Uganda’s Ministry of Finance, Planning and Economic Development has recently stated that the East-African nation exported goods worth $674.54 million in March 2023, a 93.0 percent increase over the $349.44 million shipped in February 2023.
“Coffee exports during the month amounted to $71.54 million, an 8.4 percent increase from $66.03 million in February 2023. This growth was mainly attributed to exporters who off-loaded coffee from their warehouses for sale to benefit from the rising international price of Robusta coffee,” an extract from the report reads.
The African Business Insider reported that in comparison to the same month the previous year, the ministry officials said merchandise exports grew by 85.4 percent from $363.74 million in March 2022 to $674.54 million in March 2023.
Contributing factors This was primarily attributed to increased export earnings from mineral products, maize and tobacco during the month. Mineral products, mainly gold, increased significantly following the resumption of the gold trade in August 2022.
The East African Community (EAC) remained the top destination of Uganda’s exports in March 2023, accounting for 35.7 percent of total monthly exports. For Trade Balance with EAC in March 2023, Uganda traded at a surplus of $15.9 million with the regional bloc. “This was an 84.4% decline from the surplus of $102.4 million in the previous month.
The decline was largely due to imports from the Democratic Republic of Congo, Tanzania, and Kenya which increased considerably by $60.93 million, $60.1 million, and $14.19 million, respectively,” said Dr. Albert Musisi, commissioner macroeconomic department. However, trade deficits were recorded for Tanzania and Kenya, while surpluses were recorded for Congo, South Sudan, Rwanda, and Burundi.
A decreasing deficit
According to the data, Uganda’s merchandise trade deficit decreased from $297.66 million in February to $241.93 million in March 2023, a decrease of 18.7%. The merchandise trade deficit decreased from $292.94 million in March 2022 to $241.93 million in March 2023, a 17.4% decrease year over year.
