By Spy Uganda
A dispute over unpaid maize supplies has escalated in Luweero District after dozens of traders returned to the gates of PRO Industries Limited, demanding payment of about Shs2.6 billion despite an interim court order restricting them from interfering with the company’s operations.
The traders, operating under Lim Welo General Stores Limited, staged the protest on Tuesday at the company’s factory in Ndibulungi, Butuntumula Sub-county, carrying placards and demanding settlement for maize they say they supplied between March and May 2026.
The confrontation has now shifted from a commercial payment dispute into a legal battle, with both sides presenting sharply different accounts of the amount allegedly owed and how the disagreement arose.
The protest came a day after the High Court in Luweero issued an interim order restraining Lim Welo General Stores Limited, its director Isma Mubiru and associated maize traders from trespassing on PRO Industries’ premises or parking vehicles at or around the facility.
Justice Godfrey Himbaza issued the order following an application by PRO Industries after traders allegedly parked trucks at the entrance to the company’s distillery on August 13, disrupting access and operations.
The interim order will remain in force pending the hearing of the main application on September 3.
Despite the order, the traders returned to the facility on Tuesday, insisting that they would not abandon their demand until what they describe as outstanding payments are settled.
Traders: “We Supplied 3,000 Tonnes”
The traders claim they supplied approximately 3,000 tonnes of maize to PRO Industries but have not been paid in full despite repeated assurances that their money would be released.
Lim Welo director Mubiru said the traders expected payment to be made promptly after the issuance of Local Purchase Orders.
“According to the agreement, we are supposed to be paid promptly after the LPO. But this has taken months, with the company making empty promises now and then,” Mubiru said.
He also accused the company of seeking to settle the dispute at a figure significantly lower than what the suppliers believe they are owed.
Individual traders say the prolonged delay has left them facing mounting financial pressure.
Jamadah Lubega said he is owed about Shs160 million, while Ismael Sengooba claims Shs96 million.
Steven Mugumya said he borrowed Shs50 million from a bank to finance his maize purchases and now fears losing his property if he fails to service the loan.
Mugumya further said the delay has cost traders potential earnings because the price of maize has since increased from about Shs950 to more than Shs1,100 per kilogramme.
PRO Industries, however, has rejected the traders’ account and raised concerns about the figures being presented by Lim Welo.
In a statement issued on Monday, the company said a review of the supplier’s account had revealed what it described as inflated figures and material discrepancies.
The company also alleged that its weighbridge personnel had been threatened and pressured in an attempt to influence delivery records.
PRO Industries Executive Director Vasundhara Oswal said the company would not be pressured into making payments that it believes are unsupported by genuine records.
“What initially appeared to be a supplier demanding additional payment has become much more serious following our review. We identified inflated figures in the supplier’s statement and have received evidence concerning threats made to our weighbridge personnel in an attempt to manipulate records,” Oswal said.
She added that the company would not allow employees to be intimidated or be pressured into approving payments based on what it considers false or manipulated information.
Company Proposes Reconciliation
According to PRO Industries, it had invited Lim Welo for reconciliation meetings on several occasions before the latest protests, but the invitations were not taken up.
The company said it also proposed paying 50 per cent of the undisputed amount immediately, with the remaining balance to be settled after the parties completed a reconciliation of their records.
PRO Industries said the proposal was declined.
The company maintains that it remains willing to examine documentation presented by the supplier, including invoices, delivery records, weighbridge slips and goods-received notes, in order to establish the legitimate amount owed.
However, it said it would not accept demonstrations, intimidation of employees or attempts to manipulate records as a means of resolving the dispute.
With the High Court having already issued interim orders restricting the traders’ access to the factory, the dispute is now set for further consideration when the main application comes up for hearing on September 3.
The central issue will include the parties’ competing claims over the quantity of maize supplied, the amount legitimately payable and the records supporting the respective positions.
Meanwhile, the traders have appealed to Local Government Minister Balaam Barugahara and the Ministry of Trade, Industry and Cooperatives to intervene and help resolve the dispute.
The standoff has raised broader concerns over the risks faced by agricultural suppliers and processors when commercial disagreements over deliveries, payments and documentation escalate into operational and legal disputes.
For now, the two sides remain divided over the figures, with the traders demanding about Shs2.6 billion and PRO Industries disputing the amount while calling for reconciliation of the underlying records.
