Europe 
accounted for 8% of total arrivals, followed by visitors from America and Asia.  During  the past five 
years, most of the arr ivals were from Kenya , followed by Rwanda, together accounting for 68% of 
arrivals from African countries . Visits to national parks experienced rapid growth, from 182,149 in 
2012 to 245,725 in 2016 . 
Table 4.19 Tourist arrivals, by origin, 2012 -17 
('000)  
  2012  2013  2014  2015  2016  2017  
Africa  930 936 989 1,047  1,047 1,128  
Europe  108 109 110 107 110 105 
America  71 73 77 62 71 78 
Asia 61 67 70 66 73 71 
Middle East  8 10 11 13 14 13 
Oceania  10 10 8 6 6 7 
Others  9 1 1 2 1 1 
Total  1,197  1,206  1,266  1,303  1,322 1,402  
Source:  Information provided by the authorities.  
4.142.   The Ministry of Tourism, Wildlife and Antiquities is the competent authority responsible for 
formulating policies related to tourism. Under the Ministry, a number of institutions are also 
responsible for policy implementation, including the Uganda Wildlife Education Centre Trust 
(UWECT), the Uganda Tourist Board (UTB), the Uganda Wildlife Training Institute (UWTI), the Hotel 
and Tourism Training Institute (HTTI), and the Uganda Wildlife Authority (UWA).  
4.143.   Tourist accommodation, travel agents, tour operators, and  tour guides must be licensed by 
the UTB. The UTB is also responsible for classifying and grading hotels and stand -alone restaurants. 
The authorities noted that the UTB follows the EAC Standards Criteria for Classification of Hotels and 
Restaurants.27 Tour guides must register with the UTB, pass an appropriate exam ination , possess 
tourist guide qualifications deemed to be relevant, and possess an identi ty document issued by the 
UTB. Foreigners may not be licensed as tour guides.  
4.144.   As of end -June 2018, 270 tour operators were registered with th e Association of Uganda 
Tour Operators (AUTO)28, and the 2014 National Population Census, which is the latest  indicates 
that there were  6,291  accommodation establishments.   
4.145.   There is no restriction on foreign investment in the tourism sector, except of owner ship of 
land (Section 2.4). Most foreign investment in hotels and restaurants is therefore in the form of joint 
ventures or joint contractual. Investment incentives for hotels are similar to those in other sectors.  
 
                                                
27 Under these standards, there are separate criteria for the classification of lodges, motels, tented 
camps, town hotels, vacat ion hotels and villas, cottages, and service apartments.  
28 Four licensed tour operators are not yet registered with the Association, according to the authorities.  WT/TPR/S/384 • Uganda  
 
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  5  APPENDIX TABLES  
Table  A1. 1 Merchandise exports by group of products, including re -exports 2011 -17  
 
