Uganda: Producers Stuck With Sugar As Tax-Free Imports Flood Market

16 January 2012

Local sugar manufacturers have said they are stuck with the commodity as a result of tax free imports that the government authorised to enter the country at the height of the sugar crisis early last year.

Speaking in an interview last week, Mr Jimmy Kabeho, the chairman of the Uganda Sugarcane Technologists Association, told Daily Monitor the three major local manufacturers - Kinyara Sugar Works, Lugazi Sugar and Kakira Sugar Works - are stuck with stocks of sugar as tax free imports flood the market. He said: "We are stuck with stocks yet a lot of sugar is entering through all borders, especially Tanzanian. This is limiting our sales."

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