Why is Uganda a Cocoa growing country still importing powder and chocolate?

Cocoa bean production in Uganda increased from 145 tonnes in 1971 to 35,000 tonnes in 2020 growing at an average annual rate of 18.92%

Cocoa is Uganda’s fourth-biggest commodity export after coffee, tea and fish.

The cocoa market in Uganda was equal to 2.50 million USD in 2015 and its expected 11.90 million USD (in retail prices) by 2025 this is a 16.70% increment per annum for the period 2020-2025

In Uganda Cocoa is mainly grown in districts of Mukono, Buikwe, east of Kampala, western Uganda districts of Bundibugyo and Masindi, in fact when driving in these districts, it’s easy to spot cocoa trees by the road side.

It’s unfortunate that with the high demand of cocoa beans and cocoa by products like cocoa powder and chocolate most Ugandan farmers grow cocoa trees to sell the cocoa beans that are in the pods with no effort to value addition, this has in the long run cost farmers billions of shillings.
When one walks into Uganda supermarkets, the shelves are filled with cocoa products from countries of Europe and North America  and Kenya.

Whereas in Africa Kenya is one of the leading cocoa growing countries, in Europe and America where the biggest market is ,cocoa tree does not grow in there; they buy cocoa from Africa, this should be a market for cocoa farmers in Uganda to tap into!

Despite having good climate and fertile soils that facilitate cocoa growing, there is still need to increase cocoa production in Uganda.

A case in point, is ICAM Uganda Ltd which is supposed to export 5,000 tonnes of cocoa beans to ICAM Chocolate Italy Ltd but can only manage to export 2,000 tonnes annually.

The company is trying to encourage more farmers to join the cocoa business through provision of free cocoa seedlings and offering seminars on how to grow the crop but in vain.

Perhaps there is need for the Cocoa Development Project in Uganda to support farmers with seedlings and training on value addition to boost production and meet the increasing global demand

A Ugandan Cocoa farmer 

A table showing Cocoa trade indicators.

There are a few companies in Uganda that process coffee to chocolate but are still finding in had to penetrate the domestic market.

A  photo of Hannie chocolate produced in Uganda

It’s unfortunate that the exportation of cocoa beans is pushing the burden of high costs of transport  to the middleman and the country at large.

Some experts say Uganda  should atleast focus on exportation of semi-processed products like cocoa powder and butter.  

The advantage with this is that prices on the international market more than double .

Perhaps this should be a wake up call to the Ministry of Agriculture and Uganda investment authority.