The Uganda Development Cooperation (UDC),a government body responsible for spearheading Industrialisation and developing economy has created more than 1 million jobs within a space of just 6 years.
As Uganda is celebrating her 60th independence ,one of the celebrant Ugandans UDC Executive Director Dr Patrick Birungi speaking at their head office based at Soliz house in Nakasero, revealed that when UDC was first established in 1952 it only employed 24000 people both directly and indirectly but currently it directly employed 2980 and employs 1.18m people indirectly.
Dr Birungi added that UDC was established in 1952 under UDC Act Cap 326.
He said that there were only two institutions that was UDC for industrialisation and UEB for power supply.
He shed more light that at that time UDC was contributing 33% of National total Revenue. He says UDC cut across all sectors such as mining, industrialisation, Hospitality, Agriculture, Banking sector among others.
It has been established that under UDC, several factories, Banks, Hotels among others were set up and they included Kilembe mines, Tororo Cement factory, Katwe salt, DFCU bank,Nyanzi textiles, Nile hotels among others.
He however says, UDC woes started at around 1970 during Nikivubo pronouncements where the economy shifted from Capitalism to Socialism when UDC was completely removed in 1988.
Later on,in 2016, Government of Uganda re-established UDC under act 2016.
” Since 2016, government has invested around 300bn but a lot has been done especially in the sector of Industrialisation, ” Dr Birungi said.
He went on to say that with low financing from the government UDC has set up 13 factories creating over 2000 direct jobs and more than 1m indirect jobs.
“UDC has established Soroti fruit factory which is among the best fruit factory in Uganda and cross boarder,” he says. He added that UDC has also set up Atiak Sugar Factory in Northern Uganda which has also helped to created jobs in Northern Region.
He further stated that UDC has also several tea factories across the Country which include Mabala in Kyenjojo, Mpanga in Kabalole, Kayonza in Kanungu and two factories in Kabale and Kisoro under Kigezi high land. He adds UDC is soon opening another fruit processing factory in Yumbe.
He further says that UDC has not only invested in Industrialisation but has also invested in Hospitality and owns Nile Hotel commonly known as Serena hotel where it has 100% shares. “UDC owns 25% shares in Munyonyo Common Wealth Resort, ” Says Dr Birungi.
He further says UDC has 46.2% in Kalangala infrastructural services. He added that UDC also supply water and electricity in Kalangala. “UDC also manufactures denatured Ethernal which is used for domestic use for cooking,” he says adding soon there will be no use of charcoal in Uganda.
He contends that under his management, UDC will in five years be the leading industrialisation sector in East Africa. “UDC will move Industrialisation from simple value addition to Science Driven investment,” Assures Dr Birungi. He says UDC will chanel to Vaccine, Pharmacies, Electrical Automotive industries.
He stressed further that he will make sure that Uganda will reduce importation of goods. “In the next five years UDC will have more than 30 factories which will help in job creation. At least in the next five years UDC will be able to employ more than 1m direct jobs and over 10m indirect jobs will be created. He however says the Government must invest at least shs 5trillions. ” I hope government has seen what UDC has done since 2016 with little funding and if it injects shs 5trillions in the next five years, UDC will contribute a lot to the economy.
He however, says despite steady development, UDC still faces some challenges like Under Capitalisation where the sector gets less funding from government which has hindered their development.
He says they still face working beuacracy in decision making. “At UDC we make some decision but have no powers to implement which has hindered their development,” says Dr Birungi.
He further says like any other sector, there are some mafias who would to influence in decision making for their own gains. ” We have managed to resist some decision made by mafias for their own gains using UDC as a cover up,”he says.
He added that UDC had not made profits in the short run but says profits will be made in the near future.
“Building industry is not like building a kiosk. It brings profits after some time, ” he says. He added that their productivity was also hindered by covid 19.