2011  2012  2013  2014  2015  2016  2017  
Total exports ( USD million)  2,159.1 2,357.5 2,407.7 2,262.0 2,267.0 2,482.3 2,901.5  
% of total  
Total primary products  68.2 60.2 66.8 68.7 67.0 54.0 67.7 
Agriculture  61.3 52.4 59.8 60.1 60.0 52.4 60.9 
Food 53.9 46.3 55.4 55.6 56.2 48.7 56.8 
0711 - Coffee, not roasted  21.3 15.7 17.6 18.1 17.7 15.0 19.1 
0741 - Tea, whether or not 
flavoured  3.3 3.1 3.6 3.7 3.1 2.9 2.7 
0542 - Leguminous vegetables, 
dried, shelled  0.8 0.6 0.8 1.1 2.7 1.8 2.7 
0441 - Maize (unmilled), seed  0.6 1.2 0.8 1.1 2.7 2.2 2.6 
0612 - Other beet or cane 
sugar and chemically pure 
sucrose  1.2 3.2 3.0 2.5 2.3 2.2 2.3 
0345 - Fish fillets, fresh or 
chilled  4.0 2.0 4.0 3.8 2.4 2.3 2.2 
0721 - Cocoa beans, whole or 
broken, raw or roasted  2.1 1.6 2.3 2.6 2.5 3.0 1.9 
0453 - Grain sorghum, 
unmilled  0.0 0.0 0.0 0.1 0.1 0.1 1.7 
0221 - Milk and cream, not 
concentrated or sweetened  0.4 0.3 0.5 0.3 0.5 0.9 1.6 
4222 - Palm oil and its 
fractions  2.0 2.2 1.7 1.5 1.4 1.5 1.4 
0352 - Fish, salted but not 
dried or smoked , and fish in 
brine 0.0 0.2 0.7 1.6 1.6 1.5 1.3 
1211 - Tobacco, not 
stemmed/stripped  0.0 0.0 1.3 1.5 2.2 1.8 1.3 
0812 - Bran, sharps and other 
residues  0.2 0.5 0.5 0.3 0.4 0.6 1.3 
0344 - Fish fillets, frozen  0.2 0.1 0.4 0.6 1.1 0.9 1.1 
Agricultural raw material  7.4 6.1 4.3 4.5 3.8 3.7 4.1 
2926 - Bulbs, tubers and 
rhizomes of flowering or of 
foliage plants  2.4 2.2 2.3 2.5 2.2 2.1 2.0 
2634 - Cotton, carded or 
combed  3.8 2.9 1.1 0.8 0.8 0.9 1.4 
Mining  6.9 7.7 7.1 8.7 7.0 1.6 6.8 
Ores and other minerals  0.2 0.4 0.2 0.4 0.3 0.3 0.3 
Non-ferrous metals  0.9 0.7 0.5 0.1 0.1 0.1 0.1 
Fuels 5.7 6.6 6.4 8.1 6.6 1.2 6.4 
Manufactures  31.4 34.1 31.6 29.5 29.2 24.5 17.9 
Iron and steel  4.8 4.6 4.9 5.0 4.7 3.4 2.9 
Chemicals  3.2 3.8 4.0 4.2 4.3 4.4 3.3 
Other semi -manufactures  7.9 9.0 9.6 9.9 9.3 7.2 5.1 
6612 - Portland ce ment, 
aluminous cement, slag 
cement, supersulphate 
cement, etc  4.4 4.5 4.3 3.9 3.5 2.5 1.4 
Machinery and transport 
equipment  12.3 13.4 9.7 7.0 7.6 6.9 4.2 
Power generating machines  0.4 0.7 0.4 0.2 0.3 0.5 0.1 
Other non -electrical machinery  2.1 2.0 2.4 2.4 2.4 1.4 0.7 
Agricultural machinery and 
tractors  0.1 0.1 0.1 0.1 0.2 0.0 0.0 
Office machines and 
telecommunication equipment  6.4 6.6 2.3 0.7 1.5 1.0 0.4 
Other electrical machines  0.4 0.4 0.2 0.2 0.2 0.4 0.3 
Automotive products  2.5 2.8 2.6 1.6 1.6 1.5 1.0 
Other transport equipment  0.7 0.9 1.8 1.9 1.6 2.0 1.8 
Textiles  0.7 0.8 0.5 0.4 0.4 0.5 0.5 WT/TPR/S/384 • Uganda  
 
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2011  2012  2013  2014  2015  2016  2017  
Clothing  0.2 0.1 0.2 0.1 0.2 0.2 0.2 
Other consumer goods  2.3 2.3 2.7 3.0 2.8 2.0 1.7 
Other  0.4 5.8 1.6 1.7 3.8 21.5 14.4 
9710 - Gold, non -monetary  0.3 0.4 0.1 0.0 1.6 13.7 14.4 
Source:  WTO Secretariat's calculations, based on the UNSD Comtrade database (SITC Rev.3).  WT/TPR/S/384 • Uganda  
 
