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Home»Business»UGANDA MOVES TO EXPORT $20BILLION OF GRAIN
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UGANDA MOVES TO EXPORT $20BILLION OF GRAIN

felix@elixnews.co.ugBy felix@elixnews.co.ugMay 9, 2026No Comments4 Mins Read
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Uganda has launched a massive drive to transform the grain sector into a primary engine for export growth under the ambitious Tenfold Growth Strategy,Permanent Secretary  Ministry of Finance has revealed

Ramathan Ggoobi, says starting with the 2025/2026 financial year, all grain exports—especially maize—must meet mandatory quality standards (UNBS Q-Mark) to reduce rejections.

During stakeholders meeting in Kampala, Ggoobi noted that government aims to transform the grain sector by adding value rather than exporting raw products, driving growth through industrialization.

“This strategy prioritizes value addition and agro-industrialization to reach an annual export value of $20 billion for agricultural products. Government aims to increase Uganda’s exports from the current 12 percent to 50 percent of the Gross Domestic Product (GDP),”he stressed

Ggoobi emphasized that the country must move away from exporting raw materials to remain globally competitive. He noted that processing agricultural products into finished goods is the only way to meet international market standards.

“Uganda is aggressively boosting its grain export sector, targeting a massive increase in agro-industrial products to $20 billion under its Tenfold Growth Strategy by May 2026. To improve competitiveness, the government is enforcing strict standards (Q-Mark and SPS certification) on maize and other grains, particularly for regional markets like Kenya and South Sudan,”Ggoobi explained.

He the plan focuses on value addition, grain processing, and subsidized loans for commercial farmers to boost the country’s GDP contribution.

Ggoobi highlighted the success of the Parish  Development Model Revolving Fund in empowering local producers. By April 2026, the government had disbursed UGX 3.78 trillion to 3.7 million beneficiaries adding that these individuals have primarily invested in livestock and crops like maize and cassava, which serve as essential inputs for animal and fish feed production.

Furthermore, a new UGX 176 billion financial facility has been established to support large-scale commercial farming. This initiative is a collaboration between the government, the Grain Council of Uganda, Pearl Bank, Pride Bank, and Housing Finance Bank. The facility provides subsidized loans specifically for farmers growing maize, beans, sorghum, and animal fodder.

Uganda acts as a key supplier for East Africa, with significant trade flowing to Kenya, South Sudan, and the Democratic Republic of Congo.

Key grain exports include maize, beans, and other staple foods, with high potential for further development.

Ggoobi revealed that the sector is shifting away from informal, small-scale sales toward using certified warehouses and cooperative aggregation to ensure consistent, bulk quality for international standard

According to UNBS Uganda is taking decisive steps to overhaul its grain export system by introducing stringent quality controls aimed at curbing trade losses and restoring its credibility in regional markets.

“Beginning in the first quarter of the 2025/2026 financial year, all grain exports particularly maize must carry the Uganda National Bureau of Standards (UNBS) Quality Mark (Q-Mark) and a Sanitary and Phytosanitary (SPS) permit or risk being barred from export,”Patricia Ejalu Deputy  UNBS Executive Director said.

The new enforcement policy, spearheaded by the Ministry of Agriculture’s Crop Inspection Department and implemented through UNBS, comes in response to years of rejections from key trading partners like Kenya, Rwanda, and South Sudan.

These rejections have often stemmed from poor post-harvest handling and high levels of aflatoxin contamination in Ugandan maize.

“There will be no grain allowed out of Uganda without the Q-Mark and SPS permit,” declared Patricia Bageine Ejalu, UNBS Deputy Executive Director, during a national training session for farmers and grain processors at the UNBS headquarters in Bweyogerere.

“Buyers will now be required to source only from certified premises.”

The move, she added, is intended to “permanently close the quality gap” that has long hampered Uganda’s grain exports and to ensure that producers meet minimum hygiene and safety standards.

Ejalu said currently Uganda is exporting poorly processed maize which undermines local value addition.

“Uganda is effectively donating raw materials to neighbours who process and resell them at higher prices. We must take control of our grain value chain,” she said.

“We’ve seen maize being processed in facilities that haven’t been cleaned for years dust from roofs, dirt on the floors, pests in the stores. Often, it’s not resistance but a lack of awareness about the required standards.” Ejalu added.

Paul Ochuna, Country Program Manager at the Eastern Africa Grain Council (EAGC), Uganda loses up to 40% of its grain harvest each year due to poor post-harvest handling practices.

“Drying, sorting, and storage remain key challenges. That’s why we’re working with farmer cooperatives to improve quality at the grassroots introducing quality seeds and post-harvest technologies,” he said.

BANK OF UGANDA KACITA UGANDA KAMPALA UNIVERSITY KENYA PORTS AUTHORITY MAKERERE UNIVERSITY MINISTRY OF AGRCULTURE MINISTRY OF DEFENCE MINISTRY OF FINANCE MINISTRY OF FOREIGN AFFAIRS MINISTRY OF LOCAL GOVERNMENT MINISTRY OF TRADE NEMA PARLIAMENT OF UGANDA TRADE MARK AFRICA UGANDA EXPORT PROMOTION BOARD UGANDA POLICE UNBS
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felix@elixnews.co.ug

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