MAK Don Advises Uganda to Participate in Global Production Value Chain

1346 Views Kampala, Uganda
Uganda needs to diversify her exports by deliberately participating in the international production value chain, the Dean of the School of Economics at Makerere University, Prof Edward Bbale says.

According to Prof Bbale, with Uganda's exports of just a few products stagnating, the country needs to target high value global products by producing bits of the products in which they have comparative advantage.

Apart from gold, steel, cement and used vehicles, most Ugandan exports are agro-based; with coffee still the major export generating over USD 400 million (1.5 trillion Shillings) annually. The Uganda Export Promotion Board has also been stressing boosting agricultural production and value addition as ways of boosting exports.

Prof. Bbale says Uganda's strategy of focusing on agro-based exports needs to be supported by encouraging participation in other international production chains.

Prof Bbale says Uganda, as an example, could start making items like mobile phone leather casing or laptop bags, taking advantage of abundant raw materials like hides and skins.
 
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Prof Bbale says in order to break into the global production chain; the country needs to invest in research and innovation in universities, just like the Asian countries like China have done.
 
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The latest performance of the economy report released by the Ministry of Finance, Planning and Economic Development reveals that the total value of exports fell by 5.3 percent from 241 million dollars in June 2016 to 228 million dollars in July 2016.
 
The decline has been attributed to a decline in non-coffee exports and informal cross-border trade of commodities like gold, cement and food crops like maize, rice, beans, fruits and vegetables.

 

About the author

David Rupiny
In his own words, David Rupiny says, "I am literally a self-trained journalist with over 12 years of experience. Add the formative, student days then I can trace my journalism roots to 1988 when as a fresher in Ordinary Level I used to report for The Giraffe News at St Aloysius College Nyapea in northern Uganda.


In addition to URN for which I have worked for five years now, I have had stints at Radio Paidha, Radio Pacis, Nile FM and KFM. I have also contributed stories for The Crusader, The New Vision and The Monitor. I have also been a contributor for international news organisations like the BBC and Institute for War and Peace Reporting. I am also a local stringer for Radio Netherlands Worldwide.


I am also a media entrepreneur. I founded The West Niler newspaper and now runs Rainbow Media Corporation (Rainbow Radio 88.2 FM in Nebbi). My areas of interest are conflict and peacebuilding, business, climate change, health and children and young people, among others."