project brief

Gulu Logistics Hub

Implementor

Ministry of Works and Transport Uganda and Uganda Railways Corporation

Target Group

Importers, Exporters, Transporters

Project Value

USD 8.4 million

Implementation Period

2018- 2022

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Why this project?

In recent years Uganda has played a vital role as a distribution hub for South Sudan and the Eastern DR Congo. However, importers in South Sudan and DRC keep supplies (exports and re-exports) in bonded facilities in Kampala which increases the cost due to the distance the goods must travel.

The route to South Sudan and DRC passes through Northern Uganda, despite the large volume of goods en-route to these markets, there is no distribution hub in Northern Uganda. The northern region depends on Kampala and Jinja distribution hubs.

The operationalisation of the Gulu Logistics Hub is therefore expected to address some of the issues that hamper distribution of cargo in Northern Uganda, South Sudan, parts of DRC.

What:

The Gulu Logistics Hub will respond to the logistics needs to the northern region by providing functions such as container and break-bulk, handling and storage facilities including bonded and non-bonded warehouses, space for stakeholders dealing with freight transport and the provision of accompanying services such as customs inspections, tax payment, maintenance and repair, banking, and information communication technology connections.

The Gulu Logistics Hub envisages the construction of bonded and non-bonded warehousing facilities through private sector investment.

How:

TMA, with funding from the United Kingdom Foreign, Commonwealth and Development Office (FCDO) (USD 3.2 million) and the European Union (USD 5.2 million) is financing the construction of the Gulu Logistics Hub. Government of Uganda through Uganda Railways Corporation has provided land for the logistics hub.

Contact:

Programme Manager OSBPs: Michael Ojatum (Construction)
Michael.ojatum@trademarkea.com

Ag. Senior Programme Manager: Sandra Kirenga (Transaction Advisory)
sandra.kirenga@trademarkea.com

Click here to learn more about One Stop Border Posts Program

Desired Results

The Gulu Logistics Hub seeks to:

  • Respond to the logistics needs of Northern Uganda by improving the capacity of transport infrastructure to serve markets in South Sudan, Northern Uganda and parts of DR Congo.
  • 20% average reduction in transport cost per ton of containerized cargo
  • 30% average increase in round trip time by trucks.
  • Streamline trade logistics processes for clearing goods due to closer proximity of customs and other regulatory agencies.
  • Facilitate the quick clearance of humanitarian agencies and streamline the dispatch of humanitarian assistance in the region

Handle 10,000 containers annually once the logistics Hub becomes operational

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