President Yoweri Kaguta Museveni has officially launched Piston Medical Ltd, a state-of-the-art pharmaceutical manufacturing plant located in Namanve Industrial Park.
The facility is set to produce intravenous fluids and essential medicines, reducing Uganda’s reliance on imports and strengthening the local pharmaceutical industry.
“I am very happy to see Ugandans venturing into industrialisation. This is the socio-economic transformation we keep talking about,” President Museveni remarked at the launch. “That’s why I always emphasise that you should engage in production not just for consumption but also for income.”
Highlighting Uganda’s key economic pillars—commercial agriculture, manufacturing, services, and ICT—Museveni underscored the significance of industrialisation for sustainable economic growth.
“In developed countries like the USA, only 2% of the population is engaged in agriculture, while the majority are in manufacturing and services. What is happening here is a big step forward for Uganda’s economy,” he noted.
Government’s Commitment to Industrial Growth
The President reaffirmed his administration’s commitment to creating a business-friendly environment through strategic policies.
He commended Minister of State for Investment and Privatisation, Hon. Evelyn Anite, for spearheading initiatives to attract investors, including providing free land for industrial projects.
“The land is not for sale. What we want is for you to produce products needed here and for export. Our contribution is free land, and we also provide tax incentives. For the first 10 years, manufacturers are not taxed directly, but the government still earns revenue through indirect taxes,” Museveni explained.
On infrastructure, Museveni addressed concerns over the Namboole-Namanve Industrial Park road, pledging government intervention. “The road you are talking about, I was not aware of it, but they are going to work on it,” he assured.
He also acknowledged high electricity costs, attributing them to expensive power from the Bujagali hydropower plant. However, he reassured investors that cheaper government-owned power stations would help address the issue.
Piston Medical’s Industrial Milestone
Mr Benjamin Kiiza, CEO of Piston Medical Ltd, praised Uganda’s industrial progress and highlighted the company’s journey from medical distribution to manufacturing.
“We welcome you to Piston Medical. Our journey in the medical industry began as a distributor, but in 2019, we decided to venture into manufacturing,” he shared.
He noted that before launching operations, the company conducted market research in Rwanda, Burundi, Kenya, Tanzania, and South Sudan to assess viability. “That research gave us the confidence to move forward,” Kiiza stated.
Piston Medical Ltd is the first in the region to manufacture large-volume and small-volume parenteral solutions, a significant milestone in local pharmaceutical production. “We feel like groundbreakers, bringing these essential products to our nation,” he emphasised.
Kiiza underscored the company’s commitment to high safety and quality standards, employing sterile manufacturing technology. He also highlighted the company’s role in job creation, currently employing over 100 people while generating numerous indirect jobs in the community.
Financial Support and Economic Stability
Addressing financial challenges in manufacturing, Kiiza acknowledged the support of institutions like DFCU Bank and the African Development Bank (ADB).
“We have been operating with patient capital and maintaining our workforce over the last two years,” he said. He also expressed gratitude to President Museveni for Uganda’s stable macroeconomic policies.
“Your Excellency, I want to thank you for the economic policies that ensure stability. The Ugandan shilling was the best-performing currency in Africa last year. Because of this stability, we can plan ahead and assure our workers and partners of our operations,” Kiiza noted.
Additionally, he commended the government’s tax incentives for local manufacturers, which eased the importation of essential equipment. “Without these incentives, it would have been nearly impossible to start operations without immediate tax burdens. Such policies make it easier to invest,” he emphasised.
Kiiza also stressed the importance of import substitution, citing lessons from the COVID-19 pandemic. “When COVID-19 hit, every country prioritized its own needs and supply chains. We must strengthen local manufacturing to be self-reliant,” he urged.
UDB’s Role in Industrialisation
Ms Patricia Ojangole, Managing Director of Uganda Development Bank (UDB), lauded the government’s commitment to industrialisation, emphasising the role of financial institutions in supporting private sector growth.
“I express my gratitude to His Excellency the President for supporting industrialization and creating an enabling environment for the private sector. Our intervention in this project started at an early stage where we provided financial structuring support,” she said.
She highlighted UDB’s impact in equipping industries with advanced technology, reducing Uganda’s dependency on imports, and strengthening local production. “To date, we have supported about 17 factories, all contributing to job creation, economic growth, and import substitution,” she added.
The event was attended by various dignitaries, including Hon. Evelyn Anite, Minister of State for Investment and Privatisation, and Dr. Diana Atwine, Permanent Secretary, Ministry of Health.