KAMPALA: Following a successful joint military operation against the Allied Democratic Forces (ADF), Uganda and Democratic Republic of Congo (DRC) are organising a joint business form to discuss and seal trade deals between the two countries. At the centre of it all on the Ugandan side is the Uganda Investment Authority (UIA). Its chairman Mr Morrison Rwakakamba reveals that the investment body is holding consultations at the highest level to be able to organise a successful event. The organisers of 2022 edition of what is now known as the “Democratic Republic of Congo (DRC) Uganda Business Forum,” have said the joint forum will enhance opportunities and partnerships for inclusive and sustainable development between the two nations. The joint forum, which was launched in November 2019, will be conducted under the theme: “Deepening Bilateral Trade, Partnerships, Knowledge Transfer for Mutual Peace and Prosperity.” Mr Rwakakamba spoke toMediaScape News:
MediaScape News: Why is this forum coming now and not before?
Rwakakamba: DRC is now a member of the East African Community. Uganda is also doing strategic infrastructure developments jointly with the DRC to facilitate trade and investments. Uganda is also conducting security operations to enable a conducive environment for investment. DRC will give us another access to the Ocean and enable seamless trade opportunities. Indeed, Uganda Exports to Congo was US$267.19 Million during 2020, according to the United Nations COMTRADE database on international trade.
Therefore, there couldn’t be a better time than now.
MediaScape News: Talking of security operations. Ugandans have been frustrated previously with the failure by government institutions like yours to facilitate a business strategy that follows the military one. For example, we haven’t seen clear benefits from our adventures in Somalia and South Sudan?
Rwakakamba: Security operations are part of Uganda’s Pan African agenda led by President Yoweri Museveni. Uganda’s agenda is not a comprador and mercantilist approach of colonialists and other parasitic forces. Uganda has now built internal capability and is ready for regional and international relations that are based on mutual benefits. This is why we are now moving into DRC within the framework of the East African Community to ensure that both peoples benefit. And yes, even with previous constraints, Uganda has been trading with Congo. In 2020 alone, Uganda exported to DRC goods worth US$267 million according to COMTRADE. Now we are upping the game to push investments. We have for instance as UIA secured over 8.5 square miles of free land for establishment of industrial parks. Congolese businesses and investors have an opportunity to come and invest in these parks. We are ready.
MediaScape News: When is the forum going to take place?
Rwakakamba: Currently we are still consulting at the highest level and once both sides make a final decision, we shall let you know.
MediaScape News: What should Ugandans expect out of this forum?
Rwakakamba: Connections with DRC businesses and government apparatus. Joint ventures and increased trade volumes and investments that will translate to jobs.
MediaScape News: As UAI, What are your key outputs from this forum?
Rwakakamba: Priority is to matchmake our business people with Congolese businesses/investors. Overall, we expect to clinch about $500m worth of investments in one year and are optimistic about the geometric growth of this number.
MediaScape News: What opportunities is Uganda bringing on the table?
Rwakakamba: We have huge opportunities in Agro processing, manufacturing of fast moving consumer goods, construction sector, ICT, minerals etc and Congolese investors will benefit benefit from and expansive package of incentives we offer; These include; Free land in gazetted industrial parks, easy investment licence processing, a 10 year tax exemption on income derived by an investor in an industrial park and outside industrial park who invests in agro processing, manufacture of medical appliances, a 10 year tax exemption on income derived from renting or leasing facilities established in industrial parks or free zones, Investors whose income is derived from exportation of finished consumer and capital goods qualify for 10 year income tax exemption if 80%, Investors involved in agro-processing qualify for a one year income tax exemption, Investors qualify for 100% deductible allowances on cost of training Ugandans and cost of research into new technologies, duty free raw materials not available in Uganda for input into manufacturing, access to electricity at s cost of $5 cents United States dollars for 1-kilowatt per hour.
MediaScape News: What opportunities is DRC bringing to the table?
Rwakakamba: For starters, DRC is an 80 million people market! It is a gateway for Uganda to the Atlantic Ocean. Beyond that, DRC retains opportunities in agriculture, Mining, Energy, Infrastructure, Insurance, Housing and real estate, Forestry etc.