Can you provide an overview of Tirupati Development Uganda?

Tirupati Development is a family-owned company that was established in Uganda in 2006, and chaired by Harshad Barot. The company operates primarily in the real estate development sector, specialising in the construction of shopping malls, housing estates, industrial parks and apartments. In addition to private development, Tirupati also operates as an official contractor, undertaking construction projects for the government of Uganda.

What projects are currently being undertaken by Tirupati, and how is the company’s approach to commercial condominium ownership different than its competitors?

We are currently in the final stages of constructing a 400-bed maternity and child complex at Masaka Regional Referral Hospital, on behalf of the government. The four-storeyed hospital will have an intensive care unit, two state-of-the-art theatres, gynaecology unit, labour and post-natal wards, and an antenatal and neonatal centre.

Our company has been at the forefront of introducing the concept of commercial condominium ownership in Uganda. Notable projects like Tirupati Ovino Market and Tirupati Mazima Mall exemplify this approach, enabling individuals to own units within shopping malls and industrial facilities. This innovative ownership model cultivates a shared sense of responsibility among stakeholders, fostering a distinct sense of community among property owners. We have ambitious plans to expand our portfolio with similar ventures tailored to a variety of industries, including an agricultural park in the future, thus making significant contributions to Uganda’s evolving business landscape.

Additionally, we have established the Tirupati Business Park, a sprawling 60,700-sq metre industrial park. This park has been designed to provide small and medium-sized enterprises (SMEs) with turnkey solutions for their operations. Currently, the park accommodates 150 warehouses, each dedicated to a unique industry. What sets our concept apart is our provision of all essential amenities required for businesses to flourish seamlessly, including reliable power connections, water supply and other vital infrastructure elements. As of today, our business park is home to a workforce of 2,000 individuals.

How is your organisation addressing the shortage of affordable real estate options in Uganda?

We have launched various initiatives within our business park. This includes the construction of budget-friendly apartments, the expansion of our business park with 253 new warehouses, and the creation of small-scale corporate offices tailored for mid-sized companies. This holistic ecosystem is designed to support SMEs by providing essential infrastructure and rental income opportunities, positively impacting Uganda’s housing and business landscapes. We anticipate completing the expansion within the next five years.

How does your company prioritise community development within its projects?

Community development is fundamental in each of the projects that we undertake. We closely engage with local leaders by respecting cultural values and fostering active communication with the community to highlight the benefits our projects. A significant part of our strategy revolves around ensuring the community understands the positive impact that our projects will have on future generations, including improvements in transportation and increases in property values. Additionally, through our NGO, Leela Foundation, we actively provide food resources to support the well-being of the elderly. We approach our projects with humility, viewing ourselves as partners working collaboratively with the community.

How do you assess the investment climate in Uganda, taking into account security, stability, governmental initiatives and overall business potential?

The investment prospects in Uganda are exceptionally promising. Uganda presents a diverse range of opportunities, catering to small-scale ventures, like manufacturing and larger endeavours. What makes Uganda particularly appealing is that significant returns can be achieved without requiring multimillion-dollar investments. Africa, as a whole, offers a unique landscape where minimal investment can yield substantial gains, with opportunities across various sectors.

Nevertheless, the perception remains that investing in Africa, including Uganda, involves a certain degree of risk or uncertainty. Some may not fully grasp the potential and success stories of ventures in East Africa. To change this perception, it is crucial to share the experiences of those similar to my father, who came from humble beginnings and achieved success through unwavering determination. Stories such as these are not fiction, but genuine accounts that underscore the untapped potential and opportunities that Uganda has to offer. In essence, Uganda’s investment landscape is a concealed treasure, awaiting both exploring and harnessing.

Amafh Farms: Pioneering Sustainable Macadamia Growth

World Business Journal talks to Morvi Asim, Founder of Amafh Farms about the success of his macadamia-growing initiatives, the surprising benefits of the crop for climate mitigation and his plans for rapid, sustainable expansion. 

How has Amafh Farms evolved over the years?

Celebrating our 20th anniversary this year, Amafh Farms has planted approximately 700 acres of macadamia trees over the past two decades. This achievement has solidified Amafh Farms as a symbol of sustainable agriculture and economic empowerment, where the well-being of our farmers and the prosperity of our crops are nurtured in unison.

