Ntungamo Positions Itself for Industrial Transformation

The Africa Coffee Park

The district is trying to ensure that new investments generate jobs and revenue while protecting land, the environment and the interests of local communities.

Ntungamo is emerging as a new industrial hub, with coffee processing, mineral development, pig iron production and agro-processing investments reshaping the district’s economic landscape.

The developments are creating employment and attracting private investment while driving demand for better electricity, roads, water and other infrastructure needed to sustain industrial growth.

In Rwashamaire, the Inspire Africa Coffee Park is processing coffee into finished products and employing hundreds of workers.

The company plans to expand into agro-tourism, establish a coffee city and integrate local farmers into its operations as it seeks to reduce Uganda’s reliance on raw coffee exports and increase the country’s share of value from the global coffee market.

Nelson Tugume, the Inspire Africa chief executive officer, said industrialisation requires both political commitment and a change in mindset among Ugandans.

“Industrialisation is about the mindset and collective responsibility of the people of a country. You must look at the industrialisation policy,” Tugume said.

"We have a Head of State who has come up and agreed with everyone that the time is now to industrialise. That should be turned into a tangible policy by our leaders at every level, from Cabinet, members of Parliament to district leaders."

In Mwerasandu, the government is supporting H5 Resources to develop a tin mine intended to increase mineral production, promote value addition and create employment.

The area currently has more than 1,000 artisanal miners, with authorities warning against the smuggling of minerals and calling for greater formalisation of the sector.

Asuman Kigongo, the Ntungamo district vice LC5 chairman, said attracting investors was part of the district’s strategy to tackle unemployment.

“To curb the issue of unemployment in Ntungamo, we resorted to bringing on board investors who have industries and production,” Kigongo said.

At Kakukuru in Rwenanura Town Council, TERRA Industrial Development has launched East Africa’s first pig iron plant.

The plant uses an electric furnace to process locally mined iron ore into pig iron, which is supplied to steel manufacturers. The company plans to expand production to steel billets.

However, the project faces challenges including unstable electricity, low voltage and poor roads, which officials say could constrain industrial growth if not addressed.

Ntungamo district authorities also say environmental protection must remain central to the expansion of industries.

The district LC5 chairman said authorities would ensure industrial development does not come at the expense of the environment.

“We are going to make sure that whatever they do, at least we protect our own environment,” he said.

The district is also securing and titling government land, particularly in Rushenyi, Ruhama and Kajara, as part of efforts to create planned space for future investments and public infrastructure.

Kigongo said securing government land was necessary to ensure future development is not constrained by land shortages or encroachment.

“As local government, we started with the protection of government land because in future development, you must take into consideration the resources. We said we must title all the government lands so that the projects which are coming on board must find the available land to use,” he said.

The expansion of industrial activity is also expected to increase employment and boost local government revenue through local service tax, operational licences and building approval fees.

Ntungamo District Local Government has set a local revenue collection target of Shs1.8 billion for the current financial year.

Fidelis Kiza, the Ntungamo Chief Administrative Officer, said the growing number of companies and industries was already strengthening the district’s revenue base.

“I am happy to note that our local revenue is being boosted largely because we are having these companies and industries established by our investors,” Kiza said.

The district's industrialisation drive reflects a broader national ambition to move households away from subsistence production towards a modern, industrial and money-oriented economy.

For Ntungamo, however, the pace of transformation will depend on whether authorities can provide adequate infrastructure and reliable energy while managing land, environmental protection, taxation and local participation as investments expand.

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