#OutToLunch We can’t make face masks and then wear used underpants

By Denis Jjuuko

A week ago, seven factories were opened in Namanve near Kampala. The president was there as ever to launch them. As ever, none of these factories which will make stuff such as tarpaulins and gumboots belonged to a Ugandan. It seems foreigners are seeing what we can’t see.

What makes foreigners set up factories while we happily board the planes to go to China to import stuff the Chinese are happy to make here? There are many theories I hear one being that the government favours foreigners. I don’t want to agree.

Foreigners come from a background where stuff are made and have understood that making things isn’t as difficult as many Ugandans think. The seven factories, according to The New Vision, were worth a mere US$12 million or approximately Shs44.4 billion. Each factory, therefore, cost just Shs6.4 billion. These seven factories will employ more than 2,000 people.

This sadly reminded me of the debate some Ugandans love to make about manufacturing and assembling especially when it comes to vehicles. These Ugandans like to argue that you can’t manufacture cars in Uganda (yet 90% of buses on Ugandan roads are made in Kenya). That you can only assemble them and therefore that Uganda has not manufactured a car!

Can anyone manufacture a car? An average car has more than 20,000 parts. Carmakers the world over source parts from the global automotive value chain. This value chain is comprised of hundreds of companies majority of which many of us have never heard of.

I drive a small Japanese car. At the back of its key, there is a logo of the carmaker and something in small print that reads “Omron Corporation.” Omron Corporation made the key system as well as its automation system that detects many stuff including rain and whether I need a break from driving or not among others. Another company called Takata made its airbags. The music system is from Sony while the tyres are from Bridgestone. I can list many other parts but it will bore you.

The Kiira Motors vehicle production facility under construction in Jinja

If you are keen about cars, you will also notice that some vehicles resemble each other even when they carry a different nameplate. Spear Motors sells Fiat Fullback Double Cabin pickups that look exactly like the Mitsubishi Sportero double cabs sold by Victoria Motors. The Tata lorries of the 1980s, if you are above 40 years old, that belonged to your school look exactly like the Mercedes Benz trucks of 40 years ago. South Korea’s Ssangyong Musso has a partnership with Mercedes Benz to use its technology same way Kiira Motors works with China electric car giant CHTC. There are many collaborations when it comes to the production of stuff. Buying parts or technology from the various suppliers is how stuff are made. If you are reading this on iPhone, know that Apple made no single part of what you are holding. Every part comes from somebody in the smartphone value chain.

Let us bring this closer to home. Think of Kampala Serena, a 5-star hotel in Kampala. They prepare a buffet every day. The stuff they use to make that buffet comes from various suppliers from the food value chain. They don’t grow matooke or peanuts. They make no cooking oil. They don’t produce cooking gas either. Many suppliers bring the ingredients that Kampala Serena uses to make the buffet. Serena designs the menu and their chefs decide how it tastes and how it is presented to the customer. And ladies and gentlemen, cars are not made any different from the way Kampala Serena makes its food.

The foreigners have understood that any product is made by many suppliers. That is how they come here and set up factories to make or assemble TV sets and fridges as we Ugandans fly to Dubai, of all places, to import finished products. We like to argue that something isn’t made in Uganda simply because many of its parts were sourced from suppliers from all over the world.

The foreigners simply say this is Ugandan made, walk into Uganda Investment Authority and get tax incentives. In a few years, the foreigners who come here with little money are billionaires while we Ugandans are crying of slow business. We are happy to call them to employ our kids who we were paying Shs2m a term for 19 years. If you have been importing TV sets and fridges, I am sorry but Hisense is going to lead to the closure of your shop. If you used to import ceramic tiles, you know this so well.

Another view of Kiira Motors vehicle production facility under construction

Ugandan entrepreneurs must think beyond importation, stop arguing that they can’t make anything and line themselves up to become suppliers of parts for the factories that are being launched every day or set up these same factories.

Kiira Motors is building a factory in Jinja to make vehicles. Can’t a Ugandan set themselves up to provide nuts and bolts? What is so difficult in making brake pads for vehicles? Why do we still import car wipers and even headlight bulbs? How can we be so happy to replace parts in our cars with the junk that is sold in Kisekka Market? If we have managed to wear new face masks made by Ugandans, why do we still wear used underwear?

The writer is a communication and visibility consultant. djjuuko@gmail.com

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OutToLunch: African Union could help national airlines struggling to fly

