Rice importers in Uganda have accused the government, especially ministry of Trade of promoting unfair trade practices following the introduction of new procedures for importing rice from Tanzania.
The traders, operating under the Kampala Rice Traders Association, say the Ministry of Trade has restricted import permits to a limited number of companies, leaving many established traders unable to access the market.
Association Chairperson Livingstone Ssenyonga said more than 80 companies have traditionally been involved in rice importation, but only 25 firms have reportedly been accredited under the new arrangement. Ssenyonga described the selective issuance of permits as discriminatory, arguing that it could distort competition in the rice market. He also questioned the accreditation criteria, claiming that some of the companies granted permits do not own rice outlets or retail shops.
The traders are calling on the government to urgently review the permit system and ensure that all qualified importers are given an equal opportunity to participate in the rice trade. Speaking at a press briefing in Kampala, several traders expressed frustration over what they described as a non-transparent process that threatens their livelihoods and could reduce competition, potentially pushing up rice prices.
They warned that if the matter is not addressed, businesses involved in rice importation, distribution and retailing could suffer significant financial losses.
The Ministry of Trade had not responded to the traders’ concerns by the time of filing this report.
Uganda’s rice imports from Tanzania are substantial, with annual imports reportedly valued at between $201 million and $224.6 million—equivalent to more than Shs760 billion—and amounting to hundreds of thousands of metric tonnes.
