Today, senior government officials, local business figures, and foreign investors are convening at the Office of the Prime Minister for a critical discussion regarding the ongoing crisis within Uganda’s tea industry.
Prime Minister Robinah Nabbanja, in a letter issued on Tuesday, has called upon officials from key ministries including Agriculture, Trade, Industries and Cooperatives, Finance, Local Government, and Lands to address the challenges facing the tea sector. The urgency of the situation stems from the closure of several tea factories, prompting the need for swift and coordinated action.
“The country is grappling with challenges in the tea industry, leading to the shutdown of certain tea processing plants. Cabinet deliberated on this matter and emphasized the importance of aligning proposed interventions to mitigate the challenges confronting the tea sector,” stated Prime Minister Nabbanja in her correspondence.
Among those summoned to contribute to finding solutions are businesswoman Enrica Pinetti, Permanent Secretaries of relevant ministries, the Chairperson of the Presidential Advisory Committee on Exports and Industrial Development (PACEID) Odrek Rwabwogo, and the Presidential Advisor on Agricultural Affairs Rose Kabagyenyi. Additionally, representatives from prominent organizations such as Elite Agro Holding and the Uganda Investment Authority are expected to attend.
Since July of the preceding year, Uganda’s tea industry has been plagued by significant price fluctuations at the Mombasa auction center. Prices have plummeted, with tea struggling to fetch even a single US dollar per kilogramme. Contributing factors include the subpar quality of processed green leaf by local factories and political unrest in key tea-consuming countries like Russia, Sudan, and several Arabic Asian nations. These challenges have driven some farmers to the extreme measure of uprooting their tea crops due to frustration.
Robert Nayebare, Acting General Manager of the Igara Growers Tea Factory, stresses the importance of tangible outcomes from the meeting, emphasizing the need to move beyond mere discussions and paperwork. He highlights crucial requests made to the government, including subsidies for fertilizers, reductions in power and fuel tariffs, and the establishment of a stabilization fund. Moreover, Nayebare advocates for the implementation of a comprehensive tea policy to regulate the sector effectively.
However, concerns have been raised regarding the composition of the meeting by individuals like Janepher Tumusiime, a tea grower from Buhweju District. Tumusiime questions the exclusion of those most directly affected by the crisis from the discussion table. She criticizes the presence of figures like Enrica Pinetti, questioning her involvement in light of past controversies in the coffee industry. Tumusiime advocates for a more inclusive approach that prioritizes the voices and experiences of tea farmers and workers on the ground.
