Browsing by Author "Mbowa, Swaibu"
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Item Are Ugandan Farmers Using the Right Quality Inorganic Fertilizers?(Economic Policy Research Centre (EPRC), 2015) Mbowa, Swaibu; Luswata, Kizza Charles; Bulegeya, KomayombiThis brief highlights the quality concerns of inorganic fertilizers on the Ugandan market. The findings reported are an excerpt from a study that analysed the quality of inorganic fertilizers on the Ugandan market1. The analysis was based on 170 samples (in 50 kg bags and small 1-2 kg packs) of the commonly used fertilizers on the Ugandan market i.e. urea, NPK, DAP and CAN were purchased and subjected to a laboratory analysis. Procedures followed in the purchasing of fertilizer samples mimicked a farmer purchasing fertilizers randomly from any input dealer country wide. Analytical results from the fertilizer samples revealed low quality fertilizers with moisture content above acceptable limits of 0.5-1.5 percent; and untruthfulness in both weight and nutrient content. In some instances, the nutrient content quoted on the labels did not match with the analytical content. This has serious consequences because fertilizer recommendations are based on the nutrient content. If the nutrients are not of the right quality, then the end-user (a farmer) will not attain the intended crop response to fertilizer application. The study findings reveal that re-packaging fertiliser into smaller quantities is justifiable to meet the requirements of smallholder farmers, but leads to loss of nutrients (especially nitrogen); and also aggravates the high moisture content problem. Results reveal gaps in the current regulatory system; therefore there is an urgent need for government to approve and operationalize the fertilizer policy, regulations and strategy.Item The challenges of the Private Sector Driven Veterinary Extension Services Delivery in the Dairy Sector in Uganda(Economic Policy Research Centre (EPRC), 2012) Mbowa, Swaibu; Shinyekwa, Isaac; Mayanja Lwanga, MusaThe privatization of veterinary extension services delivery in Uganda opened more opportunities for the private sector in the provision of extension services and supply of essential inputs demanded by a growing and more dynamic dairy sector. Consequently, the number of agents profoundly increased – and the markets became flooded with new and untested inputs (from the unregulated private sector). One big setback emerging – relates to the growing efficacy doubts and negative experiences (including losing money or animals) associated with use of inputs on the market, contributing to non-adoption of essential inputs. Selective adoption of essential inputs in dairy farming is also wide spread. The way forward requires impartation of proper and recommended skills in livestock husbandry practices. This will entail building new information dissemination networks by strengthening the capacity to channel veterinary extension support services via farmer groups centred information delivery institutions (co-operatives) - where dairy farmers can easily pick demonstrated evidence on the efficacy of the inputs available on the market from trusted fellow farmers.Item Coffee Production a Golden Opportunity for Rural Youth Employment(Economic Policy Research Centre, 2013) Mbowa, Swaibu; Ahaibwe, Gemma; Mayanja, Musa LwangaThis brief provides evidence on the status-quo in the coffee value chain and reveals that over 68 percent of profit margins along the international raw coffee value chain are retained at the farm level – and therefore opportunities for youth employment in the coffee value chain lies at the production level. Nevertheless the challenge remains the limited ability for the youth to actively participate in the primary coffee production. The upstream coffee production is a domain of households headed by the persons in the prime aged 31 years and above, seemingly with secure access to land - a key prerequisite given that coffee is a perennial crop. Therefore the concept of a new generation of young coffee farmers becomes more distant if issues regarding to access to land are not addressed.Item Coffee Production in mid-Northern Uganda: Prospects and Challenges(Economic Policy Research Centre (EPRC), 2014) Mbowa, Swaibu; Odokonyero, Tonny; Munyambonera, EzraAt the beginning of the 21st Century, the Uganda Coffee Development Authority (UCDA) introduced coffee in the mid-North sub region. This marked the beginning of the sub-region’s transition from dependency on annual crops such as cotton to a perennial crop. While the long-term objective of UCDA was to find ways of sustaining the coffee sector amidst the coffee wilt disease in the traditional coffee growing regions, the opening up of coffee growing opportunities to enhance the incomes of agricultural households in a former war-ravaged Mid-North was a well-conceived strategy. Several studies have demonstrated that coffee sector remains key in Uganda’s poverty reductions efforts as well as pointing to the limited poverty reduction effects