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  Table A1. 2 Merchandise imports by group of products, 2011 -17 
  2011  2012  2013  2014  2015  2016  2017  
Total imports ( USD millions)  5,630.9  6,044.1  5,817.5  6,073.5  5,528.1  4,829.5  5,595.9   
% of total  
Total primary products  39.1 35.6 37.0 40.4 34.1 33.5 36.8 
Agriculture  14.5 11.9 12.8 15.1 13.8 15.3 16.7 
Food 13.5 10.8 11.5 13.6 12.1 13.3 14.9 
4222 - Palm oil and its 
fractions  4.0 3.8 3.6 4.1 3.5 4.5 4.6 
0412 - Other wheat 
(including spelt) and meslin, 
unmilled  2.8 0.3 1.1 2.7 2.2 2.6 2.6 
0612 - Other beet or cane 
sugar and chemically pure 
sucrose  1.8 2.1 2.0 1.3 1.4 1.3 1.8 
0422 - Rice, husked but not 
further prepared  0.0 0.0 0.0 0.0 0.1 0.2 0.8 
Agricultural raw material  1.1 1.1 1.4 1.5 1.7 2.0 1.7 
2690 - Worn clothing and 
other worn textile articles; 
rags 0.8 0.9 1.1 1.2 1.2 1.5 1.2 
Mining  24.5 23.7 24.1 25.3 20.2 18.2 20.2 
Ores and other minerals  0.7 0.6 0.6 0.9 1.0 1.2 1.1 
Non-ferrous metals  0.5 0.5 0.5 0.6 0.6 0.5 0.6 
Fuels 23.4 22.6 23.0 23.7 18.6 16.4 18.5 
334 - Petroleum oils and oils 
obtained from bituminous 
minerals (other than crude)  22.3 21.7 22.0 22.9 17.7 15.6 17.8 
Manufactures  60.8 60.4 61.3 59.6 65.9 66.4 63.2 
Iron and steel 4.8 4.1 4.5 4.2 5.0 4.3 5.0 
Chemicals  12.9 13.1 15.8 15.4 18.4 18.7 17.0 
5429 - Medicaments, n.e.s.  3.0 3.2 4.8 4.6 5.3 4.7 3.8 
5711 - Polyethylene  0.9 1.0 1.0 1.1 1.0 1.3 1.3 
5514 - Mixtures of 
odoriferous substances and 
mixtures  0.6 0.6 0.7 0.8 0.9 0.9 1.0 
5743 - Polycarbonates, alkyd 
resins and other polyesters  0.5 0.4 0.4 0.4 0.5 0.5 0.7 
Other semi -manufactures  7.8 7.1 7.8 8.1 7.8 9.3 8.0 
6612 - Portland cement, 
aluminous cement, slag 
cement, supersulphate 
cement  1.9 1.8 1.5 1.6 1.7 1.6 1.4 
Machinery and transport 
equipment  28.2 29.4 24.2 24.1 27.0 24.3 24.5 
Power generating machines  1.0 1.3 0.5 0.6 0.9 1.0 0.6 
Other non -electrical 
machinery  7.0 9.7 6.3 6.5 7.7 6.5 8.6 
7283 - Machinery for sorting, 
separating earth, stone, ores 
or other mineral substances  0.5 0.3 0.5 0.5 0.7 0.3 1.0 
7232 - Mechanical shovels, 
excavators and shovel -
loaders, self -propelled  0.6 0.7 0.4 0.6 0.8 0.5 1.0 
7231 - Bulldozers, 
angledozers, graders and 
levellers, self -propelled  0.4 1.3 0.1 0.3 0.4 0.2 0.9 
7284 - Machinery and 
mechanical appliances  0.3 0.8 0.4 0.6 0.6 0.4 0.8 
Agricultural machinery and 
tractors  0.5 0.5 0.5 0.7 0.6 0.5 0.5 
Office machines and 
telecommunication equipment  7.9 6.8 5.4 4.3 5.3 4.3 4.2 
Other electrical machines  2.2 2.1 2.1 2.8 2.6 2.8 2.2 WT/TPR/S/384 • Uganda  
 
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    2011  2012  2013  2014  2015  2016  2017  
Automotive products  7.2 7.2 7.2 7.2 7.8 6.8 6.5 
7821 - Motor vehicles for the 
transport of goods  2.3 2.4 1.9 2.2 2.9 2.4 2.6 
7812 - Motor vehicles for the 
transport of persons, n.e.s.  3.6 3.5 3.6 3.6 3.3 2.8 2.6 
Other transport equipment  2.9 2.2 2.6 2.6 2.6 3.0 2.4 
7851 - Motor cycles and 
cycles fitted with an auxiliary 
motor  1.1 0.8 1.1 1.0 0.9 1.0 1.0 
Textiles  1.3 1.3 1.9 1.8 1.7 2.6 2.1 
Clothing  0.9 0.8 0.8 0.8 0.7 0.9 0.9 
Other consumer goods  5.0 4.6 6.3 5.4 5.3 6.4 5.7 
8722 - Instruments  and 
appliances used in medical, 
surgical or veterinary 
sciences  0.6 0.7 1.1 0.8 0.6 0.7 0.8 
8513 - Footwear, n.e.s., with 
outer soles and uppers of 
rubber or plastics  0.3 0.4 0.5 0.7 0.4 0.6 0.8 
Other  0.2 3.9 1.8 0.0 0.0 0.1 0.0 
Source:  WTO Secretariat's calculations, based on the UNSD Comtrade database (SITC Rev.3).  
 WT/TPR/S/384 • Uganda  
 