Can you elaborate on the progress of the project?

Central to our initiative is the Macadamia Outgrower Extension Project (MOGEP), aligning with NDP 3 and the United Nations Sustainable Development Group (UNSDG) goals. The initial investment phase, spanning five years with an investment exceeding $30 million, should benefit 25-30,000 farmers and create 1.5 million jobs across Uganda. Our collaboration with the Ministry of Agriculture, Animal Industry and Fisheries (MAAF) allowed us to plant an additional 10 million trees with a 70% subsidy to growers. Moreover, we have plans to secure 100% subsidy support through engagement with NGOs and government bodies.

How does your business model combat climate change, especially in terms of carbon sequestration?

Macadamia cultivation is a powerful tool in mitigating climate change. Our research indicates that each hectare of macadamia trees absorbs over 17 tons of carbon from the atmosphere annually. Additionally, the trees’ 70 to 90 lifespan ensures sustained carbon absorption over multiple decades. This aligns with our commitment to environmentally friendly agricultural practices.

Could you shed light on your macadamia processing factory and value-added offerings?

As the sole macadamia processing facility in Uganda, our factory, which initially processed 300 kg of macadamias per hour, is evolving to meet heightened market demands. By the end of 2023, we are set to unveil a new facility with a significantly enhanced capacity of 6 tons per hour. This expansion includes an automated nursery generating 2-3 million seedlings annually. Moreover, we’re establishing a comprehensive training center in Mityana, offering our farmers an extensive seven-day program, covering pre-planting techniques, harvesting methods, and more.

In terms of value addition, we presently offer five distinct macadamia flavours. Looking ahead, we plan to introduce an extensive range of 40 to 50 new value-added flavours and products under the Macarica brand next year. This product line will encompass bars, macadamia-flavored honey, cold-pressed oil, and more, showcasing the exceptional versatility of this remarkable crop.

Simi Mobile Factory is Building Mobile Devices for Africa – Including the Solar-Powered Tablets for Uganda’s Upcoming Census. 

David Beecham Okwere, CEO, Simi Mobile Factory, talks to World Business Journal about the company’s striking expansion from a store to a mobile phone factory creating 2,500 units a day. 

Can you tell us about Simi Mobile’s development until today?

Simi Mobile’s journey began in 2016 with a modest retail store primarily focused on mobile phone sales. However, it was in 2019, driven by the surging demand for mobile devices, that we recognised the potential to enter the field of phone assembly. Equipped with vital market insights gained during a visit to a phone manufacturing facility in Ethiopia, we secured four acres of land here in Uganda.

With an initial $4 million investment, we acquired machinery, constructed facilities, provided training, procured materials, established critical infrastructure, and compensated our workforce.. 

Could you provide insights into your product lineup, capacity and the types of clients you serve?

Initially, our focus was on phones and smartphones but we have since diversified to include tablets, laptops, and other products operating across a spectrum of network technologies, from 2G to 4G so our users always stay connected.  Currently, we assemble 2,500 phones per day, with 70% going to  the domestic market and the remaining 30% exported to countries like Tanzania , Kenya and Morocco.

We serve both individual consumers and larger organisations such as the Uganda Bureau of Statistics (UBOS) currently preparing to use our solar-powered tablets to facilitate biometric data collection and data analysis during the upcoming population census.

Do you carry out work in the community? 

One notable initiative that exemplifies our commitment to impactful technology is the Ucasaf programme, a collaborative effort with the Uganda’s Communications Commission (UCC). which aims to benefit low-income households in rural villages. This began with a delivery of 1,000 tablets rising to 2,000 in the next order and 5,000 in the order after that, underscoring the program’s remarkable growth and its impact on communities.

What are Simi’s strategic growth plans for the future and how do you see your company’s role in shaping the African mobile market?

Simi Mobile’s strategic growth plans include expanding our workforce to 2,500 employees, increasing production capacity, and positioning Simi Mobile as a unique African brand in the mobile phone industry. Our goal is to become a source of pride for Africa, competing effectively with international brands while receiving essential support from the Ugandan government.

