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PUBLISHED ON September 18th, 2018

Gov’t, Private Sector Move to Strengthen Logistics Sector

The Minister of Works and Transport Monica Azuba Ntege has said government will sign a memorandum of Understanding (MoU) with the Transport and Logistics sector to facilitate public and private partnerships (PPP).

Azuba said government was already reviewing the National Transport Development Strategy to include the logistics sector so that it can be helped to develop and improve as it is crucial for economic Development

This was during the official opening of the 2-day Global Logistics Convention 2018 taking place at Sheraton Hotel in Kampala.

Minister Azuba said Uganda has been involved in infrastructure works to improve transportation of goods and services and facilitate trade and would continue to invest heavily in roads, railway, water and air transport to enable trade.

“We have increased the number of Kilometers of the constructed roads from 1000 to 4500 in the last 10 years. We are in plans to construct the Standard Gauge Railway (SGR). Currently, major works to improve Entebbe airport are underway and government is in its last stages to revive the National Airlines. These will all facilitate the transport and Logistics sector and help in improving the country’s competitiveness,” she said.

The National Logistics Platform supports Trademark East Africa’s strategy to reduce transport (road, rail, and air) cost and time along transport corridors by 10 percent and increase efficiency in private sector logistics services provision.

It also expected to enhance customs and other trade-related agencies efficiency (25% reduction in time to process trade documentation) through integrated trade management systems and greater inter-agency collaboration.

Reduced tariffs, taxes, and levies by 5-8% overall (including sub-national) are expected to bring down exemption regimes, CET, and increase import/export tax incentives.

The Minister further noted that Uganda has improved in global ranking in trade facilitation from 83rd to 58th position and that new online  trade facilitation processes by Uganda Revenue Authority have enabled traders to process trade documents and clear goods in less than 2 hours.

However,  Azuba said more work needs to be done to improve Uganda’s competitiveness in the global market.

The Global Logistics Convention is organized by Uganda Freight Association (UFFA) under the Forwards Federation of East Africa Freight Forwards Association (FEAFFA) in partnership with the Ministry of Works and Transport, the private sector Foundation Uganda (PSFU) and funded by the UKAid through TradeMark Africa (TMA).

It is aimed at bringing together the private and public players, funders and the policy markets from around East Africa to share ideas, challenges and chart a way forward on how they can improve the Logistic Sector and use it to improve the trading environment in the region.

Speaking at the Convention, the PSFU ED, Gideon Badagawa said the Transport and Logistic Platform will give chance for the private sector to  partner with the Government in policy formulation  and help the sector grow to become a major player in shaping the growth and development of the Uganda economy. 

“The government is going to review the transport and roads policy and the private sector through the Logistics Platform have been invited to deliberate on policies that should be included to support the private sector to improve the sector. By working together with Government, the Logistics sector will definitely improve a lot,” said Badagawa.

Hussein Kiddedde, Chairman UFFA said the Logistics sector is a key driver to productivity and economic growth and the integration of Africa hence the need for Governments and Private sector to find ways of improving it.

“There is need to created a conducive environment by putting in place supporting regulations, emphasis on professionalism and use of technology to improve the sector at large,” he argued.

Source Chimp Reports

Disclaimer: The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of TradeMark Africa.

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