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  Table A1. 3 Merchandise exports by destination, including re -exports 2011 -17  
 
2011  2012  2013  2014  2015  2016  2017  
Total exports ( USD million)  2,159.1 2,357. 5 2,407. 7 2,262.0 2,267.0 2,482.3 2,901.5  
% of total exports  
Americas  1.9 1.2 2.0 2.3 1.9 2.1 2.9 
United States  1.6 1.0 1.5 1.8 1.5 1.6 2.6 
Other America  0.3 0.2 0.5 0.6 0.5 0.5 0.3 
Europe  27.7 22.8 25.0 23.9 21.3 19.4 20.8 
EU (28) 22.0 17.5 18.1 21.2 19.5 17.4 19.8 
Italy 2.7 2.0 2.4 4.4 4.5 4.0 4.9 
Belgium  3.0 2.0 2.5 4.0 3.0 2.7 3.8 
Netherlands  4.5 4.1 4.3 4.0 3.4 3.2 3.8 
Germany  4.1 3.0 3.4 3.3 3.4 3.1 3.0 
Spain  2.2 1.4 1.3 1.6 1.6 1.4 1.3 
Portugal  0.7 0.5 0.3 0.4 0.5 0.6 0.7 
EFTA 5.5 5.3 6.6 2.6 1.7 1.4 0.6 
Other Europe  0.1 0.1 0.3 0.2 0.0 0.6 0.4 
Commonwealth of Independent 
States (CIS)  0.5 0.4 0.7 0.4 0.4 0.6 0.6 
Africa  49.4 55.2 56.7 55.5 58.0 50.2 51.8 
Kenya  10.5 10.8 13.1 13.1 18.8 16.3 19.0 
South Sudan  0.0 0.8 7.3 12.4 11.7 9.7 10.3 
Democratic Republic of the 
Congo  8.4 10.2 11.1 8.0 6.7 7.1 6.5 
Rwanda  9.0 9.6 9.0 10.8 10.5 7.8 6.3 
Sudan  15.2 17.2 9.9 4.6 3.9 2.5 2.7 
Tanzania  2.0 2.3 2.0 2.5 2.7 2.8 1.7 
Burundi  1.9 2.0 2.0 1.9 2.0 1.8 1.5 
Morocco  0.1 0.0 0.3 0.3 0.2 0.2 0.8 
Algeria  0.1 0.0 0.0 0.1 0.0 0.1 0.8 
Middle East  7.4 8.1 4.2 2.5 4.8 15.7 16.5 
United Arab Emirates  6.6 7.5 3.4 1.5 3.6 15.0 15.3 
Asia 8.2 6.5 5.9 8.9 8.1 7.4 7.4 
China  1.2 1.2 1.6 2.9 2.5 1.1 1.0 
Japan  0.2 0.2 0.2 0.3 0.6 0.3 0.7 
Other Asia  6.8 5.0 4.1 5.7 4.9 6.0 5.7 
India 0.9 0.6 0.6 1.2 1.1 1.8 1.5 
Hong Kong, China  1.5 1.2 1.1 1.6 1.6 1.6 1.4 
Singapore  3.3 2.3 1.5 1.4 0.7 0.6 0.8 
Indonesia  0.0 0.0 0.0 0.1 0.1 0.4 0.6 
Other  4.8 5.8 5.5 6.4 5.5 4.6 0.0 
Memo:         
EACa 23.3 24.6 26.1 28.4 34.0 28.7 28.5 
a Including all EAC WTO Members . 
Source:  WTO Secretariat's calculations, based on the UNSD Comtrade database (SITC Rev.3).  
  WT/TPR/S/384 • Uganda  
 
