MPIGI DISTRICT INVESTMENT OPPORTUNITIES

Investment opportunities & Doing

Business in Mpigi District

Kazibwe Ronald,

District Commercial Officer /Mpigi

Today’s Presentation

• District Economic outlook

• Definition of investment

• District Economic Resource & Opportunities

• Key Sectors & Investment opportunities

• Attracting investors in the district

District at a Glance

• Land size: 1,541.13 sq.kms

• Land under cultivation: 476sq.kms

• Households: 45,422

• Farm Households: 33,000

• Population: Males Females

• Types of crops grown: Bananas, cassava, Sweet potatoes, maize, and beans, Coffee, Tomatoes, Vegetables, Passion Fruits

• Active Farmers Groups: 554

• Fish landing sites: 26

• Fish production: 2,461.9 MT

• Business units: 2633

• Gazetted Markets: 7

Definition of Investment

• Production of goods that will be used to produce other goods.

• Investment is usually the result of forgoing consumption. In a purely agrarian society, humans had to choose how much grain to eat after the harvest and how much to save for future planting. The latter was investment

• Investment opportunity is the investment choices available to individual or cooperation

District Economic Resource &

Opportunities • Mpigi is richly endowed with human and natural

resources. The latter include; mineral wealth, extensive forests resources, and sizable supply of viable land suitable for crop and livestock production, marine and freshwater fish stock.

• These resources present numerous business opportunities in agriculture, manufacturing, tourism, energy, property development among others.

Key Sectors & Investment

opportunities • Agriculture (productivity & agro-processing)

• Forestry (primary production & Value addition) • Transport & Logistics • Mining • Housing • Tourism • Trade • Services a. Social sector b. Health c. Education d. Information & Communication Technology

Agriculture sector Demand drivers and resource base factors • Closeness to Kampala Capital City with huge market for

agricultural produce • Local and Regional population growth • Increasing Urbanization • Rise in per capita income • Government policy of supplying farm inputs Resource base factor • Fertile soils • Sufficient rainfall • Borders with L. Victoria the largest fresh water lake in Africa

and the district is traversed with major rivers, both the lake and rivers have sizable stocks of aquatic life

• All year round sunshine with moderate temperatures

Agric Investment Opportunities

Setting up a chicken Hatchery

• Increased demand for chicken

• Increased poultry farming

• High demand for one day chicks in rural & urban

• Market demand: Farmers

• Equipment suppliers: Local, India, south Africa, China

• Incentives: agric tools & equipment are duty free on importation

Mukene Fish drying & roasting

Setting up Mukene fish solar drying machines

• Promotion of modern fishing methods increased mukene fish harvest

• Market demand: Supermarkets, Schools, Restaurants, individuals & can be exported

• Equipment suppliers: Local, India, south Africa, China

• Incentives: agric tools & equipment are duty free on importation

Bee keeping

Bee keeping for Honey production

• Conducive environment for bee keeping

• Market demand: Supermarket, Pharmaceutical use, substitute to sugar for pple with health complications

• Bye products of honey also have high demand

Piggery

Commercial piggery farming

• Production & sale of pork and piglets

• Increasing district population has led to increased demand for pork as well as piglets by farmers

• Market Demand: Pork Joints, Bars, Kampala Pork butcheries

• Input suppliers: All inputs can be obtained locally

Making Cornflakes

Manufacturing Cornflakes • One of the most

consumed cereals on account of their taste & nutritional value

• Maize grain used to make cornflakes can be obtained within the district

• Market Demand: Supermarkets, retail shops, school canteens,

• Equipments: Can be obtained locally

Establishing a Grain Grocery

Cleaning & packing good quality grains

• Grains include; ground nuts, soya beans, maize, popcorns and cow peas e.t.c

• They are produced in the district

• Demand for grains continues to grow both locally, regionally & internationally

Making Instant Coffee Powder

Milling of coffee into desired powder, packed and sold

• Major household income earner by almost all HH in the district

• Demand for instant coffee is on the rise especially among affluent & middle class people in the society