among those households who depended mainly on annual crops such as cotton. This policy brief draws from the research paper by Mbowa et al. (2014)1 focusing mainly on the prospects and challenges of the coffee sector in the mid-North of Uganda. There is growing evidence in the sub-region that the systematic coffee planting by the UCDA has yielded positive results in the subregion. On average, there are 16,000 farmers with 10,045 hectares of coffee, and in 2013 coffee output was 154 metric tons and projected to increase to 16,323 metric tons by 2017 with start of harvesting of new planted trees. Apac, Lira, Nwoya and Oyam are among the districts with the highest potential for coffee production. Despite the faster adoption of coffee in the sub-region, there are challenges that need to be addressed if the UCDA’s objectives are to be realized. The major challenges relate to lack of organized marketing and processing infrastructure to support value addition; and inadequate coffee specialized extension support system to narrow the knowledge gap about recommended agronomic practices among farmers.Item The Constraints to Irish Potato Value Chain Financing in Uganda(Economic Policy Research Centre, 2016) Mwesigye, Francis; Mbowa, SwaibuThis brief summarises the findings from the potato Value chain study on what constrains the financing of potato value chain activities in Kigezi sub-region1. Access to affordable finance remains a challenge to potato producers, input dealers, marketers and processors in Uganda. The key constraints to accessing credit from formal financial institutions are long loan application processes and collateral requirements. On the other hand, undercapitalization and high interest rates limit the capacity of informal credit sources to satisfy credit demands of the value chain actors. The value chain study results show that a majority of value chain actors rely on personal savings and small loans from informal credit sources. Most potato traders, and small-scale processors obtain loans from village savings and loan associations (VSLAs). Only 17% of potato producers, and less than 30% of agro-input dealers use formal sources of finance from commercial banks despite the low interest rates charged relative to the informal VSLAs. The consequences of limited financing of value chain actors are low productivity and technology adoptionat farm level which affect the business growth in potato trading and processing. Therefore to unlock and deepen agricultural financing, formal financial institutions can leverage on both capitalization capacity and the relatively low interest rates to design credit packages for agricultural value chain actors with shorter loan application processes. In addition, formal knowledge on the status on financing of marketing and processing value chain activities is scanty. This brief pieces together information on sources of agricultural financing in a value chain framework using potato as a case study.Item Development Implications of the COVID-19 pandemic on employment prospects for Uganda’s youth in the Middle East(2020) Nattabi, Aida K.; Mbowa, Swaibu; Guloba, Madina; Kasirye, IbrahimThe brief examines the likely effects of COVID-19 on Uganda’s semi-skilled youth searching for employment opportunities in the Middle East. Ugandans employed as either semi-skilled or manual labourers in the Middle East increased from over 9,900 in 2010 to 21,000 in 2018. The main driver of labour externalization to the Middle East is the relatively high monthly wages offered for unskilled and semi-skilled jobs. Reports show that monthly remunerations range from $225 to $500 for domestic workers in Saudi Arabia; $350-$700 for a factory worker in Qatar, UAE and Saudi Arabia; and $350-$600 for persons in catering services in Qatar and UAE. Likewise, one could earn between $300- $900 as a security guard in both. Uganda’s economy benefited as remittances from the Middle East grew from $51.4 million in 2010 to $309.2 million in 2018; a contribution of 23 per cent of the $ 1.3 billion the country earned through remittances in 2018. COVID-19 pandemic challenges this source of remittances to the Ugandan economy. The expected drop in labour migration to the Middle East brings to fore the need to support growth in other sectors identified in Uganda’s agro-industrialization (AGI) agenda. Alternatives include domestic production of critical supplies for COVID-19 containment, such as masks and sanitizers; expedition of the expansion of the cotton and textile sector to bridge the employment gap for youth and women.Item Floating Fish Cage Farming a Solution to Uganda’s Declining Fishery Stocks(Economic Policy Research Centre, 2016) Mbowa, Swaibu; Odokonyero, Tonny; Munyaho, Anthony T.This brief is extracted from a study on cage culture and aquaculture park technologies in Uganda conducted by EPRC and National Fisheries Resources Research Institute (NaFIRRI). The brief demonstrates that favorable and bullish international fish prices have supported steady foreign exchange earnings to Uganda, amidst