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  Table A1. 4 Merchandise imports by origin, 2011 -17 
  2011  2012  2013  2014  2015  2016  2017  
Total imports ( USD million)  5,630.9  6,044.1  5,817.5  6,073.5  5,528.1  4,829.5  5,595.9   
% of total  
Americas  4.8 4.0 3.5 2.2 2.4 2.6 3.3 
United States  3.0 1.6 2.1 1.5 1.6 1.6 1.5 
Other America  1.8 2.4 1.4 0.7 0.8 1.0 1.8 
Argentina  0.2 1.0 0.0 0.0 0.1 0.1 0.6 
Brazil  0.8 0.9 0.6 0.2 0.2 0.4 0.6 
Europe  14.1 11.9 12.6 11.3 12.4 12.6 10.7 
EU (28) 12.7 10.8 11.8 10.4 11.5 11.5 9.5 
Germany  2.0 2.1 1.9 1.9 2.0 2.2 2.0 
United Kingdom  2.3 2.1 1.8 1.6 1.5 1.5 1.3 
Netherlands  1.8 1.0 1.9 1.0 1.6 1.2 1.2 
Belgium  0.8 0.8 1.3 1.1 0.6 1.2 1.0 
Italy 0.8 0.9 0.7 0.6 0.6 0.8 0.9 
EFTA 0.5 0.4 0.4 0.5 0.5 0.6 0.7 
Other Europe  1.0 0.7 0.5 0.4 0.4 0.5 0.5 
Commonwealth of I ndependent 
States (CIS)  1.0 2.0 1.6 2.1 1.8 1.4 1.7 
Russian Federation  0.8 1.4 0.9 1.2 1.5 1.2 1.2 
Africa  19.4 18.3 16.6 17.7 18.3 17.6 16.9 
Kenya  11.4 9.8 9.7 9.8 10.0 9.5 8.2 
South Africa  4.7 4.9 4.3 4.3 4.6 4.4 4.4 
Tanzania  0.7 0.8 0.8 1.2 1.1 1.2 1.6 
Egypt  0.8 1.0 0.9 1.1 1.2 1.1 1.3 
Middle East  14.9 15.3 10.3 11.9 12.6 15.3 19.5 
United Arab Emirates  6.6 7.5 6.7 6.6 7.3 8.6 11.8 
Saudi Arabia, Kingdom of  3.9 4.9 1.8 2.9 4.0 5.2 6.6 
Asia 45.7 48.5 55.4 54.8 52.5 50.5 47.8 
China  9.3 11.3 10.7 12.2 15.8 18.4 17.6 
Japan  5.7 5.4 5.7 5.8 6.3 5.1 6.6 
Other Asia  30.7 31.8 39.0 36.8 30.4 27.1 23.6 
India 16.5 20.9 26.8 24.5 20.9 17.3 13.2 
Indonesia  4.0 3.9 2.9 3.7 3.7 3.9 4.3 
Pakistan  1.2 0.9 1.2 1.5 1.1 1.0 1.5 
Malaysia  0.7 0.8 1.1 1.4 0.5 1.0 1.1 
Thailand  1.1 1.1 1.4 1.1 0.8 0.8 1.0 
Korea, Republic of  2.7 0.8 0.7 1.3 0.8 0.7 0.7 
Other  0.0 0.0 0.0 0.0 0.0 0.0 0.0 
Memo:         
EACa 12.3 10.7 10.6 11.3 11.4 11.0 10.0 
a Including all EAC WTO Members . 
Source:  WTO Secretariat's calculations, based on the UNSD Comtrade database (SITC Rev.3).  
 WT/TPR/S/384 • Uganda  
 
