Fortification of Vegetable oil and Sugar with Vitamin A in Uganda

Uganda has a reported 28 vegetable oil producers (GAIN 2006). The other 26 oil
producers include small- and medium-sized plants, but unlike Mukwano and BIDCO,
none sells its product throughout the country, producing instead only for subnational/regional
markets within Uganda. The vegetable oil and fat industry has an
association, the Ugandan Oil Seed Producers and Processors Association.
C. Conclusion about the Ugandan Vegetable Oil Market and Its Fortification
Prospects
The vegetable oil industry of Uganda is thriving. The industry depends heavily on
processing imported crude palm oil. Large, new firms, with modern technology and a
commitment to establishing a high quality, fortified product have recently entered the
market and heightened competition. The competition has increased advertising and
product differentiation and branding, but not cut prices. It is vibrant market in which
both total national production and exports are growing rapidly in quantity and value. The
nature of the market and the companies’ business strategies portend well for a sustained
commitment to continue to fortify products.
Whether other producers are interested or capable of fortifying is unknown, however,
given that Mukwano and BIDCO represent roughly 85 percent of the industry output,
other producers are less important from a national coverage perspective. They might be
strategically significant depending upon the overlap of their geographic markets and the
geography of VAD in Uganda.
D. Vegetable Oil and Fat Fortification
In July 2004, Mukwano Industries began voluntarily adding vitamin A to its vegetable oil
products, marking the advent of fortification in Uganda. At that time, Mukwano supplied
an estimated 60 percent of the total national vegetable oil produced, and although the
UNBS vitamin A fortification standard at the time was 15 mg per kg of oil, Mukwano
was fortifying at level twice (30 mg/kg) that required for meeting the standard. The
fortificant used was a retinyl palmitate, purchased in concentrations of 1.7 million
IU/gram (or the equivalent of 510 g/kg).
In June 2005, BIDCO, started fortifying its vegetable oil products with vitamins A and D.
The fortificant BIDCO used had a different concentration, 1.0 million IU/g (or the
equivalent of 300 g/kg), and 100,000 IU/g vitamin D (or the equivalent of 2.5 g/kg). 10
a. The Mukwano Fortification Process
10 Adding vitamin D is unnecessary in Uganda, but this company is adding this nutrient—outside the
standard—as a marketing tool.
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