The backbone of Uganda’s economy is agriculture. This field alone employs over 75% of the country’s population making agriculture the most important sector. Uganda has fertile soils and favorable weather. This allows for the production of food throughout the year for most regions of the country.

In comparison to other countries, Uganda is the food basket of East Africa.
The foods produced in Uganda include coffee, bananas, and oil seed crops (sesame, soybean, sunflower, etc.).

Other cash crops produced in the country include tea, cotton, organic cotton, tobacco, cereals. Fresh foods and vegetables, nuts, essential oils, flowers, poultry, and freshwater fish.
In Uganda, families grow food for consumption and sell the surplus in the farmers markets to get cash for other needs.
On the other hand, commercial farmers grow crops on relatively large scales and the products are sold on both international and local markets. Famers with well-developed logistics reach the ultimate market.

Value Addition.

The Agricultural Sector remains the most important in Uganda. It employs approximately 69% of the population and contributes about 26% to the GDP. The Government has increased the allocation to the agricultural sector budget to a 65% increase.

The main crops include grains, sugarcane, cotton, tea, and Coffee. These account for 20% of total export earnings and a third of foreign exchange earnings.
Under the National Development Plan 2. There is an emphasis on the importance of Agro-processing and Value addition of Uganda’s traditional cash crops.

Mainly in cotton ginning, tea processing, coffee hauling, and tobacco handling.

Agro-processing

Agro-processing and Value addition in agricultural production can take different forms and levels. These range from the basic to more sophisticated levels. e.g. packaging, processing, cooling, drying, extracting, or any other type of process that differentiates the product from the original raw commodity.

Investment opportunities in agriculture and Agro-processing are vast. These are ranging from cut flower production for exports, oil seed production and processing, cotton production, ginning, spinning and weaving. Also the production and processing of livestock products.