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Uganda Breweries invests UGX32 Bn on farmers

Peter 21st Aug, 2024 Industry Pedson Mumbere
Uganda Breweries invests UGX32 Bn on farmers

A Uganda Breweries team talks to farmers on a recent field trip. The company is transforming its business model through placing increased emphasis on procuring raw materials from local communities.


Uganda Breweries Limited (UBL) has reported a 12% net sales growth in the last financial year, driven by the success of premium beer brands like Guinness and Uganda Waragi.

Speaking at the company's annual Media Day event at their premises at Luzira, Andrew Kilonzo, the UBL Managing Director, attributed the company's growth to its strategic focus on premium offerings and a commitment to sustainable practices.

"We have registered this growth while being mindful of our impact on the environment and the people in our value chain. We have partnered with the government to support poverty eradication through the modernization of agriculture and have invested over UGX 32 billion in farming communities and supply value chains to source raw materials locally for our production processes," said Kilonzo.

  • He added that one of UBL's most notable investments last year was the construction of a biomass steam plant, a project that has reduced the company's carbon emissions by 92%.

He said that the plant, powered by locally sourced biomass materials, is a testament to their dedication to sustainable manufacturing and supporting local communities.

"As part of our Spirit of Progress agenda, we want our business to be a positive contributor to the community. We're aware that climate change is a critical issue, which is why we have made significant investments in our mission to be carbon neutral by 2030," Kilonzo added.

  • Emmy Hashakimana, UBL's Commercial Director, emphasized the company's commitment to promoting responsible consumption of its products. He highlighted UBL's efforts in educating the public about the dangers of underage drinking, binge drinking, and drink driving, stressing the importance of moderation.

"We have made significant investments in reaching out to the masses with messages aimed at changing attitudes towards harmful drinking behaviours. UBL is using its brands to reinforce the importance of moderation whenever people interact with our products," Hashakimana said.

Commenting on the recent throwing out of the controversial Alcohol Control Bill by Parliament, Kilonzo expressed UBL's readiness to adapt to regulatory changes while continuing to operate responsibly.

"We are already a heavily regulated industry, so for us, it's business as usual. We will continue our journey to ensure our products are available and consumed responsibly, and we will remain compliant as regulations evolve," he stated.

Kilonzo also stressed the need to address the issue of illicit, unregulated, and informal alcohol. He expressed optimism that the conversation initiated by the Alcohol Control Bill would continue, as there are still opportunities to tackle the challenges posed by these unregulated products.

  • "We are committed to supporting actions that address the informal and illicit alcohol market, as these products pose risks to consumers and regulated players alike. We are confident in competing in a level playing field and believe that existing laws can address some of the issues identified, but there is still room to improve the regulation of unregulated drinks in our industry," Kilonzo concluded.

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