declining volumes of fish exports. Despite decline in fish export volumes from 39,000 metric tons in 2005, to 17,600 tons in 2014, export earnings increased from 104 million to 135 million in the same period. To enable Uganda take advantage of this opportunity, innovations that overcome supply constraints will play a critical role. Statistics from NaFIRRI suggest that floating cage technology is a more productive system in comparison to capture fishery. A farmer using floating cage technology produces 12 times more tonnage per annum than counterparts practicing capture fishery - 48 metric tons of fish per annum, compared to only 4 metric tons. To increase fish production, therefore, the adoption of floating fish cage farming technology needs to be scaled up as opposed to continued dependence on capture fishery systems that are less productive and cannot meet the increased demand for fish exports. This brief also draws policy lesson from China and Egypt - the most successful and leading aquaculture producing countries – who made deliberate investments in aquaculture technology and support services, which increased fish farming productivity and exports.Item Implications of the COVID-19 pandemic on employment prospects for Uganda’s youth in the Middle East(Economic Policy Research Centre, 2020) Nattabi, Aida K.; Mbowa, Swaibu; Guloba, Madina; Kasirye, IbrahimThe brief examines the likely effects of COVID-19 on Uganda’s semi-skilled youth searching for employment opportunities in the Middle East. Ugandans employed as either semi-skilled or manual labourers in the Middle East increased from over 9,900 in 2010 to 21,000 in 2018. The main driver of labour externalization to the Middle East is the relatively high monthly wages offered for unskilled and semi-skilled jobs. Reports show that monthly remunerations range from $225 to $500 for domestic workers in Saudi Arabia; $350-$700 for a factory worker in Qatar, UAE and Saudi Arabia; and $350-$600 for persons in catering services in Qatar and UAE. Likewise, one could earn between $300- $900 as a security guard in both. Uganda’s economy benefited as remittances from the Middle East grew from $51.4 million in 2010 to $309.2 million in 2018; a contribution of 23 per cent of the $ 1.3 billion the country earned through remittances in 2018. COVID-19 pandemic challenges this source of remittances to the Ugandan economy. The expected drop in labour migration to the Middle East brings to fore the need to support growth in other sectors identified in Uganda’s agro-industrialization (AGI) agenda. Alternatives include domestic production of critical supplies for COVID-19 containment, such as masks and sanitizers; expedition of the expansion of the cotton and textile sector to bridge the employment gap for youth and women.Item Improved Smallholder Dairy Farming in Uganda through Technological Change(Economic Policy Research Centre (EPRC), 2012) Mbowa, Swaibu; Shinyekwa, Isaac; Mayanja Lwanga, MusaThe dairy sector in Uganda has been transformed into a more competitive and dynamic sector. Supply-side factors have enabled expansion in milk production. Between 2005 and 2009 –milk production (estimated at 1.5 billion litres in 2010) has been partly an outcome of a 20 percent increase in the number of households engaged in dairy farming, and an increase (21 percent) in the proportion of crossbred dairy cows in the national herd (estimated to be 11 million cattle). At farm level concerted efforts have been directed towards technological change – transforming the farming system from predominantly extensive grazing local breeds to more intensive rearing of fewer but improved breeds. The lack of consistent long-term support to the breeding programs negatively affect numbers of dairy cattle stocks especially in Northern Uganda. Furthermore, the perpetually low farm gate milk prices could deter the optimal uptake of required dairy farm husbandry practices in the milk surplus Western region.Item Indicative Lost Income due to Limited Technology use in Irish Potato Production(Economic Policy Research Centre, 2016) Mbowa, Swaibu; Mwesigye, FrancisLow Irish potato yields negatively affects growth of the agriculture economy, and consequently the incomes of population dependent on potato production in Kigezi sub-region. The low yields are largely driven by non-adoption of productivity enhancing technologies - fertilizer, improved seed, and agro chemicals. Estimates from IITA agronomic survey data indicate that use of high quality seed with fertilizer increases potato yield from 6.4 MT per hectare to 16.5 MT per hectare, which leads to an increase in potato production, at national level, from 867 thousand metric tons to 2,234 thousand MT annually. This would increase by 157% fold the monetary value potatoes produced from Ugx 628 billion (USD 187 million) to Ugx 1,619 billion (USD 484 million) per annum. The estimated loss of potential income by farmers is approximately Ugx 991 billion (U$ 298 million). The loss is due to limited intensification, such as low application