Industrial Park Development

PROJECT PROFILE

 

 

Project Description

The government of Uganda aims to have 25 industrial parks around Uganda to facilitate industrial growth and output. The industrial parks program has been put in place to foster Agro-production and facilitate sustainable development in key areas of the economy.

The government of Uganda has acquired land across the country to support investors interested in setting up industrial parks. Uganda investment authority is seeking partners interested in setting up the industrial parks.

Existing infrastructure to support investment, market size, tax incentive for industrial park development, non-tax incentives.

 

 

Growth drivers

• Existing markets for agricultural products and income generation in Uganda, East Africa and Africa.
• Access to tax incentives and tax holidays of up to 10 years
• Land availability for expansion and production for backward and forward chains
• Competitive cost of production in East Africa and Africa.
• Impeccable regional security and strong Government support
• Access to high voltage power and industrial water
• Strong investment and promotion of businesses by Government of Uganda
• Massive industrial developer migration from emerging markets to frontier markets like Uganda
• Access to the East Africa, Africa and international markets

 

Existing infrastructure to support the investment

• Tarmacked road to all the existing park sites
• Surveying of land and serviced all weather murram roads
• Uganda’s transmission network comprising 2890 km of line length at voltage ranging from 66Kv TO 220Kv
• Existing national water in all parks
• Existing soft and hard infrastructure like internet
• Existence of substations in all industrial park site

 

Market size

Local market

• Local offtake of industrial park serviced land is at 30% annually and this increases at a 7% annually

Current East Africa Block

• Uganda stands to benefit form this regional growth in demand by exporting products to the region. Targeting up to 20% of the EAC market and 5% of the African Market. Uganda intra-regional trade has grown from 7% to 40 % and expected to grow in the EAC region. The Africa Free Continental Trade and the existing Common Market protocols like COMESA, SADC will increase Uganda’s export basket annually.

 Tax Incentives for The Industrial Park Development

1. 10 years tax exemption for the leasing or renting an industrial park
2. 10 years tax exemption for investors operating in the industrial park
3. 10 years tax exemption on the VAT for any developer for the industrial park, specifically;
   1. Feasibility studies
   2. Design to construct services
   3. Earthmoving equipment and machinery
   4. Construction materials
4. 100% tax allowable on training costs
5. Plant and machinery imported free of duty

Non-Tax Incentives

1. Competitive electricity costs in the region averaging USD 5 cents per kWh

 

Reach out to us to schedule a meeting to discuss and present this lucrative project in details.

info@infotechslovakia.sk

+421 902 254 939

 

 

Image source: Independent.co.ug, 2020, www.independent.co.ug/wp-content/uploads/2024/02/Kampala-Industrial-and-Business-Park00.jpg. Accessed 28 Feb. 2024.