Uganda has witnessed a dip of 54 per cent from the sugar export earnings as the neighbouring countries have locked the commodity out of their respective markets.
As per the figures released by the Bank of Uganda, sugar exports have declined from $11.4m (Shs42.3b) in May to $7.4m (Shs27.3b) in June.
The decline in sugar export was witnessed from 21,212 tonnes in May to 14,991 tonnes in June.
The decline of 8,221 tonnes amounts to 54 per cent of the total decline in export.
According to industry experts, there are more chances of decline in the export further as some issues related to sugar trade with neighbouring countries have not been resolved.
Kenya has cancelled all the permits for importing sugar from Uganda citing that the cheap sugar from Uganda is affecting the sugar sector in the country. Kenya was one of the major importers of sugar from Uganda. Uganda was planning to export 35,000 tonnes of sugar to Kenya which is now blocked.
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