of fertilizer and improved seed, at the production level of the value chain. Further analysis of profit margins along the potato value chain suggest that commercialization, and value addition are income enhancing.Item Informality of actors and its implications for Potato Value Chain upgrading in Uganda(Economic Policy Research Centre, 2016) Mwesigye, Francis; Mbowa, SwaibuThis brief summarizes the findings of the potato value chain study on the following factors; level of informality, size of operation and the length of relationships between the processors, traders and other value chain players1. The study reveals that most potato value chain actors operate on a very small scale and are informal- not registered and unlicensed. For instance, 70% of the interviewed agro-input dealers are small scale retailers and about 60% of agro-input dealers are not registered. Also, only 3% of traders are registered and 13% have trade licenses. Whereas 67% of processors have trade licenses, only 13% are registered. These findings suggest that there is a high level of informality in the sector. Business informality is costly to the government and to the public in terms of lost tax revenue and health and safety risk due to non-regulation and non-standardization. In addition, the high level of informality constrain value chain actors from obtaining formal credit and other sources for funding as they are not legal entities. Informality stems from cumbersome procedures and high cost of registering a busness2. On the other hand, some busness owners prefer to operate informally so as to evade taxes. Therefore, to enhance registration, the government should shorted the process and reduce the cost.Item Is VAT on Agricultural Inputs Cost Effective?(Economic Policy Research Centre, 2014) Mbowa, Swaibu; Omamo, Steven Were; Rusike, JosephThis policy brief summarizes the results of preliminary analysis to quantify the potential farm-level and aggregate impacts of the proposed imposition of 18% value added tax (VAT) on key agricultural inputs in Uganda. Results reveal that the potential costs of the proposed imposition of VAT on agricultural inputs appear to far outweigh the potential benefits. The impact of VAT imposition on maize seed and fertilizer is estimated to contribute total tax revenues of $10.29 million compared to estimated total losses to maize farmers of $20.93 million. This implies a benefit-cost ratio (BCR) of 0.49. This ratio of benefits to costs is well below acceptable levels; and if other commodities, inputs, and other impact channels (e.g., the “output price effect”)were considered, the BCR could be even much lower. In conclusion, the proposed measure undermines basic agricultural and broader economic growth and development objectives; and the ratio of benefits to costs renders the proposed measure unjustifiable based on economic arguments. Therefore, the proposed measure should be reconsidered; and alternative sources of revenue sought.Item Limited health insurance coverage amidst upsurge of non-communicable diseases in Uganda(Economic Policy Research Centre, 2019) Mpuuga, Dablin; Mbowa, Swaibu; Odokonyero, TonnyThis brief uses the 2016/17 Uganda National Household Survey (UNHS) and the World Development Indicators (WDI) to show the extent of health insurance coverage for non-communicable diseases (NCDs) such as diabetes, high blood pressure and heart diseases among others. Results indicate that: (i) NDCs affect people of all socio-economic groups; (ii) more Ugandans suffering from NCDs are willing to pay for health insurance, but very few are holders of insurance policies in this regard; (iii) other diseases like malaria are more easily insured compared to NCDs, an indication that the providers of health insurance services are not keen to insure sufferers of NCDs; (iv) there are regional differences in health insurance coverage as well as prevalence of NCDs, with the burden of NCDs more intense in the Bukedi, Busoga and Teso sub-regions, whereas NCDs are least prevalent in Kigezi and Ankole sub-regionsand (v) NCDs are likely to erode gains in poverty reduction at household level, because it is equally high among poor households with the least capacity to afford health insurance. We there by, recommend establishing special screening centres for NCDs in public health facilities especially health center II’s and III’s. This will promote early detection and early treatment hence curbing expensive costs for treating severe and chronic NCDs. Preventive measures need to be emphasized as well. These include regular body exercises and monitored nutrition which all lower the risk of NCDs. We further suggest incorporating and prioritizing NCDs into the proposed national health insurance scheme.Item Limited health insurance coverage amidst upsurge of non-communicable diseases in Uganda(Economic Policy Research Centre, 2019) Mpuuga, Dablin; Mbowa, Swaibu; Odokonyero, TonnyThis brief uses the 2016/17 Uganda National Household Survey (UNHS) and the World Development Indicators (WDI) to show the extent of