India-Uganda Relations

India-Uganda Relations

The bilateral relations between India and Uganda are characterised by historical cultural linkages, extensive economic and trade interests, and a convergence on major bilateral and international issues. A 27000+ Indian/PIO population in Uganda, a bilateral trade of nearly US$ 1.3 billion, a steady surge of Indian investments making India consistently one of the top investors in Uganda, capacity building training programmes and institutions, and a common and deep respect for universal values like democracy and peace reinforce the architecture of India-Uganda bilateral relations.

Trade and economic interests brought several Indians to the shores of East Africa as early as the 17th century in dhows laden with their wares. Eventually a number of Indians settled in East Africa, and many made Uganda their home. India’s freedom struggle inspired the early Ugandan activists to fight colonization and Uganda eventually achieved Independence in 1962. India established it diplomatic presence in Uganda in 1965. Except for the era of Idi Amin’s reign in early 70’s when nearly 55,000 Persons of Indian Origin (PIOs) and 5000 Indian nationals were expelled and their properties confiscated, relations between the two countries have since been cordial. The anti-Indian policies of Amin were reversed when the current President YoweriKagutaMuseveni came to power in 1986. The current Government’s progressive policies ensured that the India-Uganda relations were restored to erstwhile levels. Uganda remains an important partner in Africa. India and Uganda closely cooperate at regional and international fora.

Exchange of High-Level Visits:

From India:

• Prime Minister Shri. NarendraModi visited Kampala in 2007 during his tenure as the Chief Minister of Gujarat to participate in the Commonwealth Heads of Government Meeting (CHOGM). During his visit, he called-on President Museveni and met the Ugandan Ministers of Foreign Affairs and Agriculture.
• Prime Minister Shri. I.K. Gujral, visited Uganda in 1997.
• Prime Minister Dr.Manmohan Singh visited Kampala in 2007 to attend CHOGM.
• Vice President of India Shri M. Hamid Ansari transited Kampala in July 2011.
• Speaker of LokSabha, Ms. Meira Kumar attended the 126th Assembly of the Inter Parliamentary Union in April 2012.
• Minister of Health & Family Welfare, ShriGhulamNabi Azad, visited Kampala to chair the 22nd Executive Committee Meeting of Partners in Population Development (PPD).
• EAM Shri Salman Khurshid visited Kampala in April 2013 for bilateral meetings and to chair the Regional HoMs’ Conference.

From Uganda:

• President Museveni twice paid a State Visit to India viz. in October 1992 and in April 2008. He also visited India twice on a private visit viz. in September 2011 and February 2015.
• Vice President Edward Ssekandi led a business delegation to the 9th CII-EXIM Bank Conclave in March 2013.
• Speaker of the Ugandan Parliament Mrs. Rebecca Kadaga attended the 7th Meeting of Women Speakers of Parliament held in New Delhi in October 2012.
• Minister of Energy and Mineral Development, Ms Irene Muloni, visited India in January 2014 to attend Petrotech 2014 as a Guest of Honour. During the visit, She had a meeting with Hon. Minister of Petroleum and Natural Gas, Dr.VeerappaMoily.
• Prof Dr Zerubabel M. Nyiira, Hon’bleMoS for Agriculture, Government of Uganda travelled to India in February 2014 to participate in Asia-Africa Agri business Forum.
• Minister of Finance and Economic Planning and Development Ms. Maria Kiwanuka travelled to India in March 2014 to participate in the 10th CII-Exim Bank Conclave.
• Minister of Foreign Affairs Mr. Sam Kutesa led a delegation of senior officials to India in July 2014. He was the first African leader to visit India after the formation of the new government. He was accompanied by the Hon. Minister of ICT Mr. John Nasasira, Hon. MoS for Investment Ajedra Gabriel and Hon. MoS for Fisheries Ms. Ruth Nankabirwa. During the visit, the Hon. Kutesa called on Hon. Prime Minister Shri. NarendraModi and Hon. EAM Smt. SushmaSwaraj. The delegation also interacted with CII.