Uhome is Making Personal Tech for Ugandans and its East African Neighbours

Jiakun Wang, Co-Founder Uhome Holdings talks to World Business Journal about how tax incentives help boost the company’s competitive edge and the MiOne-maker’s ambitious export targets.

Please tell us about Uhome and how it came into existence.

Uhome was established in 2021 as part of the Tian Tang Group’s expansion strategy into Uganda’s growing ICT and electronics market. The group has had a presence in Uganda for over 22 years across 27 industries, operating in smartphones, tablets, home appliances, and supply chain solutions. 

We have three stores at the moment and plan to open two more in Arua and Mbale by year-end. We’re also launching some franchise stores soon. 

We made a $100 million investment in our cutting-edge Mbale facility which employs around 500 people and manufactures up to 2,500 MiOne smartphones daily. 

In October, we’ll expand into smartwatches and tablets, emphasising our commitment to local tech manufacturing and adjusting production based on market demand.

What sets the MiOne brand apart in terms of its technological characteristics?

With a decade-long presence in the Middle East, MiOne has gained recognition for its feature phones and smartphones. In our feature phones, we prioritise an extended battery life, offering up to 14 days of usage on a single charge.

As for our smartphones, the key differentiators lie in our commitment to customisation, addressing the specific preferences of our local customers. These devices come pre-loaded with social media apps tailored to the market. Additionally, we’ve made substantial improvements in battery capacity and camera features to enhance overall quality.

Can you provide details regarding the origin of components used in your phone and smartphone production?

We fully assemble our phones and smartphones in Uganda and plan to start manufacturing plastic components by the end of this year. As part of our commitment to contributing to the ICT development of the country and the knowledge economy, we aim to localise software component manufacture within the next four to five years.

Could you provide details about the skills program in partnership with Makerere University, aimed at enhancing youth employability?

We have established a skills programme in collaboration with Makerere University to bolster the employability of young talent. We offer internships to students about to enter the job market. The programme lasts three months and typically accommodates 5-10 students per cycle. We assess their performance during this period and select the most suitable candidates based on their achievements and potential.

Where are the primary export destinations for Uhome products?

At present, our primary export destinations include neighbouring countries such as Congo and South Sudan. However, we have ambitious plans to further expand our export reach, with Kenya and Tanzania as our targets this year. We are currently in discussions with our clients to finalize these agreements. It’s worth noting that approximately 15 to 20 per cent of our production is dedicated to meeting export demands.

What advantages and challenges characterize the manufacturing sector in

Uganda?

In the manufacturing sector, we benefit from various advantages, including tax incentives that bolster our competitive edge. Additionally, regional export-oriented policies within the East African Community (EAC) provide us with a favourable environment. 

However, we face competition from companies that import ready-made phones and possess stronger brand recognition in the local market. We are actively working towards enhancing our brand visibility and aim to capture a 40 per cent market share in the next three to four years.

Kagga & Partners’ Engineering and Management Solutions Bring Innovation to oil and gas, Hydro and Road Projects alike

World Business Journal talks to Eng. Abdu Kagga, Chairman of Kagga & Partners (KAGGA), about his company’s growth from house painting to an international engineering consulting firm working across the infrastructure spectrum.

Could you please provide an overview of Kagga & Partners (KAGGA) company, including your company’s beginnings? 

I founded our company in 1974 when I was 30. We initially carried out modest projects such as house painting. However, during a period of political instability, we had to interrupt activities and relocate temporarily to Nairobi. Upon my return, in 1980, I reestablished KAGGA with a primary focus on water-related projects. This was driven by our recognition of their vital importance to local communities. However, as time evolved, so did our expertise. We diversified our portfolio, offering a wider range of engineering and management solutions across various sectors. Our transformative journey to becoming a prominent consulting firm has been characterised by resilience and adaptability.

Can you provide insights into the ongoing projects currently undertaken by your company? 

Our company is currently involved in a diverse array of projects spanning various sectors. 

In the oil and gas domain, we are engaged in the Kingfisher project, overseeing the construction of well pads and infield roads. 

In road construction, our attention is on the extensive Tororo—Mbale—Soroti—Lira—Kamdini Road Corridor, covering a distance of 340 km. 

