Parliamentary Committee on Tourism, Trade and Industry Adopts CSO Proposals on the MOU between Government of Uganda and UVCCL
Uganda is the leading coffee exporter in Africa, and the second-largest coffee producer in Africa, exporting over 6.5 million bags (60Kg bags) between April 2021 and March 2022. Uganda is able to attain this production through the efforts of over 1.7mi11ion coffee farm household producers that are part of the value chain offering employment to over 5 million households engaged in related activities.
On 26th April 2022, Civil Society Organizations (CSO) led by SEATINI Uganda presented a Position on the investment agreement/ Memorandum of Understanding (MOU) between Government of Uganda and the Uganda Vinci Coffee Company (UVCCL) Limited to the Parliamentary Committee on Tourism, Trade and Industry. SEATINI Uganda appeared before the Parliamentary Committee on Tourism, Trade and Industry together with other CSOs including Food Rights Alliance (FRA), Uganda Consortium on Corporate Accountability (UCCA), National Coalition of Human Rights Defenders (NCHRDs) and Center for Food and Adequate Living Rights (CEFROHT).
During the presentation, CSOs furnished the Committee with information regarding the impact of the Uganda Vinci Coffee Company Limited agreement on coffee sub sector, Uganda Coffee Trade and Uganda’s economy as a whole.
The Coffee agreement between the Government of Uganda and UVCCL among other things; grants UVCCL tax exemptions, special electricity tariffs and unfair monopoly in the coffee sub sector.
While making a presentation to the Parliamentary Committee on Tourism, Trade and Industry, SEATINI Uganda, Executive Director, Ms Jane Nalunga emphasized that broadly, the agreement between Government and UVCCL is a badly negotiated agreement for the country.
On 18th May 2022, the Committee on Tourism, Trade and Industry presented its report on the investigations pertaining to the Government of Uganda and Uganda Vinci Coffee Company Limited Memorandum of Understanding that was signed on 10th February 2022. The report that was adopted the Speaker of Parliament of Uganda and the whole 11th Parliament directed the Executive to terminate the agreement. Furthermore, the Government was directed to terminate the agreement and report back to Parliament, within 6 months from the date of adoption of its report.
The Committee report which was presented to Parliament by the Chairperson, Parliamentary Committee on Tourism, Trade and Industry, Hon Mwine Mpaka highlights several CSO proposals that were considered by the Committee following the meeting with SEATINI Uganda and other CSOs.