UGANDA – The first coffee roasting and packaging factory

UGANDA – The first coffee roasting and packaging factory

Andy Checkley 

The 700 million barrels of oil discovered in Uganda will be enough to provide for the country’s needs, but there could be plenty more under Lake Albert, the vice-president of Tullow Oil Group claimed last week.

The New Vision reported that Tim O’Hanlon said the discovery may be the “tip of the iceberg”, adding that “lots more oil” could be found under the lake between Uganda and the Democratic Republic of the Congo.

Uganda consumes around 11,000 barrels a day and is dependant on Kenya for fuel. Disruption of supplies in Kenya affect price and availability, but the company is considering providing oil for power in Uganda. The company is also investigating the possibilities of establishing a refinery in the area to meet the demand of countries throughout the Great Lakes region.

It is hoped that a refinery would reduce public worries about the “oil curse”. A local refinery would reduce conflict by creating worker skills, increasing tax income and creating more wealth for distribution, it is claimed.

The fuel issue was in the spotlight last week as the National Crop Resources Research Institute began research into commercial biofuel production. Scientists are optimistic of positive results early next year, reports the East African.

Lead researcher and molecular biologist Dr Yona Baguma said the project will pose no threat to food security. “We should not compete with food resources.”

However, experts warned the government that the growth in agrofuel crops such as groundnuts, soybeans and palm oil will worsen food security in Uganda, parts of which are already experiencing famine.

Geoffrey Kamese of the National Association of Professional Environmentalists, said: “Conversion of land into fuel production and food crops into green fuels will lead to an environmental and humanitarian disaster.”

First for Ugandan coffee

Africa’s first coffee roasting and packaging factory that will sell its products directly to European markets has opened in Kampala.

Good African Coffee is expected to sell its products directly to Tesco, Sainsbury’s, Waitrose and South African group Shoprite Checkers.

Ugandan president Yoweri Museveni noted that Uganda and Africa as a whole have lost revenue by not adding value to exports, pointing out the price difference between 1kg of coffee beans ($1) and processed coffee ($15). “This factory is a step to liberation because the country will retain the money it has been losing for lack of value addition,” he reportedly said.

The $1m roasting and packaging plant boasts production capacity of 3 million kilos a year.

“Today we celebrate a landmark not just as a company but as Africa the continent. This is the first time an African company is capturing the complete value chain and exporting to Europe,” said Good African Coffee chief executive Andrew Rugasira.

The company, established in 2003, operates fair trade, sharing 50% of its profits with growers and their communities. It currently employs more than 120 people and hopes to take on more.

Source: Guardian.co.uk