The Uganda Revenue Authority (URA) has ramped up its fight against counterfeit goods in the West Nile sub-region through a comprehensive sensitization campaign focused on the Digital Tax Stamp (DTS), a tool aimed at curbing the widespread circulation of fake and substandard products.
Uganda faces a daunting counterfeit crisis, with an estimated 54% of products in the market being fake, according to the Anti-Counterfeit Network. The economic cost is staggering, with counterfeit trade bleeding the country of approximately UGX 6 trillion annually, a figure experts warn could grow even higher if decisive action isn’t taken.
First launched in 2019, the Digital Tax Stamp system is one of URA’s key interventions in shielding consumers from harmful and illegal goods, and in ensuring that manufacturers meet tax and quality standards. The DTS is now applied to 13 essential product categories, including sugar, cement, cooking oil, soft drinks, beer, spirits, and wines.
Aggrey Bajungu Arinaitwe, URA’s enforcement lead for DTS in Northern Uganda, said the focus has now shifted from manufacturers to downstream actors: “Most manufacturers are already aware. Our current focus is on empowering those further down the supply chain – the distributors, wholesalers, and larger retailers.”
Under the law, products that do not bear a Digital Tax Stamp are considered inauthentic, and offenders face fines of UGX 50 million or twice the amount of evaded tax, whichever is higher.
Traders like Leru Joseph, a wholesaler in Moyo, expressed appreciation for the outreach: “We see these stickers but don’t always understand what they mean,” he said, adding that the campaign has clarified many misconceptions.
In Yumbe, local businessman Ali described the sensitization as “timely,” acknowledging the importance of understanding how counterfeit goods endanger public health and hurt legitimate enterprises.
Officials from URA’s Tax Education Division, Joshua Muwonge and Andrew Bukenya, emphasized the dual significance of DTS. “It’s a mark of quality assurance from the Uganda National Bureau of Standards (UNBS), confirming the product is safe,” said Bukenya. “It also confirms the manufacturer has paid their taxes,” added Muwonge.
Arinaitwe further warned that URA will continue to aggressively pursue those who trade in counterfeit and substandard goods, noting that the tax body has a mandate to protect consumers and safeguard national revenue.
The campaign, which has already covered Adjumani, Moyo, Yumbe, and Koboko, will resume after the Easter break with planned engagements in Arua, Odramacaku, Paidha, Nebbi, and Pakwach.