Institutionalised Mechanism for Bilateral Exchanges: A bilateral arrangement for Joint Commission Meeting (JCM) at the Secretary level provides the framework for comprehensive discussions on all bilateral issues. The next JCM is expected to be held this year.

Capacity Building and Development Partnership:

Government of India is setting-up a Food-Processing Business Incubation Centre (FPBIC) in Uganda. The centre will provide support to the local entrepreneurs to enhance their skills in food processing and to acquaint themselves with the latest technologies and equipments used in this industry and would also create additional jobs for the rural youth. The necessary MoUs have been signed and the process for procuring the requisite equipment is on-going. An India-Africa Institute of Foreign Trade (IAIFT), one of the 5 institutes offered by India at the Pan-African level under India-Africa Forum Summit (IAFS –I), is being set-up in Uganda. The institute is envisaged to impart world-class training in International Business and Management Studies, develop entrepreneurial skills and promote research in foreign trade. The relevant MoUs and other modalities are being discussed. During IAFS-II, 8 Material Testing Laboratories for Highways (MTLs) were committed to be established in each of the RECs. Uganda was chosen as a recipient of one of the MTLs by IGAD. An Indian team of experts recently visited Uganda to take the project forward.

Education and Healthcare:

A tele-medicine centre and a tele-education centre have been set up under the Pan-African e-Network Project in 2009. The tele-medical centre has been set up in Mulago Hospital, Kampala where several diagnostic equipments for ECG, X-Ray, Ultrasound, etc., have also been set up as part of the project. The centre is connected to 11 reputed Indian hospitals to ensure quality medical consultation and treatment for patients and medical education for students. The tele-education centre has been set up at Makerere University, Kampala.

India is preferred destination for affordable and quality health care for Ugandans. There is an increasing trend of Ugandan medicare seekers travelling to India. Over the last three years, nearly 1500 hundred Ugandans travelled to India to seek medical treatment. Several Indian hospitals are mounting delegations to Kampala to further explore opportunities of medical tourism to India from Uganda. India is also seen as a destination for quality and affordable education by Ugandan students. An estimated 1100 Ugandan students are presently studying in Indian universities over the last three years,1032student visas have been issued by this Mission.

The Government of India offers scholarships and fellowships to Ugandans from the public and private sector to enable them to pursue under-graduate, graduate, postgraduate and research courses in India under ITEC, ICCR, CV Raman Fellowship and Special Agricultural Scholarship. India offers over 130 scholarships every year to Uganda under different schemes. In 2013-14, over 140 Ugandan students travelled to India under these scholarships and training programmes. In the current academic year since April 2014, 110 Ugandans have travelled to India under various scholarships. Some of the illustrious alumni of Indian institutes consists of dignitaries like Hon. KintuMusoke, former Prime Minister; Hon. Kivejinja former Minister of Internal Affairs and 3rd Deputy Prime Minister, presently Senior Adviser to the President; Hon. Jacob Oulanyah, Deputy Speaker of the Parliament; Hon. BidandiSsali, former Local Government Minister; Hon KafeeroSsekitelo, MP and Chairman of the Parliamentary Committee on Science and Technology and Innovation; Prof. BalunywaWaswa, Dean of Makerere Business School; and many others.

An APTECH franchise, set-up in Kampala in 1999 and a Sikkim-Manipal University branch, set-up in Kampala in 2005, have brought Indian education to Uganda. Two Schools i.e. Delhi Public School and Indian International School, which follow CBSE curriculum, are also operating in Kampala.

Defence Cooperation:

India cooperation with Uganda in the sectors of Security and Defence is increasing. Each year, several Ugandan defence officers are trained in India at state-ofthe-art training facilities, including the prestigious National Defence College (NDC), New Delhi. In the academic year beginning April 2014, eighteen officers from the Uganda Police and three officers from Uganda Peoples’ Defence Force (UPDF) have attended training courses in India.

