PRO Industries Denies Withholding Shs2.5bn from Maize Suppliers

The maize processor says supplier claims are disputed over discrepancies in delivery records, while proposing reconciliation before settling any amounts found to be genuinely owed.

PRO Industries has denied claims that it is withholding more than Shs2.5 billion owed to maize suppliers, saying an internal review found discrepancies and inflated figures in statements presented by some suppliers.

The company issued the statement following a protest at its facility in Ndibuluungi, Butuntumula Sub-county, Luweero District, on August 13, 2026, where more than 70 maize traders reportedly demanded payment.

PRO Industries Founder and Executive Director Vasundhara Oswal said the company became concerned after identifying discrepancies in the supplier statements and receiving reports of alleged threats against its weighbridge personnel.

“We identified inflated figures in the supplier’s statement and have received evidence concerning threats made to our weighbridge personnel in an attempt to manipulate records,” Oswal said.

She said the company would not make payments that cannot be supported by its records.

“We will not allow anybody to intimidate our employees or pressure this company into paying money based upon false or manipulated information,” she said.

The company said weighbridge records are central to determining the quantities of maize delivered to the factory and the corresponding amounts payable to suppliers.

According to PRO Industries, it had invited the supplier involved in the dispute to reconciliation meetings with its accounts department to resolve differences in the records, but the invitations were not taken up.

The company also said it proposed a memorandum of understanding under which it would immediately pay 50 percent of the undisputed amount, with the remaining balance to be settled after a reconciliation of the records.

PRO Industries said the proposal was rejected.

Oswal said the company remained willing to settle genuine claims but insisted that suppliers must provide verifiable documentation supporting their demands.

“If somebody has a genuine claim, they should prove it through genuine records. A company cannot be expected to pay money simply because somebody creates a public disturbance and demands it,” she said.

She added that PRO Industries would continue paying legitimate claims but would not knowingly make payments based on what it considers inflated or manipulated records.

The company also expressed concern that the dispute could damage the reputation of Uganda’s agricultural suppliers.

PRO Industries Director Riddhi Oswal said the conduct of one supplier should not be used to judge thousands of farmers and traders who do business with the company.

“It is a shame that conduct of this nature can create such a damaging impression when the overwhelming majority of Ugandan farmers we work with are honest, hardworking people,” Riddhi Oswal said.

The company thanked the Luweero Resident District Commissioner and police for intervening during the August 13 protest.

PRO Industries said it was preserving relevant records and evidence and would continue cooperating with authorities regarding the alleged threats and attempted manipulation of weighbridge records.