UGANDA

Background, Economical and political

aspects...
Capital: Kampala
Currency: Ugandan shilling
President: Yoweri Museveni
Type of government: Presidential republic
Population: 35.6 million (UN, 2012)
Official languages: English, Swahili
Area: 241,038 sq km
Major religions: Christianity, Islam
Life expectancy: 54 years (men), 55 years (women) (UN)
GDP per capita: 615.31 USD (2016)
Expected GDP growth: GDP growth expected to reach 5%
Economic Trivia:Uganda maintained a 7% economic
growth during the economic downturn.
Top Industries: Sugar; Brewing; Tobacco; Cotton Textiles
 Trade policy overview...
Main imports: Refined petroleum, Packaged Medicaments, Telephones, Palm Oil and Cars
Main exports: Coffee, fish and fish products, tea; tobacco, cotton, corn, beans, sesame
Trade agreements: Customs Union
U.S. signed Trade and Investment Framework Agreements (TIFA) 2001
Free Trade Agreement, 06/03/1991
UK Trade (Goods Only) agreement with Uganda 2004
China signed six agreements with Uganda on June 23 June 2006
Trade agreement between the government of India and the governmentof
Uganda signed on 18 November 1965
Uganda has been concluding bilateral trade and investment deals with
both developing and developed countries.
Analysis of Largest commodity exported by Uganda(Coffee)

 Intro: Sadly Uganda still belongs among the least developed countries despite the
vast natural resources it has.
 Sources of commodity: Coffee is Uganda's top-earning export crop. Some coffee
farmers cultivated cocoa trees on land already producing Robusta coffee. Robusta
coffee grows natively in the Kampala forest area
 Advantage enjoyed by the chosen country : In terms of volume, Uganda
contributed to the global coffee exports market in the month ending January 18 a
total of 401,930 (60kilogramme) bags.This helps in increasing the revenue through
exports
Analysis of Largest commodity exported by Uganda(Coffee)
 Impact on economy: The year ending September 17, Uganda exported a total of
4.6 million kilogramme bags of coffee, up from 3.3 million bags it exported last
year,” UCDA records showed.
 From these exports, the country earned $545 million (Shs1.9 trillion), up from $326
million (Shs1.1 trillion) earned last year. What this performances means to the
farmers is that they will even become more organised as more money comes into
their pockets.
 Major Trading partners: Kenya 12.3%, Rwanda 10.3% ,UAE10.2%, DR
Congo 9.4% ,Netherlands 6.1% ,Germany 5.6% ,Italy 4.4%
 Recent issues with exports: Low prices of the commodity have negatively impacted
economic growth in the nation. The decline in overseas revenue caused by coffee
exports has hurt government earnings in the past few years.
 Solution: Even after challenging circumstances and depressed coffee prices,
Uganda’s economic growth has picked up over the past two quarters. A significant
reason for this is the Bank of Uganda easing monetary policy.
 There is need to increase export volumes of coffee, tea and cotton by supporting
farmers and exporters of these items.
Analysis of Largest commodity imported by Uganda(Oil and
Mineral fuel)
 Intro: As of 2016 Uganda had a negative trade balance of $5.55B in net imports. As
compared to their trade balance in 1995 when they still had a negative trade balance of
$307M in net imports.
 Importance of commodity: Large deposits of minerals provide sound base for the economic
development. Mineral wealth not only propels economic growth, but it also translates into
larger improvements in human development in these same mineral-rich countries, more so than
in similar non-mining countries.
 Impact on economy: As of 2016 Uganda had a negative trade balance of $5.55B in net
imports. As compared to their trade balance in 1995 when they still had a negative trade
balance of $307M in net imports.
Analysis...
•Advantage to Uganda: There is no particular advantage to Uganda for exporting
mineral oils but because it had not discovered its mineral oils reserves so It was importing
it but now Uganda will start producing mineral oil on its own.
•Major trading partners: Kenya 15.6%, UAE 15.4%, China 12.8% ,India 11.7% ,South
Africa 4.1% ,Japan 4%
•Issue with imports: As of 2016 Uganda had a negative trade balance of $5.55B in net
imports.
•Solution:Despite the slump in global oil prices, the start of commercial oil production in
Uganda in 2018 offers long-term prospects to diversity the country’s economy and
catapult it to upper middle income status by 2040.