Bwijanga Coffee Cooperative targets coffee processing machine

Bwijanga Coffee Cooperative Society Limited in Bwijanga Sub-county, Masindi district is in the process of acquiring a coffee processing machine that will enable them to add value to their coffee.

According to Benedicto Ssensaga the Chairperson, Bwijanga Coffee Cooperative Society Limited, the processing machine will be established in Kikingura village Kitamba parish Bwijanga sub-county.

“We are now going to benefit from our coffee because we going to add value to it instead of selling raw materials. We have enough coffee to feed the machine, and I am optimistic that our economic status is to change due to this investment,” he explained.

Ssensaga says that the members of the cooperative have a combined acreage of over 500 acres of coffee, a figure he predicts will rise even higher since they are still admitting more members.

MAAIF support

Ssensaga also revealed to theCooperator that the cooperative has secured the support of the Ministry of Agriculture Animal Industry and Fisheries (MAAIF) towards its goal of acquiring the coffee processor.

“Last year, we were told that we would be supported under the Agriculture Cluster Development Program (ACDP). Under the matching grant, we were asked to contribute 33% of the price of the machine, which amounts to 75 million shillings, and the government promised to put up the remaining 230 million shillings,” said Ssensaga.

He explained that the coop’s contribution will be made in form of materials and land.

“We already have the land and have bought the necessary building materials,” he said, adding that they are now waiting for the relevant district officials to come and assess the situation on the ground.

“In the meantime, internally we are mobilizing our members to ensure that they solicit for the required money to bring the machine to our cooperative.”

Simon Wairima, the Cooperative Secretary, revealed that some of the necessities have been acquired, including a Tax Identification Number, Pro forma invoices from the machine supplier, and developing the farmers’ register.

Last Thursday, the concerned district officials and the cooperative’s leadership had a planning meeting on how to proceed.

About Bwijanga Coffee Coop

Founded in 2019, Bwijanga Coffee Cooperative Society Limited already has over 1000 active members drawn from the entire Bwijanga sub-county.

The same cooperative introduced a saving scheme last year that requires every member to buy a minimum of two shares, each at Shs 30,000.

Bwijanga Coffee Cooperative Society Limited is one of four active coffee cooperatives in Masindi district, the others being Karujubu Coffee Cooperative Society Limited, Pakanyi Coffee Cooperative Society Limited, and Alimugonza Coffee Cooperative Society Limited.

Coffee growing has picked up significantly throughout Masindi district following the distribution of coffee seedlings to farmers by the Uganda Coffee Development Authority (UCDA) under Operation Wealth Creation (OWC).

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Government injects Shs 1.6bn into Masindi SACCOs

The government has given Shs1.6 bn to 54 SACCOs in Masindi district under the Presidential Cluster Initiative on Wealth and Job Creation (Emyooga).

The cash injection was made in fulfillment of a pledge made by State Minister for Microfinance, Harunah Kasolo Kyeyune while launching the Emyooga program in the Bunyoro sub-region last year.

At the time, the minister revealed that government would inject Shs 620m into each constituency to fund businesses under 19 selected clusters that include Boda-boda riders, salon owners, carpenters, taxi operators, welders, market vendors, Journalists, performing artists, mechanics among others.

Under the project, each enterprise group with a minimum of 30 members is supposed to receive up to Shs 30m in funding, which will be accessed as a revolving fund by members to boost their respective income-generating ventures, at interest rates as low as 5 percent annually.

Earlier this year, theCooperator reported that 54 SACCOs had formed out of over 1000 such groups. Groups of individuals involved in similar enterprises were tasked to form SACCOs through which they would receive financing under the scheme.

The SACCOs were formed from three counties including Masindi municipality, Bujenje, and Buruli, with 18 from each.

Funds inaccessible

While members of the different SACCOs report having started receiving the Emyooga funds on their accounts in late December, many are bitter over the fact that they are as yet unable to access it.

“We have no clear explanation as to why this is happening. There is an information gap as far as this matter is concerned,” the perplexed members complained.

When theCooperator contacted Moses Kalyegira the Masindi District Commercial Officer to ascertain the cause of the delay, he confirmed that 54 Emyooga SACCOs received the money but members cannot access it until their SACCOs have presented a certificate of registration.

