National

Museveni commissions sh12bn Tannery Factory in Luwero District

The factory processes leather from hides and skins and Uganda is among the top four exporters of hides and skins from Africa, but barely earns US 50 million dollars from the process.

President Museveni (with hat) commissions the factory in Kawumu, Luwero

LLUWERO, UGANDA: President Museveni has commissioned Kawumu Tannery Uganda, a factory that adds value to animal hides and skins located at Kawumu, in Luwero District.

The factory processes leather from hides and skins and Uganda is among the top four exporters of hides and skins from Africa, but barely earns US 50 million dollars from the process.

Speaking during the launch, Mr Museveni said for years, he has been having a war with exportation of raw materials and importation of finished goods, citing it as one of the reasons he decided to set up a tannery factory in Kawumu.

“The previous governments were used to importing everything. That’s the problem with Africans. They even import dead people’s hair. Even that takes our money,” Museveni complained.

Museveni said that it was not proper for Uganda to import leather or papers.

“When we came to Kampala, the milk which was consumed was from Denmark. I was like why don’t we use the Balaalo to get us milk from cows and we make products out it. That’s how we stopped milk importation. We also started manufacturing beer and soda from here. The war we have been fighting of late is importation.” President Museveni lamented.

President Museveni added that soon he will be declaring a battle on paper importation because the importation is that those products are costly.

President Museveni said that after adding value to hides and skins they get from from Uganda, the Europeans would export leather at a higher price which will be no more.

He also said that the new tannery factory will provide employment opportunities which is about wealth and job creation.

“Development is for us all, fighting poverty starts within our families and I want development to move along with wealth creation. Listen to what NRM is preaching. I’m not a man of propaganda, I want you to fight poverty and create wealth. If you can’t create wealth, you can’t create jobs,” the President asserted.

He disclosed that Kawumu Presidential Demonstration farm, employs 27 people and wondered if Uganda had more 1,000 farms like that, the jobs they would create.

Speaking at the same event, the Prime Minister Rt Hon Robinah Nabbanja appreciated President Museveni for being an experienced and exemplary leader who loves and cares for Ugandans, the reason he is focused on promoting socio-economic transformation of Uganda through industrialization.

“I laugh at those who don’t support Mzee Museveni, because there are a few people who have his experience. He has developed Uganda because of his experience and exceptional leadership skills,” Hon Nabbanja said.

The Minister of State for Trade, Industry and Cooperatives, Hon David Bahati said a few years ago President Museveni promised to solve the issue of leather and now he has done it.

“This factory is an important step in solving the problem of leather especially for the Small Scale enterprises that have been suffering to import it. We want to thank you, Your Excellency for your visionary leadership and we want to thank the State House Comptroller for executing the project,” Hon. Bahati said.

“The progress we are making in this country as far as industrialization is concerned is very huge. All this would not be possible if it was not for your good leadership. We are now able to use our own resources to solve our problems.”

On the issue of import substitution and export promotion, Hon Bahati explained that Uganda should protect its local companies by putting more taxes on imported goods.

The State House Comptroller, MsJane Barekye disclosed that the whole Kawumu Tannery Uganda project which seats on 10 acres of land construction was started in 2020 and cost Ugx 12 billion upon completion.

Ms Barekye thanked the President for envisioning and supporting industrialization in Uganda especially through projects like Kawumu Tannery Uganda and stated that the East African Community to which Uganda can sell its leather products free of duties has an annual demand of some US 600 million dollars.

“We are now ready to tap into that big market,” she assured.

Ms Barekye also revealed that, through Kawumu Tannery Uganda, the government has managed to fulfill the objective of industrializing Uganda saying that the government has succeeded in adding value to animal hides and skins because 1 kg of hides goes for 50 cents when value is added it generates US 2 dollars and added that they are in final plans to construct a shoemaking factory that will be using leather from the Tannery.

“In two months’ time we have employed 90 workers and 50 of them are permanent workers. In three months to come we shall be producing 10 tons of leather per day that means we are going to double the number of employees. And both factories shall employ over 1,000 workers” she said.

Ms Barekye disclosed that the leather from Kawumu Tannery Uganda can be used to make shoes, belts, handbags, carpets, wallets among other products.



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