Uganda has officially launched the Sugar Industry Stakeholders’ Council, a pioneering regulatory and coordination body designed to enhance efficiency, transparency, and global competitiveness within the sugar sector.
The Council brings together representatives from sugar millers, outgrowers, and government ministries, with the mandate to harmonize and regulate one of Uganda’s fastest-growing agro-industrial sectors.
At the launch, State Minister for Industry David Bahati revealed that Uganda produces 700,000 metric tonnes of sugar annually, with 450,000 tonnes consumed locally and the surplus exported, making the country the only one in East Africa with a production surplus.
“Our sugar industry contributes 5% to GDP and supports over 20,000 direct jobs and 150,000 indirect livelihoods,” Bahati said. “It generates Shs 500 billion in tax revenue annually. With the Council’s efficiency, we aim to increase that to Shs 700 billion in five years, and ultimately, a tenfold growth to Shs 2.5 trillion is achievable.”
Minister of Trade, Industry, and Cooperatives Francis Mwebesa highlighted the Council’s role in systemic reforms, including better coordination between farmers and millers, and expanding opportunities for value addition and exports.
Rajbir Singh Rai, the Council’s newly appointed Chairperson, described the sugar sector as crucial to Uganda’s economy, noting its role in tax revenue, job creation, and foreign exchange earnings. He emphasized the importance of both farm-level cane production and factory processing, urging industry-wide efforts to boost yields, reduce production costs, and increase farmer productivity.
Singh also stressed export ambitions: “We must explore new markets for Ugandan sugar, not just regionally, but globally. With support from the Ministry of Trade, Uganda can strengthen its international presence.”
The Council will oversee mill licensing, register sugarcane growers, set fair pricing systems, resolve disputes, and monitor markets to guide export strategies. It will operate as a self-regulating body funded through a levy on sugar millers.
The inaugural Council, appointed under Cabinet Minute 327 (CT 2025), consists of eleven members representing outgrowers, millers, and government ministries, with Rajbir Singh Rai as Chairperson. The Ministry of Trade is tasked with submitting quarterly performance reports to Cabinet to ensure alignment with national objectives.
With the Council now in place, stakeholders are optimistic that Uganda’s sugar sector will become more transparent, inclusive, and export-driven, delivering higher value to farmers and the national economy.
