Denmark, through the Danish International Development Agency (DANIDA), has entered into a UGX 16.5 billion trade deal with TradeMark Africa, aimed at enhancing Uganda’s trade capabilities. The five-year project, known as the Uganda Trade Support Project 2023/2024, focuses on strengthening government export quality management systems to ensure compliance with international sanitary standards.
The project includes support for the construction of a climate-resilient, gender- and disability-responsive border market at Elegu. This initiative aims to improve trade in the region while adapting to extreme weather conditions. The Elegu border, primarily characterized by informal trade, will benefit from infrastructure enhancements.
Danish Ambassador to Uganda, Signe Windining Albjerg, emphasized the challenges faced by trade in Uganda due to climate change effects, particularly floods. The Elegu market, where 63% of traders are women dealing in agricultural products, often experiences losses from fire outbreaks. The project intends to address these issues and create a more conducive trading environment.
Key components of the project include supporting the accreditation of three Uganda National Bureau of Standards (UNBS) decentralised testing labs. These labs, previously constructed with Danish support, aim to reduce turnaround time and testing costs for product samples intended for export. The project aligns with Denmark’s commitment to promoting a green, sustainable, and inclusive economic transformation in Uganda.
This trade deal is part of a larger country program, amounting to DKK 650 million, signed between Denmark and the Ugandan government for the period 2023-2028. The comprehensive program covers initiatives supporting economic transformation, climate resilience, sustainable solutions for refugees, and Uganda’s stabilizing role in the region.
TradeMark Africa, the implementing partner, expressed optimism that the Uganda Trade Support Project would contribute to increased job opportunities, improved incomes, food security, and enhanced climate resilience of trade infrastructure. The project aims to benefit Uganda’s poor, particularly women, men, and youth, aligning with TradeMark Africa’s broader objectives.
The collaboration between Denmark and TradeMark Africa seeks to facilitate a competitive private sector in Uganda, especially as the country engages with Regional Economic Communities (RECs).
