Saudi Arabia eyes Uganda coffee sector as Museveni pushes value addition agenda

Officials from have expressed interest in investing in Uganda’s expanding coffee industry following high level talks with President at State House in Entebbe.

The investment focused meeting brought together a Saudi delegation led by Ali O Alswayeh and senior Ugandan government officials to explore opportunities for deeper economic cooperation. The discussions centered on agriculture, particularly coffee value addition, as a strategic area where Saudi capital and market access could accelerate Uganda’s industrial ambitions.

Uganda is Africa’s leading coffee exporter and one of the world’s top producers of robusta beans. However, the country has historically exported raw beans with limited domestic processing, capturing only a fraction of the potential value in global supply chains. President Museveni has repeatedly argued that Uganda must shift from raw commodity exports to finished branded products in order to boost export earnings, create jobs and strengthen industrial capacity.

Saudi Arabia eyes Uganda coffee sector as Museveni pushes value addition agenda

During the meeting, Museveni noted that while Uganda and Saudi Arabia have maintained cordial diplomatic relations for years, economic engagement has not reached its full potential. He welcomed the Kingdom’s renewed interest and emphasized the importance of partnerships that support long term transformation rather than short term trade flows.

A key topic of discussion was the Value at Source Coffee Project spearheaded by Nonda Coffee. The initiative aims to reposition Uganda as an exporter of processed and branded coffee products instead of unprocessed beans. Central to this strategy is the proposed Luwero Coffee Park, an integrated agro industrial complex planned for Luwero District.

The facility is projected to process up to 42,000 metric tons of coffee annually and generate an estimated $850 million in annual revenue once fully operational. The complex is designed to handle the entire value chain, including cleaning, grading, roasting, grinding, soluble and specialty coffee production, packaging, branding and export of finished goods.

coffee beans
Coffee Beans

Beyond revenue projections, the project carries significant employment potential. Estimates suggest it could create about 1,500 direct jobs and approximately 3,000 indirect roles across logistics, retail and support services. It is also expected to integrate more than 100,000 coffee farming households into a structured supply chain, offering improved market access and potentially more stable incomes.

For Saudi Arabia, Uganda presents an opportunity to secure premium coffee supply while diversifying agricultural investments abroad. The Middle East is one of the fastest growing coffee consumption regions globally, driven by urbanization, youth demographics and expanding café culture. Access to the Saudi market could therefore provide Uganda with a strategic gateway into broader Gulf and Middle Eastern demand.

The talks underscore a shared emphasis on private sector led growth and value addition as engines of economic development. If translated into concrete investment commitments, the partnership could strengthen bilateral trade ties and reinforce Uganda’s broader industrialization agenda.

Whether the discussions evolve into binding agreements will depend on financing structures, regulatory clarity and investor confidence. For Uganda, the priority remains clear: turning agricultural output into higher value exports that anchor sustainable economic growth rather than relying on raw commodity sales.

Uganda coffee exports up 22% in December

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