The government has commissioned the construction of a $200 million USD factory in Njeru, Buikwe. The inauguration of the 50-acre, 3 million-ton grinding station was witnessed by several ministers, including Peter Lokeris of Karamoja, Balaam Barugahara of Youth, and Diana Mutasingwa, who serves both in the Vice President’s office and as the Member of Parliament for Buikwe District.
This factory marks the second major project following the commissioning of another factory in Moroto by the West International Holding (WIH), a consortium of Chinese and Ugandan investors. Once completed, the Buikwe grinding station is expected to create over 1,500 direct and indirect jobs, stimulate economic growth, and contribute to socioeconomic transformation.
The local economy in Buikwe is poised for significant transformation, as the construction of the plant will initially require substantial local labor. In the long run, many Ugandans will be able to participate in the cement industry, contributing to the country’s economic development.
During the ceremony, Hon. Lokeris praised WIH, represented by Group President Wang Fayin, for their continued investment in Uganda and for prioritizing value addition. He also commended the Ugandan government for its deliberate efforts to encourage investment in the country.
Hon. Diana Mutasingwa expressed her gratitude to WIH for choosing to invest in Buikwe. “Our people need jobs. Our youth are dedicated to development, and this is one of the many ways we will change our lives as a community,” she said. Mutasingwa highlighted the opportunities the plant would bring and urged the local community to embrace it as their own. She challenged the community to safeguard the investment and seek ways to contribute to the plant, both directly and indirectly.
Balaam Barugahara encouraged the people, especially the youth, to embrace investment, development, hard work, and the politics of development as they seek to improve their livelihoods. He emphasized the importance of promoting the manufacturing sector as a key pillar of the NRM government, which will create employment opportunities for young people. Barugahara also noted that the interaction between the people of China and Uganda would equip young people with vital skills through knowledge and technology transfer. He added that these jobs would have a multiplier effect across the country and highlighted the government’s focus on promoting local production of manufacturing materials in collaboration with the private sector.
Wang Fayin, the President of WIH, praised Uganda’s investment climate. Speaking poetically about the panoramic view, Wang said the project would produce 3 million tons of cement annually, create more jobs, and contribute to Uganda’s development. He further noted that the construction period would take 12 months, after which the factory would provide direct and indirect jobs in both upstream and downstream sectors.
Wang also stated that the factory would reduce the country’s dependence on importing raw materials for cement production and is projected to generate $400 million in annual operating income.
At the same event, Ambrose Byona, one of the Directors of WIH Uganda, committed to reducing the cost of cement as part of their efforts to lower the cost of building materials, making them more affordable for those ready to invest in new homes and businesses.
With high productivity and lower costs, the Buikwe grinding station is expected to pass on the resulting benefits to consumers in the form of lower prices, increased job opportunities, and overall contributions to the local economy.
Currently, Uganda imports $380 million USD worth of clinker, but the Moroto and Buikwe plants will help save the country from this expense.