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Export Export Free Zones Logistics & Transportation PACEID
July 11, 2025

PACEID-backed Free Zones Project nears operational stage

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Uganda Export Free Zone, Entebbe
Uganda Export Free Zone Entebbe: Photo: PACEID

PACEID Uganda Export Free Zone to ready soon: Uganda’s export ambitions under the Free Zones initiative are taking shape. The zone, located near the Entebbe International Airport cargo section, is poised to become a centre of excellence for the export of fruits, vegetables, and coffee, including the assembly of coffee machines, targeting European and Middle Eastern markets. 

 The facility is part of a broader government effort to ease export logistics, supporting value addition, and creating employment through agro industrialization. The facility was launched by President Yoweri Kaguta Museveni in December 2024.

Three private companies: Afri Shamba Ventures, Hortifresh Association Uganda Limited, and Yugovic were allocated space in the zone. Of the three Afri Shamba Ventures has taken the lead, emerging as the lead private sector player in operationalizing of the zone for exports.

During a progress review meeting held in Entebbe on July 5, Afri Shamba showcased near-complete cold rooms, a training centre, and a product reception area. The company has also signed agreements with a Dubai-based cargo firm, to begin exports in September 2025.

The high-level event brought together crop inspectors from the Ministry of Agriculture, Animal Industry and Fisheries (MAAIF), officials from the Ministry of Trade, Industry and Cooperatives (MTIC), Uganda Exim Bank, UAE product off-takers (Avrica Foods), and the Presidential Advisory Committee on Exports and Industrial Development (PACEID). 

Speaking at the event, Odrek Rwabwogo, the PACEID Chairman, commended the private sector for taking bold steps to utilize the infrastructure. 

Mahmood Hudda, the Afri Shamba Chief Executive Officer, guided the guests through the company’s pack house and infrastructure. He also presented a status report on the UAE market, and ongoing production efforts, with a strong focus on cultivating onions, herbs, and chives in Ntungamo and Maire (Wakiso) districts to meet the demand. 

He said the company is preparing its first air shipment in partnership with Fresh Handling, targeting September 2025. He added that they are currently working to fulfil confirmed orders for two 40-foot containers of onions. 

Hudda also shared the process flow map, right from the farmers to the dispatch for either sea or air freight, which ensures quality control of both fresh and processed products. Other services at the centre of excellence include packaging, AI-driven pest scouting and bar-coding for traceability. 

Afri Shamba will work in freight logistics optimization with partners in Dubai and Mombasa. Rwabwogo, PACEID chairman, expressed concern over bureaucratic delays in this area. 

“It has been six months, and these companies have not had their certificates of occupation formalized. We have lost valuable time and export orders,” he said. 

He thanked MAAIF for designating the site, as a certification exit point. He applauded the Ministry of Trade for working with the newly restructured Uganda Free Zones Export Promotion Authority (UFZEPA), to finalize documentation. 

He also urged Hortifresh and Yugovic to expedite their installations, and match Afri Shamba’s momentum. He called for the quick completion of the remaining works, including the sewage treatment system. 

Rwabwogo highlighted the need for closer coordination with the Ministries of Agriculture, Science and Technology, and Trade to remove bottlenecks, improve seed access, strengthen farmer aggregation in irrigation zones such as Mobuku (Kasese) and Ngenge (Kween).

Joyce Brenda Kisingiri, the Senior Phytosanitary Inspector at MAAIF, reaffirmed the Ministry’s commitment to supporting the facility’s operationalization. She provided regulatory guidance to ensure the facility meets all necessary export compliance requirements.

Arvin Kaufman of Avrica Foods, UAE, a key off-taker of the produice, stressed the strategic importance of the Entebbe Centre of Excellence, in positioning Ugandan products across the entire United Arab Emirates, not just Dubai. 

“Uganda must invest in branding its products well, so their origin is unmistakable. Otherwise, other countries may claim Ugandan produce as their own,” she cautioned. 

Kaufman also emphasized the importance of building trust between suppliers and buyers, emphasizing consistency in both supply volumes and product quality, as essential to entering and sustaining a presence in competitive export markets.

Dr. Peter Ngategize, Board Chairman of Uganda Exim Bank, commended the initiative and its progress. 

“It is encouraging to see tangible steps being taken. This model of public-private collaboration can be replicated in other sectors to drive export diversification. Uganda Exim Bank has supported more than six entities, and we are happy to partner with Afri Shamba, “he noted.

Also present were Afri Shamba’s Siyan Hudda, Ajuna Tadeo, James Mwcigi and PACEID’s Matthew Bagonza (Head of Secretariat), Maria Bisamaza (Standards Manager). Agaba Burnet from MAAIF also attended the event.

The PACEID team also toured the Departure and Arrival terminals of Uganda Connect hubs, which are being prepared for enhancement in anticipation of increased export traffic once the free zones become fully operational.

The Free Zones initiative aligns with Uganda’s export development goals; under PACEID’s four-pillar model: securing markets, meeting export standards, strengthening export infrastructure, and improving export financing- all aimed at building a more competitive and inclusive economy.

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