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Uganda Manufacturing
In the late 1980s, most manufacturing industries relied
on
agricultural products for raw materials and machinery, and
as a
result, the problems plaguing the agriculture sector
hampered
both production and marketing in manufacturing. Processing
cotton, coffee, sugar, and food crops were major
industries, but
Uganda also produced textiles, tobacco, beverages, wood
and paper
products, construction materials, and chemicals.
In the late 1980s, the government began to return some
nationalized manufacturing firms to the private sector in
order
to encourage private investment. The primary aim was to
promote
self-sufficiency in consumer goods and strengthen linkages
between agriculture and industry. By 1989 the government
estimated manufacturing output to be only about one-third
of
postindependence peak levels achieved in 1970 and 1971.
Only
eleven out of eighty-two manufacturing establishments
surveyed by
the Ministry of Planning and Economic Development were
operating
at more than 35 percent capacity. Overall industrial
output
increased between January 1986 and June 1989, and the
contribution from manufacturing increased from only 5
percent to
more than 11 percent during the same period.
Data as of December 1990
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