The government today signed a memorandum of understanding with the Prime minister of the Kingdom of Thailand, Yingluck Shinawatra, to supply agricultural products and commodities for five years.

Shinawatra, who is on a state visit to Uganda at the invitation of President Museveni, was accompanied by several members of the Thai Royal government and a business delegation. In the memorandum, the two governments also agreed to promote and facilitate trade and investment.

They agreed to set up a joint committee to coordinate, guide and oversee cooperation in the areas mentioned in the memorandum.

The deputy Prime minister of Thailand Plodrasop Suraswadi and state minister for Foreign Affairs Okello Oryem, signed two memorandums, one on cooperation and food security, trade and investment in agriculture products and commodities, and the second in the area of technical cooperation.

Another memorandum was signed between the private sector of Uganda, by Uganda Investment Authority on behalf of Uganda, and the Board of Trade of Thailand. Shinawatra said the Thai government would renovate Itojo primary school.

Shinawatra and her entourage are in Uganda to assess the investment potential and opportunities that they can harness in Uganda.

Thabit Saleh, the Director of Uganda Gas and Merchandise Company says, Thai investors are primarily interested in agriculture, which comprises palm tree planting projects, bio-diesel, information technology products, real estates, tours and travels, beverage distribution and other business chains like spas and restaurants.

Shinawatra, who is also the Defence minister, will visit Mozambique and Tanzania, in a bid to strengthen economic ties between African countries and Thailand. She held a meeting with President Museveni and later held a bilateral meeting that included technocrats from both countries.

Currently, trade between Uganda and Thailand stands at $20m per annum, but Museveni said this can be increased if Thai entrepreneurs tap into tourism and real estate investment opportunities in Uganda.

Diplomatic ties between Thailand and Uganda were established in 1985.

In 2001, former Prime Minister Thaksin Shinawatra launched an initiative called "one village, one product" to spur Ugandans to utilise their natural resources to eradicate poverty. He was overthrown in 2006 following a military coup.

In 2010, he won and operated a five-year lotto concession "Go Lotto" but the company collapsed last year. It is Thaksin who alerted the Thai energy industry about investment opportunities in Kampala especially in oil.