Understanding President Museveni’s 4 sectors and 7 ways of wealth creation
The ways to wealth and job creation, as highlighted by President Museveni, revolves around the growth of industries, both big and small. By harnessing industrial potential, Uganda can diversify its economy, attract investments, and empower its citizens. The establishment of large-scale manufacturing plants and the promotion of small-scale enterprises will contribute to economic development, reduce poverty, and create sustainable employment opportunities for Ugandans.
In his nationwide sensitization campaign on poverty eradication, President Yoweri Museveni presented a comprehensive paper outlining the key sectors for wealth and jobs creation. While emphasizing the importance of commercial agriculture, services, and ICT, he highlighted industries as the fifth avenue to prosperity.
Under this sector, both big and small enterprises play a vital role in driving economic growth and generating employment opportunities. President Museveni recognized the need to diversify Uganda’s economy and reduce its reliance on traditional agricultural practices. By promoting industrial development, he aimed to create a conducive environment for innovation, production, and trade. The establishment of various industries, ranging from large-scale manufacturing plants to small-scale enterprises, would contribute significantly to wealth creation and job opportunities for Ugandans.
Large-scale industries have the potential to stimulate economic growth on a broader scale. These enterprises are characterized by substantial investments, advanced technology, and the capacity to manufacture goods and provide services at a large volume. By setting up large industries in sectors such as manufacturing, textiles, pharmaceuticals, and construction, Uganda can attract foreign direct investment, boost exports, and create employment for a considerable number of citizens.
At the same time, small-scale industries have their own unique significance. They cater to local markets, promote entrepreneurship, and empower individuals and communities. Small-scale enterprises encompass a wide range of sectors, including handicrafts, agro-processing, food production, textiles, and services. These businesses not only contribute to the economy but also foster skill development, reduce poverty, and enhance self-reliance among the population.
President Museveni’s vision for industrial growth encompasses initiatives such as providing infrastructure support, access to finance, technology transfer, and capacity building. By leveraging these resources, both large and small industries can thrive and contribute to the overall development of the nation.
Additionally, the government’s commitment to creating an enabling business environment, streamlining regulations, and promoting entrepreneurship will further strengthen the industrial sector.
On May 8th 2019, during a nationwide sensitization campaign on poverty eradication, NRM party chairman President Yoweri Museveni presented a paper themed “Four sectors and the Seven ways for wealth and jobs creation” in which he pointed out commercial agriculture; industries (big or small); services (hotels, transport, professional services, shops, etc.); and ICT (Business Process Outsourcing -BPOs) as the four sectors for wealth and jobs creation which his NRM party have been preaching to Ugandans since 1995.
Mr Museveni noted that 68% of homesteads in Uganda are still in subsistence farming (growing crops only for food), which he calls “a sentence to poverty for those families that have not woken up.” “Within agriculture, there are four ways of doing commercial activities.
These are: the four acres plan; the micro-activities for those that no longer have the four acres; the medium and large-scale farmers; and the plantation agriculture,” Mr Museveni notes.
The four acres plan Museveni recommends 7 activities on account of high returns per acre, per annum.
● One acre for clonal coffee
● One acre for fruits (mangoes, oranges and pineapples)
● One acre for food crops for the family (cassava, bananas, upland rice or irrigation rice, Irish potatoes, sorghum or millet)
● One acre for pasture for dairy cattle (8 of them); poultry for eggs in the backyard piggery; and fish farming.
Projected returns
Coffee, in one acre, can give Shs18million and fruits – Shs12million; milk, Shs 8million. “With poultry and piggery, the sky is the limit because, as long as you buy food for them, in the backyard, you can keep a large number of chicken and pigs.”
Mr. Museveni recommended that families with less than four acres can engage in poultry, piggery, onions, tomatoes, mushrooms, some zero-grazing dairy cattle, apples and grapes.
While families with 6 acres and above can use 4 acres for coffee, fruits, food crop, dairy farming, pigs, poultry, fish-farming). They can also produce low value crops like sugarcane, cotton, tobacco, maize, etc and on the other two acres in addition to the high value activities.
His 4th way is for plantation owners with a lot of land to use it for an industrial monocrop: sugarcane, tea, palm oil, etc with assistance from government.
Hence, the four ways out of the seven of creating wealth and jobs, are in agriculture. Coffee, in one acre, can give Shs 18million and fruits.
“With poultry and piggery, the sky is the limit because, as long as you buy food for them, in the backyard, you can keep a large number of chicken and pigs.”
5th way is industries – big and small.