• Market: coffee shops, restaurants, private individuals, retail shops, and supermarkets

Making Banana wafers & Fruit Juice Canning

Demand: Supermarket, schools, hotels & hospitals

Equipments: can be locally fabricated

Raw materials: Locally produced

Demand : Supermarkets, restaurants &

hotels

Equipments: Can be locally fabricated

Raw Materials: Increased production of

fruits

Making Vermin-Compost:

Making Vermin-Composit

• Waste is pasteurized and kept in the composing tanks with earthworms dumped into it & coverts into Compost.

• Eco-friendly

• Raw Material: Readily available in the district

• Demand: Flower growers, all farmers across the district

Ice Cream & Mayonnaise cream making

Is a frozen dessert usually made from dairy products such milk and cream

Market: Supermarket, Schools

Equipments: Imported from China & India

Mayonnaise is a thick, creamy sauce or dressing that is made of oil, egg yolks, lemon juice or vinegar and seasonings Market: super markets, shops, hotels and restaurants as major outlets.

Making Chili Sauce &Fruit salad processing and vending

Chili sauce is hot in taste and eaten either as raw or cooked for its hot flavor

High production of hot paper

Market: Restaurants, individuals, shops, hotels

Equipments: Locally available

Making and marketing/ vending of fruits

Market: Highly demanded in densely populated areas of the district

It involves simple technology

Rearing local hens for eggs & setting up of chicken dressing unit

Local chicken for eggs & meat

Increased demand for local chicken eggs & meat in the district & Uganda at large

Market: supermarkets, private individuals, hotels, restaurants and first world schools

Establishment of chicken Dressing plant

Add value by processing chicken to reduce the rudimentary form that is dangerous for human consumption

Market: Target large consumers of chicken

Cheeses making & ground nuts paste

Cheese is made by curding milk

Raw Materials: Can be sourced around

the district

Growing middle class of pple in Uganda

provided an opportunity

Market: Supermarket, shops,

restaurants, hotels

Groundnuts paste is a household item

Used as a sauce stew to accompany food or pasted on bread

Raw Materials: Northern & Eastern parts of Uganda

Market: Supermarkets, shops, restaurants, school carteens

Drying fruits by Osmo-air dehydration & growing water melons

A large amount of fruits produced in the district go bad

Drying fruits by osmo-air dehydration retains the fruit freshness, colour, flavor & texture

Market: ice-cream makers, bakeries, restaurants, fast food places, and supermarkets.

Growing & marketing of water melons

Soils favorable for water melons growing Location: Nkozi sub-county & Buwama sub-county Market: Hotels, supermarkets, markets & can be exported to EAC

Smoking fish & fish farming

Smoked fish is a delicacy to all tribes in Uganda & widely consumed

26 landing sites producing fish

Market: Supplied to colleges and schools, armed forces, restaurant, hotels, hospitals and homes & COMESA countries

Increased demand for fish esp. Tilapia

Lake fish is getting scarce

Pond fish farming

District is covered with wetlands and swamps

Market: Restaurants, Markets, private individuals, hotels

Ginger growing, processing & setting up modern agro-vet shop

Processing ginger into powder

Applying raw ginger to tea is tedious

Used as input in confectionary

Market: Supermarkets, restaurants, confectionary & other foods, private individual

