Uganda experienced a significant milestone in its export landscape, with the Democratic Republic of Congo (DR Congo) emerging as its foremost export destination within the East African Community (EAC) in January. According to the Ministry of Finance’s Performance of the Economy report, Uganda recorded its highest trade surplus with DR Congo, amounting to $53.07 million (approximately Shs208.9 billion).
The report highlighted that DR Congo surpassed all other EAC member states in terms of receiving exports from Uganda, followed by South Sudan, Rwanda, and Burundi. Conversely, Uganda reported trade deficits with Tanzania and Kenya during the same period. This underscores the dynamic nature of Uganda’s trade relationships within the region.
Overall, Uganda’s exports to EAC partner states reached $231.47 million, while imports stood at $209.17 million. The EAC retained its position as the primary destination for Uganda’s exports, commanding 37.6 percent of the total market share. Following the EAC, the Middle East and the European Union emerged as significant export destinations for Uganda.
However, Uganda faced trade deficits with other regions such as Asia, the Rest of Africa, and the Rest of Europe. Notably, Uganda’s total exports in December experienced a marginal increase of 0.2 percent compared to the previous month, driven by higher export earnings from commodities like simsim, tobacco, and cotton. However, coffee exports witnessed a decline of 6.7 percent due to weather-related challenges affecting harvests and drying processes.
Conversely, imports in December saw a decrease of 3.1 percent compared to the previous month. This decline was attributed to lower private sector imports, particularly in sectors such as wood and wood products, electricity, petroleum products, and animals and animal products.
Asia remained Uganda’s primary source of imports, constituting 41.2 percent of the total imports. China and India emerged as the major contributors to Uganda’s imports from the Asian region. Additionally, other significant import sources included regions within Africa, such as the EAC and the Rest of Africa, as well as the Middle East.
