Uganda’s export sector remained heavily reliant on the Middle East, which emerged as the leading destination for the country’s goods, accounting for 35.4% of total exports in November 2024, according to the Ministry of Finance.
The United Arab Emirates (UAE) took the lion’s share, receiving 97.6% of Uganda’s exports to the region.
These details were highlighted in the Performance of the Economy Report for December 2024, underscoring the growing importance of the Middle East as Uganda’s primary trading partner.
Beyond the Middle East, Uganda’s other major export destinations included:
East African Community (EAC) – 30.2% of total exports, with the Democratic Republic of Congo (33.6%), Kenya (24.0%), and South Sudan (21.4%) taking the largest shares.
Asia – 13.7% of exports, reflecting Uganda’s increasing trade ties with Asian markets.
European Union (EU) – 13.0% of exports, highlighting continued demand for Ugandan goods in Europe.
The data suggests a strong regional trade presence, with Uganda maintaining significant export volumes within the EAC, benefiting from geographical proximity and regional trade agreements.
While exports remained stable, Uganda saw a sharp decline in merchandise imports, dropping by Shs 681.8 billion (14.6%) from USD 1.28 billion (Shs 4.69 trillion) in October to USD 1.09 billion (Shs 4.01 trillion) in November 2024.
According to the Ministry of Finance, this decline was attributed to reduced import volumes of key products, including:
Mineral products (excluding petroleum)
Petroleum products
Wood and wood products
Machinery, equipment, vehicles, and accessories
The reduction in imports could be linked to global supply chain disruptions, declining domestic demand, or government policies aimed at promoting local production.
Despite the overall decline in imports, Asia remained Uganda’s largest source of imports, accounting for 36.5% of total imports in November 2024. Within Asia, China was the leading supplier, providing 53.1% of imports from the region.
The shift in trade patterns, with exports to the Middle East rising while imports decline, could positively impact Uganda’s trade balance.
However, the country remains highly dependent on foreign markets, making economic diversification and value addition to exports crucial for long-term sustainability.
The Middle East’s dominance in Uganda’s export market underscores the growing economic ties between the two regions, particularly with the UAE as a key trading partner.
Meanwhile, the decline in imports and continued reliance on Asia, especially China, for essential goods highlight the need for Uganda to strengthen local production and explore more diversified trade opportunities.
