The Independent Uganda: You get the Truth we Pay the Price
Kampala, Uganda | THE INDEPENDENT | The Uganda Breweries Managing Director (MD) Andrew Kilonzo has called upon government to drive usage of the Digital Tax Stamps(DTS) by all targeted users. Kilonzo made the statements during a media engagement withbusiness reporters and editors in Kampala early in the week.
He said that manufacturers still expect all players to comply to the DTS system and ensurea a levelled playing ground, adding that in “some outlets, you will see our products like uganda waragi bearing tax stamps, being sold next to items that do not have,”
DTS was introduced in Uganda during the 2019/20 Financial Year as part of the Finance Ministry’s Domestic Revenue Mobilization Strategy. The system was specifically designed to curb revenue leakages by ensuring that excisable goods are correctly taxed.
Across East Africa, DTS has been successfully implemented, with Kenya leading the way in 2013, followed by Tanzania and Rwanda in 2019.
Whereas the DTS success remains acknowledgeable, Kilonzo notes that compliance remains an uphill task, calling upon government to devise means to increase players.
“Maybe we need a different approach, to get moreplayers anddrive up volumes,” he told the media assembled at Port Bell.
Support to farmers
UBL dedicated half a day Monday to listen to the media and share their plans for the coming year.
MD Kilonzo highlighted UBL’s contribution to the agriculture sector.
He said that through Farm for Success Program, Uganda Breweries is supporting people in farming communities who supply the organisation with raw materials such as sorghum and barley used in alcoholic beverages production.
On an annual basis, Uganda Breweries invests sh52billion in farmers involved in the supply of raw materials.
“We are touching the lives of at least 50,000 farmers; we work with the National Agricultural Research Organisation (NARO) to improve the yields; we were very excited when the government came with the Parish Development Model (PDM) because we are exactly working with people in communities” he stated.
Decarbonising efforts
In April 2024, UBL commissioned a state-of-the-art sh37 billion biomass plant.
The facility represents a substantial investment by UBL and excellent progress in its decarbonising journey. Powered by locally sourced biomass materials, the plant also exemplifies UBL’s dedication to harnessing sustainable manufacturing while offering livelihood opportunities to local communities.
“We have cut our carbon emissions by 92% and by 2030, we want to be carbon neutral; we are almost there. What’s remaining is for our diesel generators for backup but we are looking for the solution,” said Kilonzo.
Changing consumer patterns
Emmy Hashakimana, the Commercial Director at Uganda Breweries said customers are becoming more occasioned while consuming alcoholic beverages. He said they will consume a certain product depending on the nature of the day.
“Today he may drink a Tusker Lite, tomorrow he does a Johnnie Walker and on the weekend date, he will do a Baileys. There’s a new cohort of customers who are interested in the sweet flavors.”