He explained that the requirement to present the certificates, which was supposed to have been done prior to account opening, had been waived temporarily at the time, with the understanding that the SACCOs would acquire them before accessing funds.

“The SACCOs were given a go-ahead to open bank accounts without certificates of registration because the State minister for Microfinance, Harunah Kyeyune Kasolo, wrote to the banks requesting them to allow the SACCOs to open the accounts without them,” Kalyegira intimated.

However, he promised that the SACCOs’ managers would be able to access their money.

“We expect the Certificates of registration to be ready by next week such that the SACCOs can be able to transact their money with the banks. After receiving the certificates, we shall call all the SACCO leaders to come to pick them,” he said.

Training

Kalyegira noted that sensitization of prospective beneficiaries is currently underway, saying that a section of people think that the money is meant to be shared out or is just a token of appreciation for mobilization of votes.

“This money is a grant to the SACCOs, which will lend it out to at an interest of 8% per annum. People should use this money resourcefully because it can change their lives,” Kalyegira urged.

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Farmers shun Agoro irrigation scheme water

Members of Agoro self-help irrigation cooperative society have stopped using water from the scheme blaming it for destroying their crops and causing their gardens to lose fertility.

Agoro Irrigation Scheme was rehabilitated between 2012- 2013 at a tune of Shs 27 billion by the ministry of water and environment, to boost agricultural productivity in the area. It is used by about 900 farmers, including 187 members of the society.

However, some members of the society, who mainly grow vegetables, told theCooperator that their crops were negatively impacted after the irrigation scheme was rehabilitated.

Corina Aloyo, a farmer and member of the Agoro cooperative, watered her vegetables using water from the scheme, said the water causes yellowing and stunting of vegetables.

“I planted 3 acres of eggplants, cabbages, and beans but they all died,” she said.

Aloyo believes the same water is to blame for the cooperative’s loss of 10 acres of vegetables worth Shs. 40m, last season, which many had blamed on a mysterious disease.

Denis Ocan, another member of the cooperative, said the water caused his garden to become very hard with white patches, as though the water was mixed with salt. The result, he said would be very low yields and loss of soil fertility.

“According to my own observation, this water for irrigation has a problem. First, if you spray it in the garden, even healthy crops start changing and withering. Secondly, the garden becomes very hard and whitish and loses fertility after a short time,” Ocan said

Ocan revealed although the problem has existed since 2013, the true impact of the scheme on yields has been masked because farmers kept abandoning the gardens that lost fertility, for fertile ones.

“This water for irrigation has been used for long. But, since we still have vast farmland here, farmers have abandoned several plots that have lost fertility,” he said

Francis Todwong another member of the cooperative, adds that the majority of their members have abandoned the irrigation scheme and the gardens around it, resorting instead to farming in wetlands and virgin land far away from it.

Brenda Acao, the Communications Officer for the northern region in the Ministry of Water and Environment, said the ministry is unaware of any issues with the water from Agoro irrigation scheme and has thus far received no report about the farmers’ concerns.

“As far as I know there is no problem with the water. But since the concern is from the users, we shall send a team of experts to do an assessment and understand the concerns of the users,” she said.

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SACCOs grappling with fraud, poor governance

A significant number of Savings and Credit Cooperative Organizations (SACCOs) in Uganda have suffered fraud and poor governance, a new report indicates.

The report was released by the Project for Financial Inclusion in Rural Areas (PROFIRA), an organization that monitors the performance of different SACCOS in Uganda.

A study by the organization found that 64 out of 453 SACCOs supported under the program had collapsed, while 312 are grappling with fraud and poor governance issues, among other challenges.

Collins Agaba, PROFIRA’s Program Manager, says that only 77 of the SACCOS supported by PROFIRA had no issues.

“141 have at least one problem, and the rest have suffered more than three problems,” he noted, adding:

“We found that the main challenges facing SACCOs include defaulting on payment of loans by members, low volume of business and poor financial practices.”

Agaba explained that whereas cooperatives are managed by elected committees, the leaders chosen often lack the knowledge required to manage them.

