By Spy Uganda
President Yoweri Kaguta Museveni on Tuesday hosted a high-level delegation from the Kingdom of Saudi Arabia at State House, Entebbe, in talks aimed at deepening bilateral economic cooperation and unlocking new commercial opportunities between the two countries.
The Saudi delegation, led by Mr. Ali O. Alswayeh, expressed appreciation for the warm reception and reaffirmed Saudi Arabia’s interest in expanding its investment footprint in Uganda. Agriculture emerged as a central focus of the discussions, with particular emphasis on coffee value addition and agro-industrial development.
President Museveni welcomed the delegation, noting that while Uganda and Saudi Arabia have maintained cordial diplomatic relations over the years, there remains significant untapped economic potential.
“We have been working together for a long time, but we have not fully engaged to maximise our investment opportunities,” the President said, underscoring the need for stronger private-sector partnerships and strategic investments.
A key highlight of the meeting was the Value at Source Coffee Project (VASP), an agro-industrial initiative spearheaded by Nonda Coffee. The project seeks to transition Uganda from primarily exporting raw coffee beans to producing and exporting branded, higher-value finished coffee products.
At the heart of the initiative is the proposed Luwero Coffee Park, an integrated industrial complex to be established in Luwero District. The facility is projected to process up to 42,000 metric tonnes of coffee annually, with an estimated annual revenue target of USD 850 million.
The planned industrial park will cover the entire coffee value chain, including cleaning, grading, roasting, grinding, production of soluble and specialty coffee, packaging, branding and export of finished products.
The project is expected to create approximately 1,500 direct jobs and an estimated 3,000 indirect jobs across logistics, retail and related support services. Additionally, more than 100,000 coffee-farming households are projected to be integrated into a structured and reliable supply chain, providing farmers with improved market access and income stability.
Saudi Arabia was identified as a strategic gateway to the wider Middle East market — one of the fastest-growing coffee consumption regions globally. Officials said expanding into this market would boost demand for Ugandan coffee, strengthen bilateral trade ties and create sustainable downstream markets for local producers.
The meeting reaffirmed both countries’ commitment to investment-led growth, private sector development and industrialisation as critical pillars of economic transformation.
President Museveni reiterated that value addition remains central to Uganda’s long-term development strategy, stressing that exporting finished goods rather than raw materials is essential for increasing export earnings, creating jobs and accelerating industrial growth.
The engagement signals renewed momentum in Uganda–Saudi Arabia economic relations, with both sides expressing optimism about translating discussions into concrete investment partnerships in the near future.
