Construction works of the phosphate fertilizer plant in Osukuru in Tororo, eastern Uganda by the Guangzhou Dongsong Energy Group of China have started. When the US$620 million (about UGX3 trillion) investment is completed, it will employ 1,000 people and produce at least 300,000 tonnes of phosphate fertilizer annually-enough to supply Uganda, Kenya, Tanzania and Rwanda.
The project that cover 26 square kilometres in the sub counties of Osukuru and Rubongi bordering Tororo Municipality will displace several hundred households. The affected households have been compensated. Tororo is thought to have excess of 300 million metric tonnes of phosphate.
Guangzhou Dongsong Energy Group, registered in Uganda as Uganda Hui Neng Mining Ltd will also produce sulphuric acid as well as 5MW of electricity, within its plant.
Environment observers however say to date the Chinese company has not sufficiently demonstrated how it is going to deal with environmental problems that will arise from phosphate mining and exposure to chemicals and emissions from the factory.