“They then end up depending on untrustworthy staff who embezzle members’ deposits.”

In response, he revealed, PROFIRA has embarked on empowering members of different SACCOs with the requisite financial skills.

Robert Odur, the Chairperson Board of Directors of Ikwera SACCO, agreed with the report’s findings.

He cited the case of Ikwera SACCO which was established in 2009 which has had its portfolio drop from over Shs 170m two years ago,to less than Shs 50m currently.

“169 million shillings was loaned out by Ikwera Savings and Credit Cooperative Society Limited in the financial year 2018/2019, but in the last financial year, we only gave out 42 million shillings as loans. Our clients are not able to repay the money in time and loan recovery is a challenge,” he said in an interview.

Kwania District Commercial Officer, Patrick Bura expressed concern about the rate at which SACCOs in the district are collapsing, saying it could lead to an increase in poverty rates among the population if not urgently dealt with.

” There is an urgent need to rejuvenate the failed SACCOs and equip the SACCO leaders with management skills or else many people will suffer and even lose their assets in search of the financial services that SACCOs are meant to offer.”

Joyce Acio, a resident of Aduku town council notes, people are likely to run to money lenders whom she says are worse than banks given their exorbitant interest rates.

She argues that having SACCO members manage them introduces a conflict of interest, thereby negatively impacting their performance.

“When the SACCO staff are also members, they start taking loans and bringing them back without interest because no one is supervising them,” she said.

Acio advises all Saccos to establish Internal Audit Committees whose task should be to regularly audit the financial institutions to avoid embezzlement.

She also called on District Commercial Officers to ensure capacity building for the SACCO leaders as one measure to minimize the chances of their collapse.

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Thugs hit Mbarara cooperative, kill two guards

Police in Mbarara is investigating circumstances under which two security guards were killed on Sunday after unknown assailants attacked a local cooperative.

According to Rwizi Region Police spokesperson, ASP Samson Kasasira, the deceased were guarding Nyakayojo People’s SACCO located in Karama 1 cell Rwakishakizi ward Nyakayojo Division Mbarara City.

The incident happened over the weekend (Sunday) when the as-yet-unidentified assailants attacked Nyakayojo SACCO with the suspected aim of robbing its property.

“Today 11th October at about 0700hrs we received information from Nyakayojo Police Post that two security guards guarding at Nyakayojo People’s SACCO were found dead,” Kasasira said.

The spokesperson said a team of investigators including the Rwizi Regional Scene of Crime Officer (SOCO), canine and homicide investigators rushed to the scene to begin inquiries into the incident.

The deceased were identified as Herbert Tugume aged 22 a resident of Kitabo cell in Kashongi Sub County, Kiruhura district, and 22-year old Igga Budalla from Buteraniro Nyeihanga Rwampara district, both attached to Securiwise Security Company Ltd.

According to the police, two guards were stuck with blunt objects that led to their death on spot. Kasasira further disclosed that a rifle with three rounds and a baton were recovered at the scene.

He said the assailants first destroyed the CCTV camera at the cooperative before breaking into the co-op’s premises to steal a 32-inch LG television, an HP laptop, Network router and a TECNO Pop 2 mobile phone.

However, the SACCO money was not taken after the assailants attempted but apparently failed to break into the safe.

“Cash in the strong room was found intact because the safe was too strong for the thieves to break into,” said one of the SACCO’s employees.

Nyakayojo people’s SACCO is one of the leading financial cooperatives in Mbarara, with a total turnover of more than Shs 2 bn.

Attempts by theCooperator to reach the SACCO’s Manager for comment on the incident were unfruitful as he repeatedly turned down our calls.

The bodies of the deceased were taken to Mbarara Regional Referral hospital for post-mortem.

Kasasira says no arrests have been made so far, but investigations are ongoing.

He advised financial institutions to employ competently trained security personnel to guarantee the safety of their members’ savings.

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7,000 farmers in Lango enrol for crop insurance scheme

Over 7,000 farmers in Lango sub-region have subscribed for crop insurance with Ensibuuko Technology Limited, a leading fintech organisation.