Within the energy sector, our efforts are directed toward implementing the Resettlement Action Plan (RAP) and related services at the Isimba Hydropower Project, among other initiatives.

Could you please elaborate on your international collaborations and their significance? 

Beyond Uganda, we are actively contributing to projects in Mombasa, Tanzania, Djibouti, Ethiopia, and South Sudan, particularly in the construction of roads, water supply systems, and a One-Stop Border Post (OSBP), the new concept for immigration control and border management in the East Africa region. 

Additionally, we are engaged in Somaliland for the development of the Hargeisa Bypass Road project. Fostering international partnerships has played a crucial role in our company’s growth. A prime illustration of this is our collaboration with Acres International (now Hatch) in which we became involved in a number of ambitious hydropower projects, including the Owen Falls Hydro-Power Extension Project. Collaborating with Tullow Oil, Uganda, gave us the opportunity to take part in the dynamic oil and gas sector. 

These partnerships go beyond mere cooperation; they’re a conduit for knowledge exchange, enhancing safety standards and stimulating our collective progress in the competitive global landscape. We’re not just working together; we’re forging stronger bonds with international and regional allies, shaping industries, and innovating for the future.

What is your vision for the company in the coming three to five years?

 I cannot predict the future, but over the past two decades, I have been less involved in the day-to-day operations, and I can tell you we have a robust succession plan in place. We also aim to consolidate our existing operations rather than pursue extensive expansion.

Kyagalanyi Coffee: A Journey through Uganda’s Coffee Sector

World Business Journal talks to Jeremy Mpalampa, General Manager of Kyagalanyi Coffee, about what makes Ugandan coffee special, adapting to ever-changing global taste, market and regulatory requirements. 

How did Kyagalanyi Coffee get started?

Kyagalanyi Coffee, a subsidiary of the Swiss-based Volcafe, was created in 1992 during Uganda’s coffee market liberalisation. Pioneers in the field, we secured an early coffee export licence, initially focusing on central Uganda. This endeavour led to the establishment of our facility in Bugolobi. During this period, Uganda began exporting 2.5 to 3 million coffee bags a year. The market’s opening allowed private entities like ours to participate in exports, marking the start of our pivotal role in Uganda’s ever-evolving coffee sector.

How many countries does the company export to and what is your current market share?

Our central facility at Kampala Industrial and Business Park, Namanve, became operational in 2015 and today we export to over 33 countries. Our export volumes have risen to approximately 500,000 to 800,000 bags annually, constituting about 10 to 12% of Uganda’s total coffee exports.

What key qualities and characteristics set Ugandan coffee apart in the global market?

Ugandan coffee’s distinction lies in the fact that both Arabica and Robusta bean varieties offer unique flavours when grown at our higher altitudes, varieties. For instance, Robusta from the central region has a softer, less harsh profile with prominent dark chocolate notes, while high-altitude Arabicas like those from the Bugisu region or the Eastern and Western parts of the country, showcase diverse flavour profiles from citric and fruity to distinct chocolate. The unusual coexistence of both Robusta and Arabica crops within the same origin provides a continuous coffee flow, making Ugandan coffee unique in consistency and diversity.

Are there any shifts in preferences and demands both locally and internationally?

Yes. Customers are demanding both higher quality and responsibly sourced coffee. They seek transparency regarding the origin and production of their coffee, with a particular focus on traceability and sustainability. These are central to our approach. 

Additionally, the popularity of specialty-grade Ugandan coffee is growing, emphasising its unique traits. To meet these demands, we have enhanced processing techniques and farmer training. Traceability and sustainability are central to our approach, aligning with global coffee consumption trends.

How is Kyagalanyi Coffee addressing the EU deforestation regulation and ensuring competitiveness in the European market?

Compliance with the EU Deforestation Regulation is crucial for exporters like us. From December 2024, all coffee entering the EU must have enhanced traceability and documentation confirming that it does not come from areas deforested since 2020. Non-compliance can incur substantial fines. We are actively engaged in industry-wide efforts, seeking solutions and partnerships to ensure adherence to these stringent requirements.

How is the company strategically positioned to remain competitive in the international market?