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  Table A2. 1 Status of WTO notifications, July 2018  
Agreement  Description  Frequency  WTO document  
Agreement on Agriculture  
Art. 10 and 18.2 – ES:1 Export subsidies  On an annual basis  Last notification in 2005 
Art. 18.2 – DS:1 Domestic support  On an annual basis  Last notification in 2005 
Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 
(anti -dumping)  
Art. 16.4  Anti-dumping actions 
(taken within the 
preceding 6 months)  On a semi -annual 
basis  Last notification in 2005 
Art. 16.5  Competent authorities  Ad hoc  G/ADP/N/14/Add.5;  
G/SCM/N/18/Add.5, 09/10/1997  
Art. 18.5  Legal texts and 
changes thereto  Ad hoc  G/ADP/N/1/UGA /2; 
G/SCM/N/1/UGA/2, 20/09/1996  
G/ADP/N/1/UGA/1; 
G/SCM/N/1/UGA/1, 04/10/1995  
Art. 25.12  Authorities and 
procedures  Once  G/ADP/N/14/Add.5; 
G/SCM/N/18/Add.5, 09/10/1997  
Art. 32.6  Laws/regulations (and 
changes thereto, 
including changes in 
the administration of 
such laws)  Once; ad hoc   G/ADP/N/1/UGA/2; 
G/SCM/N/1/UGA/2, 20/09/1996  
Agreement on Subsidies and Countervailing Measures  
Article 25.11 and Article 25.12  Competent authorities  Ad hoc  G/SCM/N/202/UGA, 07/12/2015  
Art. 16.5  Competent authorities  Ad hoc  G/ADP/N/14/Add.5;  
G/SCM/N/18/Add.5, 09/10/1997  
Article 18.5  Legal texts and 
changes thereto  Ad hoc  G/ADP/N/1/UGA/2; 
G/SCM/N/1/UGA/2, 20/09/1996  
Article 25.11  Countervailing duty 
actions (taken within 
the preceding 6 
months)  Semi-annual  Last notification in 2005 
Article 32.6  Legal texts and 
changes thereto  Ad hoc  G/ADP/N/1/UGA/2; 
G/SCM/N/1/UGA/2, 20/09/1996  
Customs valuation  
GATT 1994 Article VII – Article 
20.1 and 22.1  Implementation/non -
implementation 
(deferred application of 
CV Agreement)  Once  G/Let/108, 23/09/1996  
GATT 1994 Article VII – Article 
22.2 Changes in laws/ 
relevant regulations 
(first notification by 
Members who were not 
Tokyo Round 
signatories: full text of 
laws and relevant 
regulations)  Ad hoc  G/VAL/N/1/UGA/1, 07/10/2005  
Agreement on Import Licensing Procedures  
Article 1.4(a)  Publications  Once - ad hoc  for 
changes thereafter  G/LIC/N/3/UGA/1, 25/06/1997  
Article 7.3  Replies to 
Questionnaire on 
Import Licensing 
Procedures  Annual, by 30 
September  Last notification in 2005 
Article 8.2(b)  Changes in laws/ 
regulations and 
administrative 
procedures ( first 
notification:  full text of 
relevant legislation)  Once - ad hoc  for 
changes thereafter  G/LIC/N/1/UGA/1, 03/10/1996  
Intellectual property  
Article 63.2 Laws/regulations made 
effective by the 
notifying Member; 
amendment of a law/ 
regulation  Once  IP/N/1/UGA/2, 27/11/2000  
Article 69  Specification of contact 
points; changes to the 
information on 
specified contact 
points  Once  IP/N/3, 14/02/1996  WT/TPR/S/384 • Uganda  
 
