Civil society organizations in Uganda are raising a red flag over the government’s reduced financial support to the agro-industrialization program. Experts say the move may hurt the economy, food security, and sustainable farming of the nation.

The 2025/26 financial year national budget framework presents a sharp drop in the funding of agro-industrialization. The program will receive UGX 1,689.352 trillion, a cut from UGX 1,813.860 trillion allocated to the program in the 2024/25 financial year by 6.86%. This equates to a reduction of UGX 124.51 billion, which is a significant blow to what has been termed the backbone of transforming Uganda’s economy.

In an interview with the media in Kampala, Lawrence Kanakulya, Program Officer for Advocacy at Participatory Ecological Land Use Management, said agro-industrialization is key to Uganda’s future economic development. “The program aims to increase Uganda’s export earnings to US$ 20 billion per year by 2039/40. This budget cut has just made that target unrealizable,” he said.

Kanakulya added that agro-industrialization is central to attaining Uganda’s dream of full economic monetization. The program has been focusing on commercialization of agriculture, increased industrialization, social services improvement, embracing digital transformation, and access to markets. But all these activities have been constrained by chronic underfunding.

Limited Funding Stalls Sustainable Agriculture Initiatives

They argue that the recent agreements at the Kampala meeting of the Comprehensive Africa Agriculture Development Programme mean an increase in financing of agriculture across the African regions. In Kampala, CAADP stated what was termed as significant investment required in sustainable agri-food systems.

“The declaration called for increased support to agriculture for the sake of food security, environmental protection, and economic growth. Unfortunately, Uganda’s current funding decisions seem to ignore this guidance,” Kanakulya noted.

Pascal Muhangi, an economist at CSBAG, shared a similar view. He noted that agriculture has continuously received less than 5% of Uganda’s national budget despite its immense contribution to the economy. “This persistent underfunding undermines the sustainable agriculture approach, which is vital for environmentally friendly and socially responsible farming practices,” he said.

Addressing Climate Change and Food Security Through Sustainable Agriculture

Mugoye Musa, Program Officer at ISER, emphasized that this is about ensuring sustainable agriculture: “It deals with some the contemporary issues such as climate change and soil degradation as well as scarcity of water in production. Sustainable farming improves crop yields, increases farmers’ incomes and enhances food security while protecting the environment and promotes social justice”, he said.

The organizations are calling for the government’s priority funding on sustainable agriculture. The organizations call for policy reforms to make farmers get incentives to adopt environmentally friendly practices. “We need to actually focus on initiatives that secure food for all, improve farmers’ livelihoods, and protect natural resources,” Kanakulya stressed.

Challenges Loom Over Uganda’s Agricultural Sector

In Uganda, for example, low crop yields, increased poverty among farmers, and decreased food security are some of the big challenges on the table. Civil society organizations believe that it is either time to act upon more investments in sustainable agriculture or never at all.

Greater funding is called for in light of strengthened scrutiny into the government’s spending priorities. Without proper support, many stakeholders fear that Uganda will fail to meet economic and social development targets.

A Call for Action

Civil society organizations are demanding that the government reverse the funding decline as a matter of urgency. They argue that the agro-industrialization program is key to unlocking Uganda’s potential as a leading agricultural economy. “The government must act decisively to ensure adequate funding for this critical sector. Uganda’s future depends on it,” concluded Kanakulya.

The appeal resonates with farmers, policymakers, and advocates who understand that a well-funded agro-industrialization program can transform Uganda’s economy, enhance food security, and promote sustainable development. Only time will tell whether the government heeds this urgent call.