To address this challenge, the coffee industry is collectively adapting its supply chain to comply. We are actively involved in seeking solutions, including expanding traceability and sustainability programs with cooperatives and forming partnerships with organisations. While we have Rainforest Alliance certification for some of our exports, this represents only a portion. It’s evident that the industry must swiftly align with compliance requirements.

Q7: As we conclude, could you provide insights into the company’s upcoming strategies for the next 12 months, including those geared towards enhancing value?

We’re targeting exports of 600,000 bags and investing to enhance drying and bagging efficiency in our production lines. In terms of value addition, we’re expanding our existing brand, Big Gorilla, and introducing a new brand for the domestic market, Volcanic Republic, a blend of Robusta and Arabica finely crafted to suit diverse local taste preferences. 

Our unwavering commitment remains centred on delivering top-tier coffee quality while prioritising sustainability and traceability across our supply chain.

Supporting Oil and Gas Extraction in Uganda

World Business Journal talks to Geoffrey Bihamaiso Baitwa, Group Managing Director of BRO Group, covering the company’s evolution from a logistics provider to Ugandans overseas to a major player in the Ugandan oil and gas exploration support sector. 

How has BRO Group evolved since its inception as Threeway Shipping?

In 1991, Threeway Shipping launched in the UK, offering Ugandans door-to-door repatriation logistics services and pound-to-shilling forex and money transfer. 

We initially transported goods by air to Africa but transitioned to shared container sea freight via Mombasa when this got too expensive. 

In 1996, we introduced an import-export service between Uganda and Mombasa to meet regional demand. 

In 2002, we founded Threeways Distribution and Transtrac, providing light and heavy transportation services before undertaking a 2019 corporate restructuring. This consolidated ownership into a holding company called the BRO Group.

How many trucks are currently in BRO Group’s fleet?

As of 2023, we have 70 heavy or light trucks and 20 to 30 lifting equipment units. 

What are some of BRO Group’s ongoing engagements and projects?

Our presence is expanding significantly due to the resurgence of the oil and gas sector and we aim to capture up to 50 per cent of this business.

BRO Group has developed a new strategy, leveraging experience, value, and comprehensive turnkey solutions. We target infrastructure development and essential drilling services support for projects as these usually have a lifespan of up to seven years. 

As a result, we have won several new contracts including the Tilenga and Kingfisher projects, collectively valued at over $40 million. 

Does BRO Group have any ongoing partnerships or expansion initiatives?

We formed a JV with Grindrod Africa Logistics Mauritius and will together handle the surplus workload from our successful bids, enabling us to take on more work.

Is the group involved in any projects outside of the oil and gas sector?

We are pursuing projects in mining and are in discussions to provide solutions to a Chinese company we have previously worked with in Karamoja. These are related to clinker mining.

What are the latest technological deployments enhancing BRO Group’s operations?

We offer clients interactive technologies so clients can track their shipments in real time and access information about their cargo integrity.

How does BRO Group envision its emerging role in the logistics industry?

Through our offices in Tanzania and Kenya, we are strategically positioned to capitalize on regional developments in energy and mining, maintaining a special focus on oil and gas. 

We also prioritize nurturing partnerships, such as the one we have with the South African company.

Looking ahead, what is the broader vision and trajectory that BRO Group aims to follow?

In addition to supporting energy and mining, we aim to re-engage in import-export services and door-to-door delivery.

Over the next two years, we plan to invest between $6-7 million (out of a total investment of $9 million) in a cargo terminal in Hoima. Groundbreaking is scheduled for this year, with the first phase set to be completed by the end of Q4. 

Ultimately, BRO Group aims to become a listed company within five years.”

Tackling Uganda’s $1.1 Billion Cattle Tick Emergency with a Novel Vaccine Solution

World Business Journal talks to Stephen Birungi, Managing Director of Alfasan Uganda and Dr. Margaret Saimo-Kahwa, Makerere University, Principal Investigator and Lead Researcher of Uganda’s Anti-Tick Vaccine Development Initiative. They discuss how the government, private sector and scientists came together to establish Alfasan Uganda’s veterinary pharmaceuticals factory and create Africa’s first anti-tick vaccine. This promises an effective and efficient solution to the cattle tick menace in Uganda and beyond. 

