Development of industrial parks in different regions of the country must be prioritised, lawmakers have implored government.

In a plenary sitting chaired by Speaker of Parliament, Anita Among on Thursday, 03 October 2024, MPs expressed concerns over unutilised land meant for industrial development.

Hon. Milton Muwuma (NRM, Kigulu County South) said much as land in Iganga District was identified for the establishment of an industrial park in Busolwe, no progress has been made.

“The former Prime Minister, Ruhakana Rugunda kept visiting that place and engaging stakeholders in a bid to establish an industrial park there. Recently we were told that positions changed. We need to know what the way forward is,” said Muwuma.

Hon. Pius Wakabi (NRM, Bugahya County) noted that government secured land eight years ago in Kabale Sub County in Hoima District to construct an industrial park, which has remained pending.

“Government paid money and they relocated people but currently, this land is being encroached on by unknown people. When is government going to start the construction of this industrial park?” said Wakabi.

Ntoroko County MP, Hon. Ibanda Rwemulikya brought forward the case of Fort Portal City that was earmarked for the establishment of an industrial park, where the land that was secured has not yet been developed.

“This industrial park would boost the entire region, given the fact that we border with Congo and therefore, our trade would be boosted. If we have it up and running, it will bring more economic activity in the region,” Rwemulikya noted.

Hon. Martin Ojara Mapenduzi (Indep., Bardege-Layibi Division) asked whether there are still plans to set up an industrial park in Gulu District.

“A few years back, the Uganda Investment Authority got in touch with Gulu District Local Government, with the intention of establishing an industrial park. We provided land but unfortunately, over 13 years down the road, the whole thing went quiet,” Mapenduzi noted.

Money that was meant to be released for infrastructure development in the Mbale Industrial Park has also not been released, according to Hon. Karim Masaba (Indep., Industrial Division).

“About Shs66 billion was budgeted for both Mbale and Kapeeka. The Shs32 billion which was not released was meant to do work in Mbale like roads and culverts. Can the minister enlighten us on why Mbale was left out as one of the key projects?” Masaba queried.

The legislators’ concerns stemmed from a report by the Public Accounts Committee (Committee on Commissions, Statutory Authorities and State Enterprises - COSASE), on the financial statements of the Uganda Investment Authority (UIA) for the financial year ended 30 June 2023.

The committee observed that UIA was behind schedule on implementation of a presidential directive that envisaged complete establishment of 22 industrial parks by 2020.

It further observed that at the time of the directive, UIA already had active industrial and business parks set up in Kampala, Luzira, Bweyogerere, Jinja, Mbale, Soroti and Kasese.

Minister of State for Finance, Planning and Economic Development (Privatisation and Investment), Hon. Evelyn Anite, attributed delays on works at some industrial parks including Mbale, to cash flow challenges.

“That is why we have not yet released the money for the two industrial parks in Mbale and Kapeka. However, for Namanve Industrial Park, it is under a loan that was approved by Parliament, and the money is available,” Anite said.

She noted that engagements with Gulu District Local Government revealed that the land availed for development of an industrial park in Acholi sub-region was in Pader District but none the less, government did not have money to develop infrastructure there.

The minister added that government has not received funding for the acquisition of the land in Iganga District, for the development of an industrial park.

“The President guided that we must go to areas where the local governments can avail free land in their districts. When we wrote to the local governments, we were able to get land in 28 locations in the 18 zones of Uganda,” Anite said.

She committed to bring before Parliament a treasury memorandum within six months, to make good on recommendations by the Committee that have financial implications.