TRENDS AND IMPACTS OF FOREIGN INVESTMENT IN DEVELOPING COUNTRY AGRICULTURE

Part 3: Policies for attracting FDI and impacts
on national economic development
BOX 8
Partnerships with EPOPA to introduce (a) Standards for Organic Coffee and (b) Sustainable Fisheries
and Inspection Protocols
Introduction of Organic Coffee Production by Kawacom (U) Limited
Kawacom is a Ugandan based coffee exporting company, and member of the Ecom Agro Industrial
Corporation, an international agribusiness enterprise. In 1998, Kawacom initiated organic coffee
production in Uganda in conjunction with the Export Promotion of Organic Produce from Africa (EPOPA).
The project was initiated in the coffee-growing district of Bushenyi in western Uganda. By 2002 after
EPOPA had withdrawn their involvement, Kawacom independently started two other programmes in the
Sipi and Paidha areas. These two areas have 13 000 coffee farmers. Kawacom trained farmers and field
officers through the use of demonstration plots and nurseries (Tulip, 2005).
Source: Uganda, UCDA, 2006: 14
Greenfields (U) Limited – International Standards for Fisheries
In 2004, Greenfields constructed a fishing landing site in Nakasongola district on the shores of Lake
Kyoga. The site was constructed in accordance with EU standards. Greenfields partnered with EPOPA in
the training of fishermen on fish quality and standards. The objective of the construction project and the
training was to comply with UgoCert standards of sustainable fisheries and inspection protocols.
Source: Beule (2008)
end of the value chain. They are increasing
providing training to local farmers to ensure
proper handling and storage of coffee. They
also supply tarpaulins for improved coffee
drying.
Research is also being undertaken currently
by the private sector to produce new seed
varieties. According to the Variety Release
Committee of the Ministry of Agriculture,
Animal Industry and Fisheries, a total of 41 seed
varieties were released by the private sector
between 2000 and 2008 (Mugoya, 2009).
These varieties were for maize, rice, beans, soya
beans, sorghum, barley, sunflower, cowpeas and
sweet potatoes. They were developed to address
specific production constraints including low
yields, drought persistence, or pest and disease
persistence. Two notable examples are: (i) the
introduction of the upland rice variety (Nerica 4)
into Uganda by Tilda (U) Limited, with support
from USAID’s Investment in Developing Export
Agriculture (IDEA) project and the West African
Rice Development Association (WARDA); and (ii)
the introduction of the DEKLAB maize variety by
Monsanto (U) Ltd.
Introduction of the NERICA 4 Rice Variety into
Uganda: The introduction of the Nerica 4 upland
rice variety, which was led by Tilda (U) Limited
and the USAID IDEA project, has significantly
increased the production of rice, even by
smallholder farmers, and has contributed to
Uganda’s self-sufficiency in rice production (Boxes
6 and 7). Previously, most of the rice produced in
Uganda was imported.
Introduction of the DEKLAB hybrid maize variety:
Monsanto opened a branch in Uganda in March
2000. Currently, Monsanto (U) Ltd, deals in two
products: DEKLAB Hybrid maize and vegetable
seeds. The company mostly sells to distributors
and suppliers and indeed, is the main supplier of
maize hybrid throughout Uganda. The DEKLAB
hybrid maize has higher yields than other maize
seed brands on the Uganda market, e.g. Longe-5
(a maize hybrid developed by Uganda’s Kawanda
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