Beyond the 3Cs and 3Ts: Uganda’s export story

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OPINION

A Ugandan who moved to the United States over 10 years ago still holds fond memories of home.

In messages to his friends, he often reminisces about Ugandan food, listing vegetables, such as dodo, nakati, and gobe.

Recently, he was delighted when he visited a family member in Milwaukee, Wisconsin, and found a pack of peeled matooke labelled “Product of Uganda.” Excitedly, he posted messages on social media saying that matooke from Uganda can now be bought on Amazon.

Several companies and individuals now hold phytosanitary certificates that allow them to export agricultural produce.

Some Ugandans travelling to different parts of the world carry food items in their luggage, which they sell upon arrival.

This is, especially common for destinations in the Middle East, where flights are under six hours long.

In Dubai, several restaurants serve Ugandan cuisine, attracting not only Ugandans, but people of other nationalities as well. These get their food supplies from Uganda. Uganda Airlines’ flight to London now regularly has foodstuffs, such as matooke, sweet potatoes, and chilli in its cargo. Meanwhile, local companies like Jakana Foods are exporting organic, certified dried fruits that meet the standards and tastes of the US market.

In another example, a Ugandan visiting Georgia (in Europe) was surprised when an official from an international organisation said he often buys Uganda Waragi, describing it as just as good and perhaps tastier than some Russian brands.

These examples illustrate the transformation of Uganda’s economy, especially in the export sector. However, it is not just about selling produce abroad; a whole value chain is at work, creating employment and generating tax revenue.

After independence, Uganda’s export identity was anchored on the 3Cs—coffee, cotton and copper—and the 3Ts—tea, tobacco and tourism.

Except for copper and tourism, the rest were agricultural products commonly referred to as cash crops.

This narrowed the country’s income base and shaped the belief that only these crops had real market value. Farmers sold their produce to large co-operatives, which passed it on to parastatals for export. Prices were fixed, not market-driven and payment delays were frequent.

Such delays worsened in the 1970s during Idi Amin’s “economic war,” when Asian business owners were expelled and their enterprises handed over to Ugandans who lacked capital and entrepreneurial skills.

Government mismanagement further weakened the system. Export parastatals began to crumble, and cash crop production declined. Copper production ceased, and the mining plant in Kasese, along with the smelter in Jinja, fell into disrepair.

Tourism also collapsed as Uganda became known internationally as unsafe.

After Amin’s fall in 1979, little changed. Political instability and internal fighting consumed the country. When Milton Obote returned to power in 1980 through a controversial election, his Uganda People’s Congress government attempted to revive the economy by focusing again on the 3Cs and 3Ts.

Farmers were urged to increase coffee, cotton, tea and tobacco production But without structural reforms, these efforts had a limited impact. Marketing boards responsible for buying and exporting cash crops were plagued by inefficiency and corruption.

The Coffee Marketing Board, chaired by Brig. David Oyet Ojok operated with little accountability.

He carried a sense of entitlement, having participated in fighting Amin, so he managed the entity as personal business.

The tide began to turn after 1986. Economic reforms dismantled the centralised marketing boards through privatisation and liberalisation.

With more market freedom and immediate payment for produce, coffee, cotton, tea and tobacco production recovered. But this shift also sparked a broader question: Must Uganda only depend on historical cash crops? The answer broke the old colonial mindset that had limited Uganda’s export potential.

Today, crops, such as matooke, maize, beans, and sweet potatoes, which were described as food crops, have joined Uganda’s export list. In other words, they are cash crops too. Fishing, once a subsistence activity, has grown into a multimillion-dollar industry.

In the past, anyone who felt like having fish would go to the lake and fish. If he got more than he wanted, he would share with neighbours and sell the rest. Today, factories that buy and process it for export create employment and generate tax revenue.

The poultry sector has undergone a similar transformation. Formerly domestic and small-scale, it is now commercial and serves both local and regional markets.

Uganda exports poultry products to South Sudan, Kenya and eastern DR Congo. The same pattern is seen in cereals such as maize, beans, and groundnuts. Uganda’s maize exports alone bring in an estimated $262m (about sh928b).

Matooke is no longer just reaching the US, UK, and UAE; it is available across the region and within Uganda itself, thanks to improved trunk roads that link cities and major towns.

Milk production has also expanded significantly, accompanied by extensive value addition. Uganda is projected to produce over 5.4 billion litres of milk in FY 2025/26.

Dairy products, including packed milk, powdered milk, and yoghurt, are exported to markets, such as Kenya, although trade disputes sometimes cause temporary restrictions. Algeria is one of Uganda’s dairy markets. Uganda now exports many products that used to be brought in from abroad. Sugar and milk are prime examples. When Kenya has shortages, Ugandan sugar, especially from Kakira, is a common sight on supermarket shelves. Some of Uganda’s sugar also goes to Tanzania, although with occasional interruptions due to trade disagreements.

Since 1986, internal reforms and increased production capacity have expanded Uganda’s export sector. When the National Resistance Movement government came to power nearly 40 years ago, it was communist thinking that didn’t favour the private sector.

However, the privatisation and liberalisation policies introduced in the 1990s unlocked the economy. As a result, Uganda’s export sector has grown and diversified significantly.

Today, the country earns $13.3b from exports of goods and services. Of this, $10.6b comes from goods alone. Key export earnings include coffee ($2.2b), dairy products ($79.11m), cocoa beans ($620.4m), fish and fish products ($149.4m), beans ($71.1m) and maize ($97m).

Uganda’s export story has shifted from a narrow range of colonial cash crops to a diversified, dynamic and growing sector, one that continues to expand.

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