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  Agreement  Description  Frequency  WTO document  
Investment measures  
Article 5.1  TRIMs  introduced 180 
days or more before 
the date of entry into 
force of the WTO 
Agreement which are 
inconsistent with the 
provisions of Article III 
or Article XI of GATT 
1994 and not justified 
under exceptions to 
GATT 1994  Once  G/TRIMS/N/1/UGA/1, 07/07/1997  
Article 6.2  Lists of publications in 
which investment 
measures related to 
goods may be found  Once  G/TRIMS/N/2/Rev.1, 28/07/1997  
Pre-shipment inspection  
Article 5  Changes in laws/ 
regulations  Ad hoc  G/PSI/N/1/Add.4/Corr.1, 
14/10/1996  
G/PSI/N/1/Add.4, 09/10/1996  
Quantitative restrictions  
(G/L/59)  Quantitative 
restrictions (changes 
thereto)  Ad hoc  G/MA/NTM/QR/1/Add.10, 
28/03/2006  
G/MA/NTM/QR/1, 01/03/1996  
Rules of origin  
Article 5 and Annex II, 
paragraph 4  Changes in laws/ 
regulations (changes in 
preferential and non -
preferential rules of 
origin; new 
preferential rules of 
origin)  Ad hoc  G/RO/N/13, 19/11/1996  
Safeguards  
Article 12.6  Laws/regulations and 
administrative 
arrangements (and 
changes thereto), or 
absence thereof  Once; ad hoc   G/SG/N/1/ UGA/1, 20/09/1996  
Agreement on the Application of Sanitary and Phytosanitary Measures  
Article 7, Annex B  Sanitary/phytosanitary 
regulations  Ad hoc  G/SPS/N/UGA/29, 16/08/2018  
State trading  
GATT 1994 Article XVII:4(a)  State trading activities  Annual (triennial 
full notification and 
annual changes)  Last notification in 2005 
Subsidies  
GATT 1994 Article VI Article 
18.5 Laws/regulations (and 
changes thereto, 
including changes in 
the administration of 
such laws)  Once; ad hoc   G/ADP/N/1/UGA/2; 
G/SCM/N/1/ UGA/2, 20/09/1996  
Article 25.1 – Article XVI:1  Subsidies (any subsidy 
as defined in ASCM 1:1 
which is specific within 
the meaning of ASCM 
2) Annual (triennial 
full notification and 
annual changes)  Last notification in 2005 
Article 32.6  Legal texts and 
changes thereto  Ad hoc  G/ADP/N/1/UGA/2; 
G/SCM/N/1/UGA/2, 20/09/1996  
Agreement on Technical Barriers to Trade  
Annex 3C  Acceptance 
of/withdrawal from a 
code  Once G/TBT/CS/N/81, 06/10/1997  
Article 10.7  Bilateral and 
multilateral 
agreements; 
conformity assessment 
procedures; standards; 
technical regulations  Ad hoc  G/TBT/10.7/N/19, 27/01/1999  
Article 15.2  Administrative 
arrangements; laws/ 
regulations  Once  G/TBT/2/Add.23/suppl.1, 
12/04/2006  
Article 2.9  Technical regulations  Ad hoc  G/TBT/N/UGA/909, 16/08/2018  WT/TPR/S/384 • Uganda  
 
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  Agreement  Description  Frequency  WTO document  
Article 2.9 and 5.6  Technical regulations  Ad hoc  G/TBT/N/UGA/913, 20/08/2018  
Article 3.2  Technical regulations 
(local government)  Ad hoc  G/TBT/N/UGA/564, 10/08/2016  
G/TBT/N/UGA/606, 16/02/2017  
Article 5.6  Conformity assessment 
procedures  Ad hoc  G/TBT/N/UGA/910, 16/08/2018  
Agreement on Trade Facilitation (WT/L/911 superseded by WT/L/931)  
Article 15  Commitments 
designated under 
Category A  Once  WT/PCTF/N/UGA/1, 07/08/2015  
Trade in services  
GATS article III:4 and/or IV:2  Enquiry/contact points  Once  S/ENQ/21/Rev.1, 03/02/1998  
Trade preferences  
Enabling clause – RTA Enabling clause – EAC Ad hoc  WT/COMTD/N/14, 11/10/2000  
Source:  WTO Secretariat . WT/TPR/S/384 • Uganda  
 
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  Table A3. 1 Excise duty rates, 2011, 2014, 2016, and 2018  
Duty Rate 
2011  2014  2016  2018 
Tobacco  
Extracts, essences and 
concentrates  10% 10% 10% 10% 
Cigars, cheroots, and 
cigarillos containing 
tobacco  160%  160%  200%  200%  
Soft cup (whose local 
content is more than 70% 
of its constituents)  UGX 22,000  UGX 35,000 / 
1,000 pieces  UGX 50,000 / 
1,000 pieces  UGX 55,000/  1,000 
pieces  
(locally 
manufactured)  
UGX 75,000/  1,000 
pieces  
(imported)  
Other soft cup  UGX 25,000/  
1,000 pieces  UGX 25,000/  
1,000 pieces  UGX 25,000/  
1,000 pieces  UGX 25,000/  1,000 
pieces  
Hinge lid  UGX 55,000/  
1,000 pieces  UGX 69,000 / 
1,000 pieces  UGX 80,000 / 
1,000 pieces  UGX 80,000 / 1,000 
pieces  
(locally 
manufactured)  
UGX 1,00,000 / 
1,000 pieces  
(imported)  
Other  160%  160%  200%  200%  
Smoking tobacco, whether 
or not containing tobacco 
substitutes in any 
proportion  160%  160%  200%  200%  
Homogenized or 
reconstituted tobacco  160%  160%  200%  200%  
Other  160%  160%  160%  160%  
Beverages  
Beer     
Made from malt  60% 60% 60% 60% 
or UGX 1,860 /l, 
whichever is higher  
Beer produced from barley 
grown and malted in 
Uganda  40% 40% 30% 30% 
or UGX 950/l, 
whichever is higher  
Whose local raw -material 
content, excluding water, 
is at least 75% by weight 
of its constituents  20% 20% 20% 30% 
or UGX 650/l, 
whichever is higher  
UGX 700 
Spirits      
Made from locally 
produced raw materials  45% 60% 60% 60% 
Undenatured spirits  n.a. 140%  
Or UGX 4,000 /l, 
whichever is 
higher  .. 100%  
or UGX 2,500 /l, 
whichever is higher  
Other  70% 70% 80% 80% 
Wine      
Made from locally 
produced raw materials  n.a. 20% 20% 20% 
Other wines  n.a. 70% 70% 70% WT/TPR/S/384 • Uganda  
 