In a goodwill gesture for building Ugandan capacities, an Indian Military Training Team (IMTT) led by a Brigadier and consisting of two Colonels and one Group Captain is stationed at the Ugandan Army’s Senior Command and Staff College since February 2010 to assist in the training of the senior officers of the Ugandan and East African armed forces.

Economic and Commercial Relations:

India remains one of the leading FDI investors in Uganda. In 2013, India’s investments in Uganda were USD 122 million. In terms of planned FDI Investments, India has consistently been among the top three FDI sources. It is estimated that Indians/PIOs have invested more than USD 1 billion in the country during the last decade. India is also one of the largest trade partners of Uganda. In 2014-14, the bilateral trade stood at US$ 1296.76 million. Bilateral trade figures are as follows:

(All Values in US $ Millions)

Year 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14
Ugandan Exports 12.36 16.98 18.73 16.47 14.78 18.76
Indian Exports 431.55 597.49 716.81 8 840.33 1200 1278
Total Trade 443.5 614.47 735.54 8 856.81 1214.78 1296.76
Growth in Trade 38.55 19.7 16.49 45.64 6.7

(Source: Bank of Uganda)

The balance of trade is heavily in favour of India. The major items of India’s exports to Uganda include, among others, pharmaceuticals, bicycles and bicycle parts, automobile components, small industry & agro-processing machinery, 2-wheelers, textiles, tyres and sports equipment. Uganda imports almost 30% of its pharmaceuticals from India. India’s imports from Uganda include, among others, tea, wood and woodproducts. Significant openings in the Ugandan oil and gas sector are anticipated by mid-2015 when fresh round of licensing of oil blocks begins in mid 2013.

In 2010 BhartiAirtel, completed its takeover of the telecommunication company Zain Telecom in Uganda. More recently, Tata Consultancy Services (TCS) have transformed the way in which the Uganda Revenue Authority (URA) functions, and the URA is apparently the only such authority in the entire of African continent with 100% computerised functioning.

A Double Taxation Avoidance Agreement between India and Uganda is in effect since 2004. A MoU for Cooperation in the fields of Agriculture and Allied Sectors was signed in 2007. Uganda has joined the Duty Free Tariff Preference (DFTP) Scheme since 2012, and is likely to benefit significantly from this. Mutual Legal Assistance Treaty (MLAT) is pending for want of few clarifications from the Ugandan side and draft proposed by India.

Indian Community

An estimated 27000+ Indians and PIOs reside in Uganda and play a leading role in its economy. As per the statistics of the Uganda Revenue Authority (URA), Indian nationals/ PIO constitute the top 65% of the tax payers locally, and contribute about 60% of the total revenues collected by it. Indian companies are leaders in several sectors like manufacturing (NC Beverages), trade (Anisuma), agro-processing (Nile Agro), Education (Technobrain, APTECH), Auto (TATA), Banking and Financial services (Bank of Baroda and Bank of India), sugar (Mayuge), real estate (Tirupati), hospitality & tourism (Satguru) and IT (Technology Associates). In addition to these, Ruparelia Group, MARA Group, Madhvani Group, Mehta Group, Kiboko, Mukwano Group and Roofings are some of the major PIO-owned diversified businesses. PIOs and NRIs are estimated to have invested over US$ 1 billion in Uganda in the last decade and provide employment to thousands of Ugandans. Indian companies are also in the forefront in Corporate Social Responsibility activities.

In January 2015, prominent PIO, industrialist and the promoter of the Mehta Group, Mr. Mahendra Mehta received the PravasiBhartiyaSamman award.

Cultural Relations

The Indian community in Uganda celebrates all Indian festivals with equal pomp and fervor. In addition to festivals, the Indian community, every year, celebrates India Day, which is a cultural extravaganza. Last year Ms. SunidhiChohan performed for a crowd of almost 10,000 Indians.

Most notably, Uganda is the only country on the African continent, and among the few elsewhere, where Diwali is celebrated in the State House. For three consecutive years since 2012 President Museveni has hosted the Indian community at his official residence.

Note:  Content for this article provided by IAFS.in

India-Uganda Relations

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