President Commissions Sukulu Phosphate Project

PPU

President Museveni commissioned Sukulu phosphate plant, phase 1 of the China-Uganda free zone of International Industrial Coperation, a comprehensive industrial project implemented by Guangzhou Dongsong energy Group Uganda Limited, in Sukulu village, Tororo district.

The project is part of the of 620 million US dollars investment

The project with a phosphate fertilizer production plant, is introducing the first purely organic fertilisers on tbe local market and will be producing 50,000 tons at the start which will grow to 100,000 tons as the demand grows even beyond borders across the region.

Dongsong Energy Group Uganda Limited is also undertaking a number of other projects under the Uganda-China free zone of international industrial cooperation. These are steel production, glass making and producing Iron Slag Powder, brick making, shear butter production, among others

The industry is going to be the first in East Africa to carry out the full production from mining of minerals, separating them from ore or dressing and processing them into final products.

The President who toured the phosphate fertilizer plant and other upcoming factories was happy to note that once the factories are fully operational, Uganda would no longer need to import fertilisers, glass, steel and Iron and this would save the country lots of money.

"In 2013 Uganda was spending 50 million dollars on importing fertilisers from china but this will stop. we were spending 23 million dollars on importing glass per year, all these imports will stop and instead we will be exporting to the region," he said.

His Excellency explained to the people that the reason why there was a delay in establishing mineral factories in the region was because the government and other private companies in Uganda did not have enough capital to invest and money to compensate the people who were on the land.

"It was selected as free Preferential Trade Area to produce minerals for COMESA but we did not have enough capital. So the chinese came and we explained to them and they accepted to invest,”

Mr Museveni hailed the Republic of China for using a smart policy of encouraging both private and government chinese companies to invest in Africa's viable projects that returned profits to their country.

He further appreciated the Chinese government for not only supporting money projects but also infrastructural developments like the Isimba and Karuma hydro projects. He reiterated that these would help supply cheap electricity to the many upcoming factories in sukulu village.

He also noted that Uganda will become economically competitive but only if there was no corruption.

“There are flies that must be fumigated because they disturb our investors by becoming parasites to them. We are going to lock them up. We shall wipe it out as long as we get facts," he warned.

The President thanked the investor - Dongsong, for his dynamism and continued support to Uganda.

The President of Dongsong company, Mr.Lv Weidong informed the public that after the completion of first phase of the project,1400 people would be employed and that the second phase will have around 3000 workers. He added that he was going to make a continuous effort to realizing this commitment to people of Uganda.

According to the Ambassador of China, His Excellency, Zheng Zhuuang, the sukulu project is the biggest private investment in Uganda. He also noted that the project would be able to employ about 3000 people locally and bring in a high tax revenue every year. He thanked Mr. Museveni for the support of the China-Uganda bilateral investments.

The Minister of Energy and Mineral development, Irene Muloni, noted that the Dongsong company has a working license covering over 28 acres and a mining lease of 112 hectares. She encouraged the people of Tororo to give it national support because it is of national importance.

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