health insurance coverage for non-communicable diseases (NCDs) such as diabetes, high blood pressure and heart diseases among others. Results indicate that: (i) NDCs affect people of all socio-economic groups; (ii) more Ugandans suffering from NCDs are willing to pay for health insurance, but very few are holders of insurance policies in this regard; (iii) other diseases like malaria are more easily insured compared to NCDs, an indication that the providers of health insurance services are not keen to insure sufferers of NCDs; (iv) there are regional differences in health insurance coverage as well as prevalence of NCDs, with the burden of NCDs more intense in the Bukedi, Busoga and Teso sub-regions, whereas NCDs are least prevalent in Kigezi and Ankole sub-regionsand (v) NCDs are likely to erode gains in poverty reduction at household level, because it is equally high among poor households with the least capacity to afford health insurance. We there by, recommend establishing special screening centres for NCDs in public health facilities especially health center II’s and III’s. This will promote early detection and early treatment hence curbing expensive costs for treating severe and chronic NCDs. Preventive measures need to be emphasized as well. These include regular body exercises and monitored nutrition which all lower the risk of NCDs. We further suggest incorporating and prioritizing NCDs into the proposed national health insurance scheme.Item Supply of Improved Rice Seed in Eastern Uganda: The Gap and Required Investment(Economic Policy Research Centre, 2016) Odokonyero, Tonny; Barungi, Mildred; Mbowa, SwaibuThis brief explains the challenges limiting use of improved rice seed in three Eastern Uganda major rice growing districts. Insufficient supply of improved seed is a core constraint to intensification in rice production. There are only four rice seed producers in the three study districts, which renders rice seed to be the hardest input to access by farmers compared to fertilizer, herbicides, and fungicides. Rice seed inaccessibility is further compounded by producers having contractual obligations with external seed companies. The volume of seed required by farmers exceeds the supply capabilities of the four seed producers, creating a gap in the rice seed supply chain. Furthermore, the seed producers rarely multiply the varieties grown by farmers, but rather those demanded by seed companies outside the region. The estimated seed supply gap is about 90 percent of what farmers would require. Therefore, in order to meet local farmer’s requirement for improved rice seed, at least 40 new seed production enterprises should be established and this is estimated to cost slightly over one billion Uganda shillings (US $ 300,000).Item Targeting Right: Regional Variation In Food Crop Commercialization(Economic Policy Research Centre, 2014) Adong, Annet; Muhumuza, Tony; Mbowa, SwaibuPolicy initiatives in Uganda have continuously laid emphasis on the need to transform the agriculture sector from subsistence farming to commercial. The country is also zoned into production regions for purposes of intensifying production based on comparative and competitive advantages. Focusing on the five major crops in Uganda, this policy brief provides evidence on the variation in regional food crop commercialization. It provides evidence in support of the commodity focused approach of targeting specific crops in selected agricultural zones. For example it shows that cassava is a viable crop enterprise for large scale commercial production in Northern Uganda while bananas is a viable enterprise for intensive production in Western Uganda. The policy brief emphasizes the need to pay attention to the agricultural zones in guiding interventions in crop farming.Item Uganda’s Agricultural Sector at Crossroads: Is it a myth or a reality?(Economic Policy Research Centre, 2017) Mwesigye, Francis; Sserunjogi, Brian; Mbowa, SwaibuUganda’s agricultural growth has stagnated at about 2 percent for almost two decades yet the sector employs about 70% of the working population and contributes 40 percent of export earnings. On the other hand, Uganda’s population growth rate remains very high, above 3 percent per annum, signaling the likelihood of food insecurity and increase in poverty incidence. It is thus clear that the current state of agriculture cannot support the country’s target of attaining the lower-middle income status by 2020. A number of policies, programs and interventions have been implemented with no success in transforming the sector. These include: Structural Adjustment Programmes, Economic Recovery Program, Poverty Action Eradication Plan, and Plan for Modernization of Agriculture, among others. Indeed, the sector is at crossroads because while it is clear of what needs to be done to transform the sector, the current institutional set up seems weak and uncoordinated to effectively implement the required transformative interventions. Approaches that enhance institutional coordination, promote agricultural research and strengthen extension service provision would aid in revamping agricultural performance.Item Uganda’s Agricultural Sector at Crossroads: Is it a myth or a reality?