Masaka Cooperative Union struggles to repossess assets

Masaka, Uganda | THE INDEPENDENT | The management of Masaka Cooperative Union is struggling to repossess its assets.

The union which was established in 1951 by coffee farmers in the greater Masaka sub-region collapsed due to political insurgency in the 1980’s.

Although the government offered to compensate the Union for the losses, it is struggling to reclaim their prime assets it lost to private individuals.

Records at the Ministry of Finance indicate that at the beginning of this financial year, the government paid out 6 billion shillings out of a total debt of 17 billion shillings it owes the union.

Emmanuel Ssenyonga, the Union’s general manager says while they need all their assets to enable them to expand their projects, some people occupying the properties are reluctant to return them to the Union.

Some of the properties still in private hands include the two separate pieces of land that formerly accommodated coffee processing and grading plants and several coffee stores located in Kyabakuza division at the outskirts of Masaka Municipality.

Ssenyonga says while some of these assets were sold off by commercial banks that had attached them as a result of the Union failing to pay back loans, some were taken over by unscrupulously people occupying them as encroachers.

He explains that efforts to recover all the properties have not yielded results. Ssenyonga adds that some occupants are still unwilling to accept compensation for the lease offers they may have acquired.

According to Ssenyonga, the Union is currently in the process of reassembling their coffee processing plants and factories which requires having enough land most preferably in locations they formally occupied.

Lawrence Majwala, the Union’s Coffee Marketing Coordinator says while they are still in talks with lawful occupants, they have however chosen to pursue the other encroachers through local authorities.

He explains that they petitioned the Masaka Resident District Commissioner to intervene in a dispute with a businessman whom they accuse of interfering with the boundaries of the Union’s land at Kisosso village in Kingo sub county.

Herman Ssentongo, the Masaka Resident District Commissioner says that he will do whatever it takes to ensure that the matters are resolved for the common good of promoting coffee sector.

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