UIA lures Chinese investors into packaging sector
The demand for high quality packaging materials and distribution infrastructure for all sectors in Uganda is growing very fast.
“Investment opportunities exist in setting up packaging manufacturing plants, warehousing facilities for hire, distribution facilities and services,” said Sheila Mugyenzi, the Uganda Investment Authority (UIA) director for investment promotion and development.
Mugyenzi revealed this at a meeting with a Chinese delegation from the Tianjin Municipal Bureau of Commerce.
The delegation was in Uganda to explore investment opportunities, the investment climate and government policies among others.
She informed the delegation that investors cannot rightly own land since it is owned by Ugandans.
“However an investor can purchase land on a private basis and a 49 year lease is granted,” she said adding that government is also setting up industrial parks where investors can access land.
She said the priority areas for investment include agriculture where government is more interested in value addition.
“Uganda has got over 50 types of minerals and these are not yet fully exploited, there are large deposits of iron, copper among others,” she said.
“We have surveyed three quarters of the country except in the north and so far ten sites of Uranium have been discovered,”.
Other areas for investment include tourism where Uganda does not have enough accommodation especially in the national parks.
She pointed out that government is focusing on increasing exports especially in agriculture.
Rita Mugula, the senior investment executive, investment promotion, added that sixteen private free zones have so far been licensed.
“Government has recognised that Free zones are key drivers to trade, investment and integration of domestic firms into the global value chains, she said adding that it is for this reason that a number of incentives have been put in place for investors," she said.
She outlined some of the incentives offered to investors in the free zones that include a five year Income Tax Exemption for Free Zone Developer whose investment capital is at least $ 100 million from the date of commencement of business.