Agrarian economy

Lack trusted source of crop and vet farm inputs

Market: District based farmers

Dog Breeding High demand for highbred dogs in schools, farms, households and industrial

establishments. Increased establishment of industrial establishments, modern residential homes in

the district offers an opportunity for the business of dog breeding to thrive

Tomato green house & mushroom cultivation & processing

Tomato green house for production of tomatoes throughout the year

Tomatoes are consumed by almost all people per day

Market: Supermarket, Restaurants, hotels, markets

Cultivating & processing mushrooms

Exotic mushrooms have gained high demand

Products: Dried & powder mushrooms

Market: Supermarket, hotels, restaurants, baby foods

Forestry Demand drivers and resource base factors

• Use of firewood and charcoal

• Population growth

• Growing local, regional and international market for forest products

Resource base factor

• Fertile soils

• Sufficient rainfall

Major Tree species

Eucalyptus (celtis species), Punus Africana (Entasesa), Antiaris Toxiaria (Kirundu), Canarian (Muwafu), Basquira Phoberos (Mugwi), Lunaba Pycnanphus (Mahogani), Albizzia (Enongo), Mugavu, Enkalati, Peptadenia strum (Empewere), Tantumia (Namukaggo), Pines, Cavsnataresis (Emitubba).

Nurseries of pure tree seedlings and seed multiplication & Wood treatment

Increased need to plant quality trees in the district

Tree species: Eucalyptus (Kalitunsi), Pine, Cavsnataresis (Emitubba), misizi and Termineria

Market: Tree farmers in district & across Uganda

Setting up a wood treatment plant

Increased growing of trees in the district

High demand for construction poles of animal and poultry units, electricity poles and farm fencing

Market: Electricity distribution company, farmers, & private individuals

Seasoning of wood & Commercial Tree Planting

Seasoned wood is used for making furniture, sleepers, interior furnishings, doors and window frames e.t.c

High production of wood for timber in the district

Growth in Housing sector leads to increased demand of wood

Market: Private individuals, trader of timber, construction companies

Increased demand for trees & tree poles, herbal

Favorable soils for tree planting

Tree species: Eucalyptus, pines, terminaria, herbal trees

Market: Construction companies, traders of tree poles, makers of furniture

Manufacturing of Bark Cloth & Plywood Bark cloth (Backcloth) made from ficus natalensis trees (Olubugo).

Support from UNESCO to plant natalensis (emituba) at Ndugu Village-Mitala Malia Bongole parish-Buwama sub-county

Market: Bark cloth crafts (table mats, bedcovers, jackets, purses and wide-brimmed hats) are finding their way to the international market. Exported to Germany, Japan, Australia, the U.S. and Canada, Kenyan traders

Manufacturing of plywood

Increased commercial tree farming guarantees steady supply of raw materials

Market: The demand for plywood do exists among builders and carpenters.

Manufacturing of Match boxes

Raw materials: Wood can be obtained in the district and flammable chemicals

imported Market: Highly demanded by all households (supermarkets, shops, markets)

Energy sector Demand Drivers

• Rapid urbanization and increased population

• Industrialization

• Increased wealth in the rural communities

• Increased population growth

Resource base factor

• All year round sunshine, which can be harvested for solar energy

• Natural forests for biomass

Making energy saving stoves & Briquettes

Increasing cooking needs

Scarcity of sources of bio-fuel

Raw-Materials: Clay is readily available

Market: Restaurants, Schools, households

Increased generation of garbage offers opportunity for raw materials

Briquettes are efficient & clean

Market: Exists in towns of Mpigi (supermarkets & markets)

Establishment of fuel stations & Manufacture of energy from Garbage

Increased traffic flow in the district

Upgrading of Mpigi-Butambala-Gomba, Masaka express roads offers an opportunity

Market: Taxis, Cars

Waste-to-energy is the process of generating energy in the form of electricity or heat from incineration of waste

High rate of waste generation in all towns of the district

Demand for energy is very high yet supply is limited

Transport & Logistics

Demand Drivers

• Increased economic activities

• Growth in the tourism industry

• Increased urbanization

• Increased industrialization

Resource base factor

• River, lake & road network

Establishment of ship & cold transport facility

Establishment of a multi-purpose ship

Increasing volume of trade between Uganda, Kenya & Tanzania

Closeness to Kampala

Road transport is very expensive

Cold transportation and storage facilities (refrigerated trucks and containers)