(Economic Policy Research Centre, 2017) Mwesigye, Francis; Sserunjogi, Brian; Mbowa, SwaibuUganda’s agricultural growth has stagnated at about 2 percent for almost two decades yet the sector employs about 70% of the working population and contributes 40 percent of export earnings. On the other hand, Uganda’s population growth rate remains very high, above 3 percent per annum, signaling the likelihood of food insecurity and increase in poverty incidence. It is thus clear that the current state of agriculture cannot support the country’s target of attaining the lower-middle income status by 2020. A number of policies, programs and interventions have been implemented with no success in transforming the sector. These include: Structural Adjustment Programmes,Economic Recovery Program, Poverty Action Eradication Plan, and Plan for Modernization of Agriculture, among others. Indeed, the sector is at crossroads because while it is clear of what needs to be done to transform the sector, the current institutional set up seems weak and uncoordinated to effectively implement the required transformative interventions. Approaches that enhance institutional coordination, promote agricultural research and strengthen extension service provision would aid in revamping agricultural performance.Item Universal Health Coverage in Uganda: The Critical Health Infrastructure, Healthcare Coverage and Equity(SPEED Initiative, 2017) Odokonyero, Tonny; Mwesigye, Francis; Adong, Annet; Mbowa, SwaibuUniversal Health Coverage (UHC) has gained popularity within the global health policy and academic circles as countries strive to meet the UHC target established under the Sustainable Development Goal agenda. To accomplish this goal, developing countries such as Rwanda, Ghana and others have pursued bold policy initiatives including the introduction of health insurance schemes. In addition to financing, presence of critical health infrastructure and Human Resources for Health (HRH) are crucial to achieving UHC. Using administrative data from IntraHealth Uganda Country Programme (as well as document review) and the Demographic & Health Survey data, this paper analysed Uganda’s critical health infrastructure (including HRH) needed to attain sustained progress towards UHC. It also reviewed UHC progress and analysed equity by computing Composite Coverage Index (CCI) and Coverage Gap Scores. Results show fundamental challenges with the health infrastructure needed to deliver UHC in Uganda. Spatial inequality exists in health facility population coverage and private sector health infrastructure investments. Low health workforce density imply that the existing health workforce is deficient and unable to expand populationbased healthcare services. Progress towards UHC [considering reproductive, maternal, new-born, and child health (RMCH) interventions] has improved marginally over the reviewed period, although the CCI remained low, and regional and socio-economic disparities in coverage remained. Findings also demonstrate that improved healthcare coverage corresponds to better health outcomes. Accelerating progress towards UHC require; increased investments in health infrastructure and strengthening Public Private Partnership arrangements to establish health infrastructure in disadvantaged regions; and improvement in health workforce density by reviewing current staffing norms for critical cadres as well as increased deliberate investments in HRH using similar initiatives like the HRH programme model of Rwanda. To scale up healthcare coverage for RMCH, interventions should aim to maintain successes obtained for immunization and address existing gaps in lagging intervention areas. These objectives can only be achieved if the country institutes and effectively implements a coherent set of health sector policy reforms, regarding health financing, for instance, while drawing lessons from the successful policy efforts observed in the Rwandan case scenario.Item Why have majority of farmers in Uganda remained in subsistence?(Economic Policy Research Centre, 2014) Adong, Annet; Muhumuza, Tony; Mbowa, SwaibuUganda strives to transform the agriculture sector from subsistence to commercial agriculture, in part, to increase household incomes. While a number of policy interventions have been designed to this effect, the sector has remained largely subsistence. In this briefing, we show that for small holder farmers in Uganda, food self-sufficiency goals override the need to earn income from the market for most households in the second season. Food sufficiency goals could be addressed by improving crop productivity and storage. Interventions could also target crop varieties that perform well during short rains to encourage smallholder farmers to actively engage in production throughout the year. For commercialization drive, infrastructural development remains crucial