Editorial
1 October 2008
editorial
The proposed wheat and corn growing project by Egyptian investors in Uganda has raised eyebrows over contested claims by a minister in Cairo that as many as two million acres have already been allocated to the project.
Mr Reda Abd el Rahman Bebars, the Egyptian ambassador to Uganda, described the acreage claims as mere "rumours" since the project is still in its "initial stages." He said a delegation from Egypt will arrive this month on the invitation of President Museveni to agree on the logistics and a way forward for the project. Ugandan government officials have also said that no deal has been reached.
Members of Parliament led by Ms Beti Kamya, the opposition shadow minister for agriculture, are right to ask the government to go about this project in the open, given the importance of the investment to the country and Ugandans in general.
Uganda has favourable weather and large chunks of arable land which is not being used productively. If the thousands of acres of fertile yet dormant land we have across the country could be exploited and cultivated on a commercial basis, there is no doubt this country could become the food basket of the continent.
And with the well known Egyptian expertise in agricultural technology, Ugandans could actually have a lot to benefit from this project given that agriculture is the backbone of the economy.
The deal could provide a win-win scenario. Uganda has historical ties with Egypt because of the River Nile and trade between the two countries has been growing- rising to over $29 million in 2007 up from $9 million in 2004 and is expected to reach $40 million this year. A lot of that is money spent by Uganda on imports from Egypt. This deal might help correct this imbalance of payments by allowing Uganda to export to Egypt, which imports about 7 million tonnes of the cereal annually.
Uganda has been looking for ways of introducing large-scale commercial agriculture; Northern Uganda is stabilising and could potentially become the leading grain producing region in the country. The rising food prices are also being tipped to be a blessing for our subsistence population. It is important, however, that any deal signed offers tangible benefits to Ugandan farmers. This project is, therefore, too important to be left in the brief of President Museveni alone.
State House should hand over the negotiations to the relevant technical people and line ministries and ensure that the venture undergoes Parliamentary oversight to ensure that Ugandan farmers and traders in agricultural produce reap the full benefits of this project.
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