🇺🇬 TEA INDUSTRY UPDATE: GOVERNMENT ENGAGES STAKEHOLDERS ON IGARA TEA FACTORY RECOVERY
This morning, I joined the Rt. Hon. Deputy Speaker of Parliament, Hon. Henry Musasizi, Minister of Finance, Planning and Economic Development, the Permanent Secretary/Secretary to the Treasury, Mr. Ramathan Ggoobi, and fellow Members of Parliament from the tea-growing areas of Greater Bushenyi and Tooro in a meeting with officials from Igara Growers Tea Factory and DFCU Bank at Parliament.
The meeting addressed the governance and financial challenges affecting Igara Tea Factory, including its outstanding debts, the need for tax relief, and measures to restore normal operations and protect the livelihoods of tea farmers.
A key resolution was to halt the auction of the factory for four months as Government finalizes efforts to intervene. It was also emphasized that Government support to tea factories must go hand in hand with audits, accountability and stronger governance structures to ensure sustainable operations.
KEY MESSAGES TO OUR TEA FARMERS
1. Government is committed to protecting the tea industry.
Tea is an important source of livelihoods, employment and foreign exchange for Uganda. Government recognizes the challenges facing our tea factories and is working with the relevant stakeholders to develop appropriate interventions. We must protect the industry while ensuring that public resources and financial obligations are handled responsibly.
2. Factory recovery must be based on audits and accountability.
The ongoing audits will help establish the financial position and governance challenges of the affected factories and identify appropriate recovery measures. Parliament and the Executive will continue engaging stakeholders to ensure that decisions are evidence-based and support the long-term viability of the industry.
3. Timely fertilizer distribution is essential.
I appreciate Government’s commitment to supporting tea farmers through fertilizer provision. With the fertilizer delivered, I urge the Buhweju District Chief Administrative Officer and the relevant technical staff to expedite its distribution to the intended beneficiaries. The planting and fertilizer application calendar cannot wait for administrative delays. Timely application is critical to productivity, leaf quality and farmers’ incomes.
4. Sustainable solutions must unlock the industry’s full potential.
Uganda’s tea industry has an estimated economic potential of USD 600 million. Realizing this potential requires more than emergency interventions. We need sustainable financing, adequate working capital, improved agricultural practices, reliable markets, value addition and effective factory governance.
I therefore encourage organizations such as Buhweju Community Transformation Initiatives Limited (BCTI) to continue providing research, evidence and practical proposals to guide Government and industry stakeholders in making timely and appropriate decisions.
I particularly commend BCTI for developing the Tea Industry Performance Improvement Strategy (TIPIS) 2025, which promotes good agricultural practices and highlights the importance of sustained fertilizer application in improving tea productivity and quality.
5. Farmers must remain engaged as recovery efforts progress.
I welcome the proposal to visit tea-growing communities across Greater Bushenyi to explain directly to farmers the measures Government is taking to revitalize the sector and encourage the resumption of green-leaf supply as factories work towards recovery.
I appeal to our farmers to remain hopeful and engaged as these interventions progress. Their concerns must remain central to the decisions being made.
MY COMMITMENT AS WOMAN MP FOR BUHWEJU
I will continue working with the Deputy Speaker, the Ministry of Finance, the relevant Government agencies, district leadership, financial institutions, factory operators, farmers and industry organizations to promote a sustainable solution to the challenges affecting our tea sector.
Our objective is to protect farmers’ livelihoods, restore factory operations, strengthen governance and accountability, and build a resilient tea industry that benefits both the people of Buhweju and Uganda as a whole.
We must not allow temporary governance and financial challenges to destroy the long-term economic potential of our tea industry. Our farmers deserve a sustainable solution.
Hon. Nnamara Annet Oyes Byamukama
Woman Member of Parliament, Buhweju District
29/10/2026
