Economic Diversification and Growth

Chapter One 7
Figure 7.4: Share of Ugandan Exports by Destination and by Product
(a) 1993–1995 Average
(b) 2008–2010 Average
increased substantially. In 2008-10, about 20 percent of
Uganda’s exports went to other EAC countries and half of
these exports were manufactured products.
Source: Original estimation by the authors based on UN-COMTRADE/WITS data.
7.7. Uganda’s trade data show that there is a higher
propensity to the creation of new exports in the regional
markets than in markets outside of the sub-region.
Based on the decomposition of Uganda’s export growth
between 2000 and 2010 (as shown in Table 7.1), 13 percent
of the growth is explained by new products or new destinations
within EAC (the so called extensive margin growth).
The EAC is the most prominent contributor to the growth of
Uganda’s exports on extensive margin among all the different
markets which receive Uganda’s exports.
Table 7.1: Decomposition of Uganda’s Export Growth 2000-2010: Intensive Margin vs. Extensive Margin
Total EAC SADC Other
SSA
MENA Europe Asia North America
Others
Intensive Margin 39.7% 11.1% 5.1% 8.1% 0.5% 14.4% -1.15% 1.55% 0.0%
o/w - More exports in existing products to existing countries 60.4% 13.6% 7.8% 8.4% 1.1% 23.6% 2.2% 2.0% 1.7%
- Less exports in existing products to existing countries -8.3% -1.9% 0.0% 0.0% -0.1% -3.7% -1.4% -0.2% -1.0%
- Extinction exports in existing products to existing countries -12.4% -0.5% -2.6% -0.3% -0.5% -5.6% -1.9% -0.3% -0.7%
Extensive Margin 60.3% 13.2% 8.0% 8.3% 9.9% 7.7% 8.0% 0.8% 4.4%
o/w - More exports in existing products to new countries 45.1% 8.6% 5.7% 5.6% 7.3% 6.6% 7.1% 0.6% 3.5%
- More exports in new products to existing countries 14.9% 4.6% 2.3% 2.5% 2.6% 1.0% 0.9% 0.2% 0.8%
- New exports in new products to new countries 0.3% 0.0% 0.0% 0.2% 0.0% 0.0% 0.0% 0.0% 0.0%
Source: Regolo (2012).
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Uganda Country Economic Memorandum: Economic Diversification and Growth in the Era of Oil and Volatility