About 20- 40% of post-harvest horticulture and fish products are wasted because of poor post harvest handling

Market: Horticulture & fish sectors

Social sector Demand Drivers

• Mismatch between the acquired skills and the required skills

• Population increase

• An unemployment labour force

• Positive work ethics

Resource base factor

Trainable population

Video filming & Dry cleaner services

Moving images have replaced the conventional still photographs

Increasing population offers market

No modern video studio in the district

Increasing population offers opportunity for dry cleaning services

Increasing middle class people

Suitable to be located in towns of Mpigi

Roof cleaning services & Establishing a modern Bar

Algae, decomposed leaves, rust and smoke make many roofs of houses to look older than the actual age of the houses

Buildings in the district are made of tiles plus colored iron sheet roofs that need repainting

Market: Government & NGO buildings, churches, mosques, schools, university, hospitals and restaurants as well as hotels

Demand for bar services is throughout the year but often at peak in holidays & festive seasons

Increasing middle class people

Lack of a modern bar services in Mpigi

Establishing a Video theater & Fumigation services

Foot ball matches, sports events, music shows and drums can also be shown in the video theater

Increasing youthful people provided an opportunity

Suitable near higher institutions of learning such as Nkozi University

Fumigation is the only total control method proven to eliminate certain infestations of destroying insects.

Increasing number of buildings

Market: Households, restaurants, shops, supermarkets, schools, hotels, churches, and health centers

Compound designing services

Developers are interested in having well designed compounds that are be-fitting to their modern homesteads.

Market: university, homes, schools, recreation centers, hotels, camping sites, estates,

hostels

Mining sector Demand Drivers

• High population growth

• Growth in the housing sector

• Exhaustion of sand and building stones in nearby districts

Resource base factor

• Abundant mineral resources in the district that has not been fully commercially exploited

Brick making from clay & Making pottery products

Production and marketing of white clay bricks

Growth in urban & rural construction

Widely demanded due to their durability

Products are multi-purpose used for decoration, flower vessels in workplace, schools, lodges, and households.

The district is endowered with quality clay

Making clay pipes & Cemented brick

Clay pipe is the most durable sewer product with long life, environmentally friendly

Used in almost all buildings

Availability of Quality clay in the district swamps & wetlands

Bricks are the basic requirement for any construction activity

Growth in the construction industry provides market for cement bricks is high

Manufacturing of glasses

Glass is made from chemical compound silicon dioxide, the primary constituent of sand

Demand for glass is high due to the growth in the housing sector, increased

number of bars and restaurants

Health Sector

Demand Drivers

• Increased population

• Raising consumer incomes and corresponding ability to purchase health care

• Inadequate health services and after care

• Extended life expectancy

Specialized hospitals and clinics &Image center

With the increasing number of people in the district, the demand for specialized health services is high

Need for specialized clinics in orthopedic, nutrition and maternal health

Image center for X-Ray, Ultra-Sound scan e.t.c

Increased number of health problems which require such services

Services are found in Kampala

Medical Laboratory & Ambulance services

Setting up a private laboratory

Limited number of tests can be performed in the existing laboratory

Market: General practitioners, insurance companies, clinical research sites and other health clinics

One fuctioning Ambulance in the district

Market: Private clinics, medical insurance clinics and private individuals.

Re-usable sanitary Towels

Offers a cheaper, commercially viable alternative to regular sanitary pads

Market: Rural poor women, school going girls from impoverished families and NGOs.

Raw materials: readily locally available.

Information, Communication and Technology sector

Demand Drivers

• Increased literacy

• Young growing population

• E-reading

IT equipment/ application selling centers &Website support and maintenance

Increased use of IT equipments (phones and computers)

Increased demand for IT equipment accessories

Market: schools, NGOs, Government offices, business people as well as private individuals

Complexity inherent in website, leads to innumerable opportunities for glitches and imperfections.

