OP-ED

Agriculture: The Base for Uganda’s Economy

By Waiswa Michael Baluye

Agriculture plays a pivotal role in Uganda’s economy, contributing significantly to its GDP, employment, and the livelihood of millions of its citizens. It is the backbone of the Ugandan economy, employing approximately 72% of the population and contributing about 32% to the country’s Gross Domestic Product (GDP).

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Despite its central role, Uganda’s agricultural sector faces various challenges, including vulnerability to weather conditions and the continued reliance on traditional farming methods. However, with substantial efforts to modernize and commercialize the sector, Uganda has an opportunity to strengthen its position as a leading agricultural producer in Africa and ensure long-term sustainability and growth.

Uganda’s climate and geographical conditions make it conducive to a diverse range of agricultural activities. The country is a major producer of cash crops like coffee, which is one of the top foreign exchange earners, as well as bananas, and oil seed crops such as sesame, soybean, and sunflower. Additionally, Uganda’s fertile land supports the cultivation of various other crops, including tea, cotton, tobacco, cereals, vegetables, nuts, and essential oils. The country is also known for its thriving poultry industry, freshwater fish farming, and organic farming practices.

Despite its agricultural potential, the sector is hampered by a number of key challenges that limit productivity. One of the most significant factors is Uganda’s reliance on natural weather patterns, which can be unpredictable. Farmers often face difficulties related to droughts, floods, or irregular rainfall, leading to crop failure and instability in food production. Another major challenge is the widespread use of traditional farming methods and tools, which are less efficient and yield lower returns compared to modern, mechanized farming practices.

Additionally, smallholder farming remains the predominant mode of agricultural production in Uganda. Small-scale farmers often lack access to modern agricultural inputs, technology, and financial resources, limiting their ability to improve productivity and increase output. These barriers hinder the growth of the sector and reduce the potential for Uganda to realize its full agricultural potential.

To address these challenges, the Ugandan government should taken several steps to modernize and commercialize the agricultural sector. Key policy initiatives focus on promoting mechanization, improving irrigation infrastructure, and encouraging the use of modern farming techniques. This drive for commercialization has created new opportunities for investment in various areas, including commercial farming in both crop and animal industries, aquaculture, agro-industries, and manufacturing of agricultural inputs such as seeds, fertilizers, and pesticides. Furthermore, there are significant opportunities in areas like cold storage facilities, logistics, farm machinery manufacturing, packaging, and irrigation systems.

Governments should have a vested interest in supporting agricultural development for several reasons. Agriculture is not only the foundation of food security but also a key driver of economic development, job creation, and environmental sustainability. Ensuring an adequate supply of affordable, nutritious food is essential for both domestic consumption and global markets. With the world’s population growing rapidly, agricultural production must keep pace to meet food demand. Investments in agriculture are crucial to guarantee sufficient food availability, especially as climate change and other factors put additional pressure on food systems.

Agriculture also serves as a catalyst for broader economic development. By modernizing agricultural production, Uganda can enhance its agricultural exports, diversify its economy, and reduce dependency on aid. A well-developed agricultural sector also supports the growth of related industries, including transport, processing, and retail.

Agriculture is the largest employer in Uganda, and its growth has the potential to create millions of jobs. From farm workers to agricultural engineers, technicians, and marketers, agriculture supports a vast network of livelihoods. Government initiatives that promote job creation in agriculture will help reduce poverty and improve living standards, especially in rural areas.

Sustainable agricultural practices are vital to preserving Uganda’s natural resources for future generations. Investments in climate-smart agriculture, soil fertility management, and water conservation techniques are necessary to reduce environmental degradation and ensure long-term productivity. Additionally, agriculture directly impacts public health by improving access to nutritious food. Increased production and diversity in food crops can lower food prices, enhance food security, and improve overall nutrition. Moreover, higher agricultural incomes can help rural populations access better healthcare services.

To fully unlock the potential of the agricultural sector, the government must make strategic investments in several areas. Public investment in agricultural research and development can lead to the development of new crop varieties, pest-resistant strains, and more efficient farming methods. Research is key to enhancing productivity and ensuring food security in the face of climate challenges.

Public investment in irrigation systems will be instrumental in reducing Uganda’s dependency on rain-fed agriculture. Efficient irrigation techniques can allow farmers to grow crops year-round and increase overall yields.

Government-funded extension programs can help farmers access the latest information on best practices, pest management, and crop rotation techniques. By offering hands-on support, these services can help improve farm productivity and incomes. Weather-related disasters, such as droughts or floods, often devastate farmers’ livelihoods.

Agricultural insurance schemes can mitigate these risks, providing farmers with financial protection and access to credit for further investment. Farmer education programs, combined with easy access to agricultural information, will empower farmers to make informed decisions. Educating farmers on modern techniques, pest control, and sustainable farming practices will help improve productivity.

Government interventions to stabilize prices, provide income guarantees, or offer subsidies for inputs like fertilizers and seeds can enhance farmers’ resilience to market shocks and ensure they remain profitable.

Uganda’s agricultural sector holds vast potential to drive economic growth, reduce poverty, and achieve food security. With strategic investments in infrastructure, mechanization, research, and value addition, the government can transform agriculture from subsistence to a dynamic, commercial sector. By harnessing the power of agriculture, Uganda can not only improve the livelihoods of its people but also become a key player in global agricultural markets, fostering both domestic and regional economic growth.

The writer is ONC coordinator for Buyende District. 

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