OutToLunch: African Union could help national airlines struggling to fly By Denis Jjuuko Sometime back, the Uganda Civil Aviation Authority decided to mark an anniversary by organizing a flying activity. What one needed to do was to arrive at Entebbe airport with Shs50,000. They would then put them on a flight and fly them around Uganda. The queue stretched many miles. The guys at CBS FM also did something similar during one of their Nkuuka y’Omwaka (end of year) events. Pay some little money and they fly you around Kampala. Thousands of people lined up for this once in a lifetime opportunity. If you watch TikTok regularly, you will see many people posting their trips claiming that they “catch flights, not feelings” and all sorts of things. If there is anything many people in Africa love, it is flying even if it is flying to nowhere. Many people on the continent consider flying an element of success. I think it is linked to widespread poverty. In many countries, domestic flights are rare as there is hardly any infrastructure. Where it exists, air tickets are expensive, thereby eliminating many people from boarding flights from one town to another. Those who manage to fly are considered the lucky ones. That probably explains why many family members escort their relatives to the airport in droves. Minibuses full of people descend at airports, drumming and dancing as the traveler busks in glory. They have finally made it. Upon return, some even hold parties. Parents pray for their children to also get an opportunity to fly. If you eavesdrop at Entebbe before departure, you may hear of somebody calling a relative or friend to engage them in prayer so that they also find some luck one day to fly and I am not making this up. It is that serious. Flying to many isn’t just a means of travel. It is status. It is arrival on the big stage. It is success. That same mindset many times explains the desire by countries to set up airlines. Every country on the continent wants to set up a flag carrier. The reasons given are many. National pride is usually among the top five. Airport or aviation authorities also with the same mindset slap huge taxes on each ticket. Airport ground handling is one of the most lucrative businesses in Africa even when the number of passengers going through these airports is minimal. Passengers who have longed to fly expect five-star experiences even when they don’t want to pay for them — champagne to flow endlessly, great food, free internet, movies and the like. To keep these few passengers happy, airlines end up charging a premium, thereby eliminating many people who would have been able to fly. It then becomes difficult to make money from a very small base of regular passengers. Yet, we many times complain about the exorbitant air ticket rates forgetting that everything we consume on board comes at a price. The equipment is expensive to buy, operate and maintain. Also, the majority of Africans have no reason to travel much. Their incomes are meagre and majority are subsistence farmers without any real need to fly anywhere. Without improved incomes, African airlines will continue to struggle. Also, because poor countries love owning national flag carriers without putting in enough resources, the airlines will continue to struggle to compete with middle eastern carriers. How on earth is a national airline with global or even continental ambitions but operating just 4-6 planes going to compete with Emirates, Qatar or even Air Arabia? It is always going to be frustrations for passengers who in the era of social media who are going to create one communication crisis after another. Brand reputation tanks. The few passengers end up preferring to pay a premium to fly the reliable carriers from Middle East, Europe or even Ethiopia. The national airline ends up in the cemetery. Flying within Africa could provide a lifeline for African national carriers but many countries demand visas from each African while allowing Europeans and North Americans to fly in without them. If people need expensive visas that are also difficult to access, it then becomes very difficult to create a critical mass of travelers within the continent. Look at Europe for example, it is almost borderless. People just wake up and travel without worrying about access. Although it is a very rich continent, being borderless is one of the reasons many people fly in Europe and air tickets are very cheap. The African Union need not be an organization that issues communiques only rather one that facilitates movement and trade across the continent by removing barriers that keep us under developed. The writer is a communication and visibility consultant. djjuuko@gmail.com

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#OutToLunch: Some of the big bets for 2026

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#OutToLunch: How Uganda’s next president could easily reduce the housing deficit

By Denis Jjuuko It is not uncommon to find a social media post in Uganda regarding the price of land or property being shared many times. The argument is that land prices are extremely high especially around Kampala and in many major cities or towns across the country. With an ever-increasing population and poor infrastructure and services a few kilometres outside these major urban centres, it shouldn’t be entirely surprising that land is expensive. I have always given an example of Mpigi town, which is nearer to Kampala than Entebbe but a difficult place to commute due to poor infrastructure. Yet with the Entebbe expressway or even the old road, Entebbe is an easier place to access. So, land prices around Entebbe will always be high as not many people would make Mpigi their area of residence while working in Kampala. That though will change when the Kampala-Mpigi Expressway is complete. However, construction of infrastructure such as expressways in Uganda takes a very long time leading to people crowding around the urban areas where it is easier to commute to their workplaces and services such as hospitals and schools are better. This increases pressures on land for housing purposes in urban areas. And as the population grows, land, an inelastic resource becomes more expensive. Many young people end up struggling to build houses. With the current housing shortage said to be over 2.4 million units in Uganda, poor infrastructure and services and an ever increasing population, the price of land will only continue to rise unless the government does something. And that wouldn’t be nationalizing land like some people urge whenever there are delays in executing infrastructure projects or when the price of land is seen as a hindrance to young people owning houses. Government must realize that the most valuable asset the majority of Ugandans will ever own is a house. Once people own property, they wouldn’t want to create so much chaos that could lead to destruction. Empowering young people to own houses should therefore be in the government’s best interests. Since land in Uganda for housing is largely owned by private entities or communities who determine its cost without any guiding principles, government could create a land bank from which individuals could buy land or a house. How would this work? And since we are going to the polls next week, the country’s next president has his work well cut out. In urban areas like greater Kampala, government could buy large tracts of land in Mukono, Mpigi, Mityana and Luweero and demarcate it for planned housing estates similar with what private land dealers do but a bit better. Land would be divided into small pieces with architectural plans drawn by leading experts. Schools, recreation, and health facilities would be planned. The government would then sell the land at a rate lower than the private sector. Nobody would be allowed to deviate from the architectural plan. If you bought in an area with bungalow houses, you build the exact bungalow. If you bought in an area for storied villas, you build a storied villa as per the architectural plan. Each person or legally married couple would be allowed to buy only one plot and you can’t sell it to another person at any rate. If a buyer prefers to sell, he sells it back to the government at the price he bought it. This would protect the land from speculators who buy, hoard and then sell at an exorbitant price. Because the cost of building a house with a given architectural plan is easy to establish, banks would only rent a certain amount of money. Banks willing to lend the money would not give it to the individual as is usually the case, rather a prequalified construction company that can deliver the house within the established cost of building it with a capped interest rate or profit. This is how Islamic banking works and therefore not a novel idea that is difficult to implement. Should a person fail to pay, the government buys it from the bank at the set amount and then sells it to somebody else. People could pay in installments over a given period. Monthly deductions could be made to salaried workers such as civil servants interested. The government can then construct roads and expressways to those areas as many people would be living in these housing estates. Public transport, schools and health facilities would be prioritized. More young people would end up owning houses and therefore a huge stake in their country and ministry of urban planning would have something big to deliver. The price of land for housing would plummet too enabling more people to own houses. The writer is a communication and visibility consultant. djjuuko@gmail.com

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