Wednesday , February 19 2025
Home / NEWS / Work set to start after Madhvani gets lease for land for Amuru Sugar Project

Work set to start after Madhvani gets lease for land for Amuru Sugar Project

A casual worker clears weeds on Atiak Sugarcane plantation in Amuru District. In the background is a recently acquired Case IH Patriot sprayer.

Amuru, Uganda | THE INDEPENDENT | Madhvani Group of Companies, through the Amuru Sugar Works Ltd has finally signed a lease agreement to kick start the establishment of a sugar processing plant in Amuru district. The 49 years lease was signed with the Uganda Lands Commission last week for 8,600 hectares of land, part of the 10,000 hectares Madhvani requires for the project in Kololo Parish in Lakang Sub-county.

For more than a decade the land, which was acquired by the government for the project had been idle leaving leaders to question the government’s intention over its usage as migrant cattle keepers turned it for grazing their cattle. K P Eswar, the Director of Corporate Affairs at Madhvani Group of Companies told URN Friday that the signing of the lease agreement now gives the company a go ahead to commence works on the land.

Eswar noted that over the years, they couldn’t start any project on the land since its ownership was with the Uganda Lands Commission which had a title over the land. He said the Lands Ministry has since given them the goa head to start works on the land as it processes a land title for Madhvani Group of Companies.

According to Eswar, Madhvani which enjoys a 51 percent share in the project will start agricultural operation on the land in the coming two weeks.

Eswar noted that the project will come with numerous employment opportunities for the locals in Amuru district and lauded the leadership for their patience over the years.

According to the Uganda Development Corporation, up to 9,000 direct job opportunities are expected to be created once the sugar plant and sugarcane plantation is established in Lakang Sub-county.

Michael Lakony, the Amuru District Chairperson however cautioned local farmers and migrant cattle keepers encroaching on the land to desist since works for its intended purpose is set to commence.

Lakony disclosed that Madhvani group of companies’ officials are set to make a visit to the district next week to inform the leadership of their scope of work before proceeding to the project site. At the project site, according to him, a team of engineers will map out the topography of the land, establish its exact boundaries and map out spots for constructing their project offices.

Amuru Resident District Commissioner Geoffrey Osborn Oceng on Thursday ordered all those occupying the land to vacate voluntarily as the project for establishing the sugar plantation and sugar processing plant commences. Madhvani Group of Companies is however seeking additional 10,000 hectares of land to bring to a total of 20,000 hectares of land it requires for effective establishment of the Sugar project.

Data from the Uganda Development Corporation shows that the Amuru Sugar Works project will require funding estimated between 125 million US Dollars to 150 million US Dollars for the first two phases, which will gradually increase to around 225 million US Dollars to 250 million US Dollars at full expansion capacity.

*****

URN

Loading...

Leave a Reply

Your email address will not be published. Required fields are marked *