Museveni, South Sudan delegation discuss measures to boost bilateral trade

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President Yoweri Kaguta Museveni and a visiting delegation of senior South Sudanese government officials have discussed measures to strengthen bilateral trade and economic cooperation between Uganda and South Sudan.

The meeting took place at State House, Entebbe on Wednesday.

The delegation was led by Dr Margaret Mathya Labanya, South Sudan's trade and industry minister, according to a statement from the presidential press team.

Museveni said Uganda’s annual exports to South Sudan are estimated to have grown from $500 million (sh2.02 trillion) to $700 million (sh2.83 trillion), underscoring the importance of strengthening cooperation, eliminating trade barriers and facilitating cross-border business.

President Yoweri Museveni meets a delegation of senior officials from South Sudan led by the Minister of Trade and Industry, Dr Labanya Margaret Mathya. (PPU)

He identified three key areas requiring joint action: improving road infrastructure, enhancing electricity connectivity and strengthening security cooperation between the two countries.

Museveni proposed working with the African Development Bank to construct the Juba–Nimule-road, developing an electricity interconnection between Uganda and South Sudan, and enhancing cooperation between the two countries’ security forces to safeguard their shared border.

He also proposed establishing a one-stop border centre to simplify procedures, reduce delays and facilitate the movement of goods and people between the two countries.

Security, compensation

The delegation is primarily in Uganda to participate in a business forum aimed at exchanging ideas and finding practical solutions to challenges affecting cross-border trade.

“Uganda is one of the biggest exporters to South Sudan. We really appreciate and are extremely glad for that trade in our country. It meets very few hurdles like non-tariff barriers between Nimule and Juba," said minister Labanya.

"We came to see better ways to make trade more seamless, acceptable and tasteful to both countries."

She acknowledged the growth in trade between the two countries but noted that more could be done to make business transactions smoother, more efficient and mutually beneficial.

They deem cooperation as extending beyond the exchange of goods to include peace, healthcare and the sharing of knowledge and ideas.

“Trade is everything. We trade in peace, health and in our own intellectual ideas between the two countries and ensuring that the exchange of trade continues,” she said, assuring Ugandan traders that her office remained open to addressing their concerns.

On security, the South Sudanese minister acknowledged concerns raised by traders over roadblocks and other impediments along key trade routes, particularly between Nimule and Juba.

She said several of the reported roadblocks had been removed, adding that efforts were underway to address the remaining concerns.

“Security of the population, mainly the traders, is key. Some of them were subjected to roadblocks. Most of them were removed recently."

Uganda’s Minister of Trade, Industry and Cooperatives, Sanjay Tanna, said the two countries face similar challenges in facilitating trade, including non-tariff barriers, delays in clearing goods, insecurity and the high cost of financial services.

He noted that Ugandan traders had also raised concerns over compensation claims in South Sudan, citing differences in the pace at which the two countries handled such matters.

“The issues on our side are more or less the same. Administration that keeps changing, when a new person comes they keep coming. Some include non-tariff barriers, delays in clearance, insecurity was high, which are resolved when they are raised. 

"Security of our people, the element of high costs of financial institutions doing business. The Ugandan community of traders that has visited me raised the issue of compensation. Their side is slow, our side is quick, however they have committed to improve,” said Tanna.

He stressed the need for both governments to address these challenges through improved coordination, stronger infrastructure, efficient border management and enhanced security to create a more favourable environment for businesses.

The discussions underscore the importance of Uganda–South Sudan economic relations, with improved transport links, reliable electricity supply and streamlined border procedures expected to support trade, investment and regional integration.