Ensibuuko Technology Limited, in partnership with the Uganda Cooperative Alliance (UCA) and Uganda National Farmers’ Federation (UNFF) in conjunction with the District Farmers’ Association and the Area Cooperatives in various districts of Uganda, is providing Agro Insurance Consortium to different farmers to mitigate climate change.

Some of the districts involved in the scheme include Apac, Lira, Oyam, Kole, Dokolo, Amolatar, Kwania, Otuke, Alebtong and Kwania, as well as the neighbouring districts of Pader, Agago and Gulu.

Under the scheme, a farmer is required to pay a subscription fee of Shs 30,000 per acre each season in order to insure against droughts and excessive rain which normally affect the crop yield. All crops are covered by insurance except sugar cane, tree seedlings and woodlots; a farmer is then eligible for a minimum compensation of Shs 290,000 per acre.

According to Martha Twesigye, the Marketing Officer at Ensibuuko Technology Limited a farmer’s crop yield is inspected jointly with the area agricultural officer to verify if its harvest corresponds to the normal yield. She urges all farmers to insure their gardens in order to mitigate the risks and uncertainty.

Daniel Ocen, the Regional Coordinator, Ensibuuko Technology Limited for Lango sub-region, and a member of Apac District Farmers’ Association, says 7,018 farmers in Lango and the neighbouring districts, have subscribed for insurance services in the first season of 2020 under the Market-led, User-owned ICT4Ag-enabled Information Services (MUIIS) project.

Ocen said the project aims to improve the livelihoods of farmers by offering agronomic tips, training farmers on post-harvest handling and crop compensation, among other services.

‘‘As a company, we intend to improve on the livelihoods of local farmers by mitigating losses incurred because of climate change. We offer agronomic tips from planting up to post-harvest handling, as well as weather tips and market information through SMS to empower the farmers.’’.

Ambrose Omuno, a resident of Angole-nyang village in Aduku sub-county, Kwania district who has insured his 7-acre soya bean farm is optimistic that he will reap big this time around.

“I’m now receiving agronomic tips on my mobile phone that are helping me effectively to manage my crops,” he reveals.

Another farmer, Teddy Akello from Chegere sub-county in Apac district thanked Ensibuuko Technology Limited for offering the seasonal insurance services and called upon other farmers to join the company so as to improve on their livelihoods.

In December last year (2019), 38 drought-affected farmers in Kwania, Lira and Apac districts under the Apac and Lira District Farmers Association received Shs 6m in insurance compensation from Ensibuuko. In Lira district, 13 farmers received Shs 3m, while Shs 10m was paid out to farmers in Kole district.

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Soya farmers reap big from bulking with local cooperative

Soya bean farmers in Acholi sub region who bulked their crop with a local cooperative at a time when market rates had dropped precipitously are starting to smile following a surge in prices over the last four weeks.

The price for kilogram of soya beans which had dropped to Shs 600 has now doubled to Shs 1,200.

According to Robert Wagwanga, the Chairperson, Bobi United Grain Producers Cooperative in Omoro district, some farmers took advantage of the co-op’s bulking services to ride out the trying period and are now laughing their way to the bank.

“We have so far sold 150 metric tonnes of soya beans to bulk buyers from Minakulu, who then export it to neighbouring Kenya,” he revealed.

Wagwanga however said that many farmers who were impatient or sold their crop earlier because of urgent financial needs have missed out.

“We have over 700 farmers who grew soya beans this season but only 150 bulked at the cooperative store. Many farmers opted to sell off their produce individually because of urgent needs,” he said.

Geoffrey Ojok, a soya bean farmer from Omel Sub County in Gulu district said that he is happy that his patience has paid off.

“I managed to earn Shs 480,000 from my four bags of soya beans. I am happy that I did not sell my soya beans when prices were very low,” he said.

Achola Milly, a soya bean farmer from Kiceke village, Gulu district harvested five bags of the crop and earned Shs 600,000 from their sale.

“This is the money I am going to use to pay school fees for my daughter who is in senior four,” said the relieved mother whose daughter resumes school next week.

Mary Akwero, another soya bean farmer from Kalongo Town Council in Agago district said the price increase has rejuvenated her morale to grow the crop.