Mr Birungi, what were the key factors leading to the establishment of the veterinary factory in Uganda, and how did this come to fruition?

We founded Alfasan Uganda in response to the exorbitant costs associated with imported veterinary drugs, chemicals, and feed products. The emergence of new competitors from China and India intensified the competition, rendering the existing business model unsustainable. 

My background as a veterinarian, coupled with prior involvement with a Dutch drug manufacturing company operating in Africa, encouraged me to formulate an ambitious 20-year plan aimed at shifting Uganda from import dependence to domestic production. 

This plan garnered significant support, with the Dutch government contributing a $1 million grant and the Uganda Development Bank (UDB) adding another $1 million to establish the factory. Furthermore, the Ugandan government, including the Ministry for Science, Technology, and Innovation (STI), provided financial backing. 

How did the partnership between Alfasan and Makerere University’s CoVAB unit come about?

HE President Museveni laid a foundation stone on the Alfasan factory in 2013. He subsequently took a keen interest in the project and suggested collaborating with Makerere University to advance the anti-tick vaccine initiative developed at CoVAB. 

Alfasan engaged with the researchers and started a successful initial vaccine batch production of 300 doses which is currently in the second trial phase. This is expected to span six months, after which we plan to apply for permission from the National Drug Authority (NDA) to produce vaccine batches, which we anticipate will be ready by September or October.

Subsequently, Alfasan will align the factory with the highest global manufacturing standards.

What sets Africa’s first anti-tick vaccine apart, and how does its unique functionality and affordability contribute to its breakthrough status?

Priced at only $4 per dose, representing only about 6% of farmers’ long-term costs, our anti-tick vaccine offers a cost-effective solution to tick-related challenges. 

Unlike less effective alternatives, farmers only need to administer two initial doses and an annual maintenance dose to livestock, providing a practical and economical solution. Moreover, the anti-tick vaccine tackles tick acaricide resistance with an environmentally friendly alternative, complementing other efforts to control ticks and tick-borne diseases.

Dr. Saimo-Kahwa, how does TicVac-U work against tick-borne diseases, and how effective is it?

TicVac-U kills both adult and developing ticks while reducing egg production. In stall experiments at CoVAB, the vaccine demonstrated 92% effectiveness against R. appendiculatus ticks responsible for transmitting East Coast fever (ECF) and 53% effectiveness against R. decoloratus ticks responsible for transmitting Babesiosis. It holds significant potential for protecting Uganda’s cattle population against these diseases.

What economic benefits will the TicVac-U vaccine bring to cattle farmers and Uganda as a whole?

Tick-borne diseases cost Uganda $1.1 billion annually. By substantially reducing the incidence of these diseases through vaccination, TicVac-U can lower mortality rates, boost livestock productivity, and reduce spending on disease management. This not only enhances cattle farming profitability but also contributes to the country’s overall economic growth by increasing agricultural output and minimising healthcare costs associated with tick-related illnesses.

May we ask you both about the impacts of the success of the TicVac-U vaccine?

The success of the anti-tick vaccine has spurred collaborations and progress in vaccine innovation. 

Despite challenges such as high interest rates, a proactive approach to supportive policies, knowledge transfer, and collaboration is reshaping Uganda’s vaccine industry and attracting investor interest. 

The team is also partnering with Malaysian experts to address specific challenges affecting local farmers. 

Additionally, our success has propelled advancements in human vaccines, leading to the launch of a new unit focused on COVID vaccine production using a subunit method [using purified parts of the pathogen to create a protective immune response]. This not only addresses immediate concerns but also strengthens Uganda’s capacity for vaccine manufacturing.

How did the veterinary factory overcome initial obstacles?

Alfasan surmounted initial funding challenges through partnership-driven solutions, relying on Dutch government grants and UDB loans. Government vision and support fortified our resolve amid technical and regulatory challenges. Persistence and compliance were pivotal, demonstrating the power of collaboration in conquering obstacles.

This to both of you: what role has partnership played in advancing vaccine development in Uganda?

The collaboration between government, scientific institutions, and the private sector has played a vital role in driving vaccine innovation, effectively addressing agricultural challenges, and paving the way for new developments. This includes the forthcoming introduction of an innovative vaccine unit.