Maintenance: Redundancy & back-up/restorations planning, server and software monitoring & upgrades, cross-browser compatibility monitoring and upgrades, performance monitoring, and content monitoring and updates

Education

Demand Drivers

• Increased population

• Change in attitude towards girl education

IT specialized training centers & Artisan & Skills Training Center

Provide basic understanding of ICT

Applied ICT knowledge

Market: farmers, students, business people, employees, e.t.c

Need to equip people with essential practical skills in a workshop environment

Skills: welding, plumbing, CNC programming, electrical, brick laying, motor vehicle engineering, carpentry e.t.c.

Driving school & Vocational Schools

Increased district population and increasing desire to drive by many people

Driving schools are in Kampala

Non-qualified driving instructors resulting in the district

Increasing number of school leavers, school drop out,

Increasing need for practical skills

Sports facilities

• Rugby pitch

• Golf Course

• Football Play ground

• In door sports ground

Housing Demand Drivers

• Rapid urbanization

• Increased wellbeing in both urban and rural areas of the district.

• Raising household incomes that have enabled people in Mpigi to invest in better housing

• Remittances of people from Mpigi in the diaspora

Establishment of hardware shop &commercial shopping centers

Setting up hardware shop selling building equipments

Increased construction

Market: real estate developers, private individuals, construction companies, in-coming industrial establishments and government contractors

Establishing commercial building to rent out to other businesses

Increasing volume of trade

Market: Supermarkets, restaurants, saloons, boutiques e.t.c.

Location: MTC, Kayabwe

Real Estate & Architectural and engineering services

Real estate development

Increased demand for housing facilities

Market: Employees of NGOs, Government and private business individual

Architectural and engineering services:

Growing housing sector leads to the increase in the demand for architectural and engineering services

Market: Private individuals, industrial establishment, real estate developers

Tourism

Demand drivers

• Various Tourist Destination Sites

• Security

• Good road network

• Proximity to Kampala

Establishing Forest Lodge & campsite

Establishing a forest Lodge at Mpanga eco-forest

Accommodation, food and drinks

Offer accommodation to tourists who come for bird watching

Setting up a site with facilities were travelers and or tourists can camp and stay

Major tourist routes traverses the district

Suitable near the lake

Establishing water sports

Shoreline of L.Victoria provides an opportunity for establishment of water sports

Boat racing, swimming in open water, waboba, water aerobics, skiing e.t.c.

Water sports on L.Victoria

Establishing road side-stop over & developing religious & cultural sites

Road side stop -over Development of religious & cultural sites

Trade

Demand Drivers and Resource Base Factor

• Growing population that has increased the size of the local market fuelling demand for wholesale and retail related trade

• Improving infrastructure and energy supply

Making Leather Products & Horn Buttons

Leather products Horn Buttons

Making herbal bath soap & Half Bircks

Herbal Soap Half bricks

Manufacturing fishing hooks & school Bags

Fishing Hooks School Bag

Way-side restaurants & food vending

Way-side Restaurant Food vending

Shock Absorber Reconditioning &Jewellery making

Shock absorber Jewellery

Confectionary &liquid laundry soap

Confectionary products Liquid laundry soap

Making rubber stamp &Selling readymade garments

Rubber Stamp Readymade Garments

Making rubber erasers & exercise books

Rubber erasers Exercise Books

Making paper envelopes, Paper bags & Setting up a Beauty Salon

Envelopes Beauty salon

Making plastic ropes &Recycling plastic

Plastic ropes Recycling plastic

Leather purses and bags &printed paper shopping bags

Leather bags Paper shopping bags

Shoe repairing & Mobile fuel Distribution

Shoe repair Fuel distribution

Crafts Manufacturing & Establishment of a motor vehicle servicing center

Crafts Motor vehicle garage