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Uganda Manufacturing Industries


Uganda Manufacturing Industries and their Contribution to Uganda's economy

Uganda Manufacturing contributes only a small portion of the gross domestic product. The major industries are based on processing such agricultural products as tea, tobacco, sugar, coffee, cotton, grains, dairy products, and edible oils.



Also important are beer brewing and the manufacture of cement, fertilizers, matches, metal products, paints, shoes, soap, steel and textiles

Industrial production grew dramatically in the years following independence but then declined precipitously from the early 1970s.

Since 1990, with the return of stability to the country, foreign companies and lending institutions have invested in such businesses as textile and steel mills, a tannery, bottling and brewing plants, and cement factories.

There are a number of Uganda Manufacturing cottage industries, which produce a wide variety of domestic and commercial iron and wooden products ranging from security doors, household and farm goods, numerous spare parts, and furnitureUgandans are creative and manage to utilize iron and other waste materials in the manufacture of useful implements like hoes.



Economy and Services

With its numerous national parks that contain a wide variety of animals, Uganda is a natural tourist destination.

From independence until the early 1970s, tourism was a major part of the economy and ranked third after coffee and cotton in producing foreign exchange.

Under President Amin, however, tourism ceased and the national parks were neglected. Since the mid-1980s tourism has slowly increased, and foreign investment in new hotels has also expanded.

However, Uganda’s tourist industry was affected by political instability in surrounding regions during the 1990s, although it rebounded in the early 21st century.



Labour and Taxation

The government is the country’s largest employer. Attempts to decrease the number of government workers in the early 1990s met with failure. The Museveni government attempted to increase the status of wage labourers after it took power in the mid-1980s. Cooperative societies, largely focused on agricultural export products, numbered in the thousands at the beginning of the 21st century.

Tax revenue in the form of customs duties, sales taxes, and income taxes provides the majority of Uganda’s budget, and grants provide the remainder.

The majority of the budget goes to capital expenditures, wages and salaries, education and security, with health receiving less than 5 percent.





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