Liquor Brewers Challenge Time Restrictions Proposed in Alcoholic Drinks Control Bill, 2023

Licensed beer manufacturers in Uganda have urged a joint parliamentary committee on health and trade to reject the Alcoholic Drinks Control Bill, 2023 on grounds that it impacts the night economy negatively.

They argue that the law should focus on regulating illicit alcohol, which makes up 65% of consumption and poses health risks.

The manufacturers who interfaced with Mps on the committee on Wednesday claim that the current form of the law would hurt businesses, harm farmers’ livelihoods, and reduce tax revenue (currently around 1 trillion shillings).

Nile Breweries Limited also opposed the proposed time restrictions for alcohol sales in Uganda. Instead, they suggest allowing bars to sell alcohol from midday with no closing time. Emmanuel Njuki, head legal at  NBL said that limiting alcohol sales may not reduce consumption and could lead to increased home drinking.

“Legal alcohol should remain available in Uganda from midday in bars and no closing hours while distributors and supermarkets should be open at 8am to allow for dispatch of stock upcountry. Limited time may not necessarily translate into people drinking less and thus might be redundant. If at all, this could have the unintended consequence of increased home consumption,” said Njuki

He questioned whether the bill intends for nightclubs to operate without selling alcohol after 10 PM, impacting the night economy, a significant driver of Uganda’s overall economy.

“The clause anticipates night clubs will be open to sell soft drinks and music while restricting the sale of liquor after 10Pm. The night economy drives the Ugandan economy therefore, a law that impacts the night economy negatively impacts the economy of the country,” added Njuki

The Alcoholic Drinks Control Bill, 2023, a private member’s bill, moved by the Tororo Municipality MP Sarah Opendi aims to regulate alcohol manufacture, sale, and consumption, prohibiting sales to children.

Despite the Finance Minister’s refusal to provide a financial implications certificate, the bill received its first reading on November 14, 2023, after the mandatory 60-day waiting period.

Speaker Anita Among referred the bill to the Health and Tourism, Trade, and Industry committees for scrutiny and reporting back to the House.