President Yoweri Museveni commissions Uganda’s first leather factory in Kawumu, Luwero district.
Over 200 workers will be employed directly and 100 employed indirectly by the factory.In the long run over 1000 workers will be employed directly and indirectly by the factory
https://www.youtube.com/watch?v=weYS5pU2cf8&feature=share&si=ELPmzJkDCLju2KnD5oyZMQ
The newly commissioned Kawumu tannery is worth 12 billion and seats on 10 acres of land located in Kawumu next to Museveni’s Presidential demonstration farm in Luwero.
President Museveni admires part of the leather produced at the factory
Uganda has been one of the top four exporters of hides and skins from Africa with East Africa alone having over 6m usd demand of leather annually.
President Museveni admires one of the leather shoes
While launching the factory, President Museveni revealed that this is part of his strategy to industrialize Uganda and stop the continued exportation of raw hides and skins.
https://www.youtube.com/watch?v=P4SM8m_dYsc
“Leather is imported, papers are also imported. When we came to Kampala, the milk which was consumed was from Denmark. I was like why don’t we use the Balaalo to get us milk from cows and we make products out it. That’s how we stopped milk importation. We also started manufacturing beer, soda etc from here. The war we have been fighting of late is importation.”
President Museveni added that soon he will be declaring a battle on paper importation. He committed to luring farmers into Bamboo growing as raw materials for making paper.
“The problem with importation is that those products are costly. After adding value to our hides and skins they get from us, the importers like Italians will export leather at a higher price. Additionally, We also give out our employment opportunities through importation….Now that we are done with leather importation, our next war is on papers. I don’t want us to import papers anyone,” he cautioned adding that he has plans to involving farmers with growing of bamboo for the paper industry.
President Museveni and Prime Minister Robinna Nabanjja admire part of the work done at the factory.
Prime Minister Robina Nabbanja gives her speech at the launch of Kawumu tannery
The Prime Minister of Uganda, Hon. Robinah Nabbanja appreciated President Museveni for being an experienced leader who loves and cares for Ugandans. She said it is the reason he is focused on promoting socio-economic transformation of Uganda through industrialisation.
https://www.youtube.com/watch?v=hYLfN5StM6Y
“I laugh at those who don’t support Mzee because there are a few people who have his experience. He has developed Uganda because of his experience and exceptional leadership skills,”Hon. Nabbanja said.
The Minister of State for Trade, Industry and Cooperatives, Hon. David Bahati said a few years ago President Museveni promised to solve the issue of leather and now he has done it.
Excited factory workers wave to President Museveni
“This factory is an important step in solving the problem of leather especially for the Small Scale enterprises that have been suffering to import it. We want to thank you, Your Excellency for your visionary leadership and we want to thank the State House Comptroller for executing the project,” Hon. Bahati said.
Ministry David Bahati at the commissioning of Kawumu Tannery
“The progress we are making in this country as far as industrialisation is concerned is very huge. All this would not be possible if it was not for your good leadership. We are now able to use our own resources to solve our problems.”
On the issue of import substitution and export promotion, Hon. Bahati explained that Uganda should protect its local companies by putting more taxes on imported goods.
Uganda is among the top four exporters of hides and skins from Africa, but barely earns USD 50 million from the process.
Hides and skins processsing going on during the launch
While launching the factory, President Museveni said for years, he has been having a war with importation of goods, citing it as one of the reasons he decided to set up a tannery factory in Kawumu.
“The previous governments were used to importing everything. That’s the problem with Africans. They even import dead people’s hair. Even that takes our money,” H.E the President complained.
Kawumu Tannery currently uses 10 tonnes of hides and skins per day, producing 20,000 square feet of leather.
The state House comptroller further explained to President Museveni that Atleast 35,000 square feet leather are produced from 10 tonnes, and 1kg of hides and skins costs 50 cents
Therefore with the current value addition profit increases to $2 per kg.
Currently the net profit from this factory will be approximately $5m per year
The State House Comptroller Jane Barekye further revealed that the tannery has now embarked on phase two which includes a shoe factory and land for these phase has already been procured. She revelead to President Museveni that with the shoe production a profit of us pro $10 from each shoes will be realized and upto $ 15.6m per year is expected from the factory including shoes’ production.
‘This factory will increase industrialization of industry livestock and price of hides and skins has already gone high, livestock farmers have already benefited and more jobs have been created’ Mrs Barekye, State house comptroller revealed
https://www.youtube.com/watch?v=nrAiYWNfZQ0
Over 200 workers will be employed directly and 100 employed indirectly by the factory.In the long run over 1000 workers will be employed directly and indirectly
Loy, a Ugandan of Indian decent explains to Museveni about the factory.
Mr Loy, the Executive Director-of Kawumu Tannery and the brain behind the factory refers to this as a modem sophisticated state of the art leather factory with global standards
The state Minister for trade David Bahati said that to protect this factory, a high tax will be imposed on leather products imported into Uganda.
The Minister of State for Trade, Industry and Cooperatives, Hon. David Bahati father said that a few years ago President Museveni promised to solve the issue of leather and now he has done it.
“This factory is an important step in solving the problem of leather especially for the Small Scale enterprises that have been suffering to import it. We want to thank you, Your Excellency for your visionary leadership and we want to thank the State House Comptroller for executing the project,” Hon. Bahati said.
“The progress we are making in this country as far as industrialisation is concerned is very huge. All this would not be possible if it was not for your good leadership. We are now able to use our own resources to solve our problems.”
On the issue of import substitution and export promotion, Hon. Bahati explained that Uganda should protect its local companies by putting more taxes on imported goods.
Currently there are over 100 factories in greater Luwero.
Located at Kawumu, Luwero district, the factory processes leather from hides and skins.
Below: Prime Minister Robinah Nabbanja arrives for the commisioning of Kawumu Tannery.