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  Duty Rate 
2011  2014  2016  2018 
Water, including mineral 
waters and aerated 
waters, containing 
sweetening matter or 
flavoured , or non-alcoholic 
beverages, excluding 
natural fruit juice drinks 
and/or vegetable juice 
drinks , containing not less 
than 10% by mass of 
standardized fruit and/or 
vegetable juice  13% 13% 13% 13% 
or UGX 300/l, 
whichever is higher  
Fuel 
Motor spirit (gasoline)  UGX 850/l UGX 950/l UGX 1,100 /l .. 
Gas oil (automotive, light, 
and amber for high speed 
engine s) UGX 530/l UGX 630/l UGX 780/l .. 
Illuminating kerosene  n.a. UGX 200/l UGX 200/l UGX 200/l 
Jet A1 and aviation fuel  n.a. UGX 630/l UGX 630/l UGX 630/l 
Motor vehicle lubricants  n.a. 10% 10% 10% 
Other gas oils  UGX 530/l UGX 630/l UGX 630/l UGX 630/l 
Inputs  
Cane or beet sugar and 
chemically pure sucrose in 
solid form  UGX 25/kg  UGX 50/kg  UGX 100/kg UGX 100/kg 
Cane or beet sugar for 
industrial use  n.a. 0% .. UGX 50/kg 
Sugar confectioneries 
(chewing gum, sweets and 
chocolates)  n.a. 20% 20% 20% 
Sacks and bags of 
polymers of ethylene and 
other plastics falling under 
tariff heading s 3923.21.00 
and 3923.29.00 , except 
vacuum packaging bags 
for food, juices, tea and 
coffee  120%  120%  120%  120%  
Cosmetics and perfumes  n.a. 10% 10% 10% 
Cement  n.a. UGX 500/50 kg  UGX 500/50 kg  UGX 500/50 kg  
Plastic packaging materials  .. .. .. 120%  
Furniture manufactured in 
Uganda using local 
materials but excluding 
furniture which is 
assembled in Uganda  n.a. Nil Nil Nil 
Other furniture  n.a. .. 10% 20% 
Telecommunication services  
Value -added services  n.a. 20% 20% 20% 
Incoming international call 
services  n.a. USD 0.09/ minute  USD 0.09/ minute  USD 0.09/ minute  
Airtime  12% 12% 12% 12% 
Landlines and public 
payphones  5% 5% 5% 5% WT/TPR/S/384 • Uganda  
 
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  Duty Rate 
2011  2014  2016  2018 
Money transfer or 
withdrawal  services , 
including transfers and 
withdraw al services by 
operators licensed or 
permitted to provide 
communications or money 
transfer or withdrawal but 
not including transfer and 
withdraw al services 
provided by banks  n.a. 10% 10% 10% 
Ledger fees, ATM fees, 
withdrawal fees and 
periodic charges , and 
other transaction and non -
transaction charges 
excluding loan -related 
charges periodically 
charged by financial 
institutions  n.a. 10% 10% 10% 
Over the top services  n.a. n.a. n.a. UGX 200/day  
.. Not available.  
n.a. Not applicable . 
Source:  Information provided by the authorities .  
__________