Angry maize suppliers block factory entrance over Shs2.6b debt
Some of the protestors seen at PRO Industries Limited in Butuntumula Sub-county, Luweero District on August 13, 2026.
Operations at PRO Industries Limited in Butuntumula Sub-county, Luweero District, ground to a halt on Thursday after dozens of angry maize traders blocked the factory’s main entrance with their trucks, demanding payment of more than Shs2.6 billion for produce delivered since March.
The aggrieved traders, who claim to have supplied approximately 3,000 tonnes of maize to the processing plant, refused to allow any vehicles to enter or exit the premises for hours, paralyzing normal business activities.
Mr Ismah Mubiru, the director of Limewell General Stores, which holds a supply contract with PRO Industries, stated that the company breached an agreement requiring prompt payment upon the issuance of a Local Purchase Order (LPO).
"According to the agreement, we are supposed to be paid promptly after the LPO. But this has taken months, with the company making empty promises every now and then," Mr Mubiru said.
He further accused the firm of attempting to underpay suppliers by offering a fraction of the total outstanding debt.
"They want to cut our money, claiming that according to their LPOs, they owe us only Shs900 million. We cannot accept that because we have supplied maize worth more than that," Mr Mubiru added.
Several individual traders expressed frustration over the prolonged delay, describing severe financial strain. Mr Jamadah Lubega noted that he is owed approximately Shs160 million, while Mr Ismael Sengooba is demanding Shs96 million for his supplies.
Mr Steven Mugumya, who supplied grain through Limewell General Stores, revealed that he secured a Shs50 million bank loan to finance his purchases and now faces the threat of losing his collateral.
"If I had received my money on time, I would have bought more maize at the lower price and made a good profit," Mr Mugumya said, explaining that grain prices have since surged from Shs950 to over Shs1,100 per kilogramme. "Now my money is stuck and the bank is demanding its loan."
In response to the allegations, PRO Industries Human Resource Manager, Mr Raj Gautam, denied that the firm was acting in bad faith, explaining that management had identified accounting discrepancies that must be resolved prior to disbursing funds.
"We found some irregularities in their accounts and called them for reconciliation. They came and spent nearly a day in the office, but they did not cooperate," Mr Gautam said. "We are not against paying the money, but we first need reconciliation of the invoices."
Mr Gautam also clarified that official company records only recognize Limewell Suppliers Limited as their contracted entity, discounting claims from independent traders operating outside that contractual framework.
"We don't know you; we only know Limewell Suppliers Limited," Mr Gautam stated.
The standoff prompted the intervention of Luweero District Police Commander, Mr Brighton Ahimbisibwe, alongside Deputy Resident District Commissioner, Mr Abel Bakunda, who convened a joint mediation meeting at the factory premises.
The suppliers eventually agreed to clear the entrance after security officials assured them that a formal reconciliation meeting would take place on Monday, August 17, where all parties are expected to present supporting documentation to settle the dispute.
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