On Thursday July 18, 2024, Uganda Revenue Authority (URA) transformed Nakasongola into a scene straight out of a dramatic Nollywood movie. With the flair of a carnival and the intensity of a new year’s fire works display, URA set ablaze 180 tonnes of contraband goods, proving once again that illegal merchandise in Uganda has a date with fire.
This wasn’t just any destruction; it was a billion shilling bonfire that included everything from dubious cosmetics to expired foodstuffs, all valued at a staggering UGX 1 Billion Shillings.
What Went Up in Smoke?
Among the items turned to ash were:
- Cosmetics containing hydroquinone (skin bleach)
- Used undergarments (yes, really)
- Sex toys
- Expired beers
- Spoiled foodstuffs
Table 1: Goods Destroyed by URA
| Item | Quantity Destroyed | Value (UGX) |
|---|---|---|
| Cosmetics (with Hydroquinone) | 50 tons | 400,000,000 |
| Used Undergarments | 40 tons | 250,000,000 |
| Sex Toys | 10 tons | 150,000,000 |
| Expired Beers | 60 tons | 200,000,000 |
| Expired Foodstuffs | 20 tons | 97,896,196.01 |
| Total | 180 tons | 1,097,896,196.01 |
Imagine the surprise of many when they learned that among the items were sex toys and used undergarments, with many asking, “Who on earth thought importing used undergarments was a good idea?” It seems the contraband world has its own bizarre sense of economy.
Why Burn It All?
URA insisted that this grand destruction is not just for show. According to the officials, it’s about deterring the recurrence of such illegal activities – the message is clear: Don’t do it again. By turning these goods into ashes, URA aims to ensure that none of these dubious products make their way back into the market.
The legal foundation for this fiery spectacle lies in sections 18 and 248 of the East African Community Customs Management Act (EACCMA). This act provides URA the authority to destroy goods that violate customs regulations, thereby safeguarding the health and safety of Ugandans.
Table 2: Would-be Taxes on Destroyed Goods
| Item | Taxes (UGX) |
|---|---|
| Cosmetics (with Hydroquinone) | 380,000,000 |
| Used Undergarments | 230,000,000 |
| Sex Toys | 140,000,000 |
| Expired Beers | 180,000,000 |
| Expired Foodstuffs | 94,732,093.53 |
| Total | 1,044,732,093.53 |
The destroyed goods, valued at over 1 billion shillings, represented an illicit empire that could have filled government coffers with taxes amounting to UGX 1,044,732,093.53. Instead, they met their fiery fate at Luweero industries.
Goods Destroyed vs. Would-Be Taxes
| Goods Destroyed | Value (UGX) | Would-Be Taxes (UGX) |
|---|---|---|
| Cosmetics with hydroquinone | 1,097,896,196.01 | 1,044,732,093.53 |
| Other contraband items | Included in total | Included in total |
A Word from URA
“We are committed to enforcing the law and protecting our citizens from harmful products,” said a URA spokesperson. “This destruction exercise is a clear signal to those involved in smuggling and illegal trade that their activities will not be tolerated.”
Public Reactions
Ugandans had had mixed reactions to URA’s statement. While some applauded URA’s efforts, others questioned the wastefulness, humorously suggesting that some of the items could have had a second life. “Couldn’t the expired beers have been used for brewing local waragi?” one netizen joked. Another wondered if the used undergarments could have been repurposed in creative ways, though how, they did not specify.
It is clear URA has made a statement. Whether this will deter future contraband activities remains to be seen. Smuggling is after all a profession as old as governments.
A History of URA’s Feats
URA, Uganda’s tax collector, has come a long way since its inception in 1991. Back then, it barely collected 6.83% of GDP, a mere UGX 133 billion. Fast forward to 2015, and URA was raking in 13% of GDP, translating to an impressive UGX 11.2 trillion. With ambitious eyes set on 2020, URA aimed to boost this figure to 16% of GDP.
A Brief Timeline of URA’s Tax Collection Progress
| Year | Tax Collection as % of GDP | Amount Collected (UGX) |
|---|---|---|
| 1991 | 6.83% | 133 billion |
| 2015 | 13% | 11.2 trillion |
| 2020 Target | 16% | Not disclosed |
For those not in the know, the Uganda Revenue Authority is the government’s muscle in the tax world, operating under the Ministry of Finance, Planning and Economic Development. It’s the body responsible for assessing, collecting, and enforcing tax laws across the country.