Akwero who also grows maize and cotton for commercial purposes said:

“I had made up my mind to stop growing soya beans because of the drop in prices. But I will now continue growing it. The new price has made me smile again.”

Charles Odyek, the Chairperson of Lukole in Agago district says farmers have started bulking their soya beans at the co-op’s store after prices of the crop started to increase.

“We already have 400 metric tonnes of soya harvested and farmers are still harvesting more. I expect more 1,200 metric tonnes to be harvested,” Odyek said.

He also predicts that the price of soya bean will further increase.

Geoffrey Komakech, the Chairperson of the business community in Otwee Town Council, Amuru district confirmed the development which has been welcomed by farmers.

“For the last two weeks, we have had bulk buyers coming from Lango to buy soya beans at Shs 1, 200 per kilogram.

Soya bean has in recent years become an important source of income for many farmers in Acoli and Lango sub regions.

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MUASA boss threatens strike over staff salaries as universities reopen

Following the recent directive by President Museveni lifting lockdown on schools, Makerere University Vice Chancellor, Prof. Barnabas Nawangwe instructed staff to report back to their respective duty stations with immediate effect, as the University plans to reopen on 3rd October 2020, after more than six months of closure.

However, as public universities prepare to resume business, the Chairperson of the Forum for Academic Staff in Public Universities (FASPU), Dr. Deus Kamunyu Muhwezi, who also heads Makerere University Academic Staff Association (MUASA), has warned that with the reopening of academic institutions, their expectation is that government will deliver on its promise to enhance remuneration for lecturers in public universities.

“We are sure, in the circumstances government would have an alternative for us because, they cannot possibly think we will keep quiet,” Kamunyu said.

The MUASA head says that staff negotiations with government fell flat with the outbreak of COVID-19 and the subsequent lockdown pronouncement on lockdown, something he now says they will navigate and see to it that government meets its part of bargain to the teaching staff.

“Our staff who were not properly enhanced as pro rata would have demanded are waiting for an answer, which answer lies with government.”

He hinted at trouble should government renege on its pledge in this matter.

“I hope government knows this was a solid commitment from The Fountain of Honour, which we also take very seriously, and that may threaten harmony, undermine easy reopening of the Universities and push us to unfair situations,” Kamunyu agitated.

Although government recently enhanced salary for professors in public universities to Shs 15m per month as initially agreed in 2014, Kamunyu revealed that majority of university staff remain dissatisfied by the decision to up only the professors’ pay in contravention of an agreement to increase staff compensation across the board.

“We had informed government that if they go ahead to deviate from the mode of operation originally agreed, then we would lay down our tools. That decision is still there!” Kamunyu cautioned.

Only about 300 out of over 2,900 academic staff employed by public universities are professors, with majority being Assistant Lecturers, Lecturers or Senior Lecturers.

The decision to enhance only professors’ pay has been interpreted by some as an attempt to ring fence these positions for a few individuals at a time when universities are allegedly stalling on staff promotion.

Also, with Senior Lecturers now earning about Shs 9m, four shy of the promised Shs 13m, the move has entrenched disharmony among university staff.

COVID-19 impact

Kamunyu also pointed out the impact COVID-19 has had on staff performance and social welfare.

“Our wellbeing extends to social support. There are some things we do to keep moving which are inherent in our culture that have also been discontinued. Our institutions are not very well positioned to offer necessary social support to staff and students,” he explained.

For Filbert Baguma, the Secretary General of Uganda National Teachers Union (UNATU), the absence of necessary psycho-social support by Government to teachers, students and parents drastic affected by lockdown of schools is expected to devastate the teaching-learning process.

“Parents, teachers and learners currently have psychological torture: learners are worried about their future, the parents have failed to manage children at home and teachers, some of whom had their last salary in February, don’t know when they will get back to class,” Baguma said.

In its plan to reopen school, government has allowed finalists and students in candidate classes to return in October, while the fate of the other students remains unclear. In his last address, the President indicated that these could resume in January next year.

Both Kamunyu and Baguma maintain that the ongoing disruption of schools due to COVID-19 underscores the need for government and academic institutions to plan for such crises and build ICT infrastructure to support distance learning.

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Over 600 groups register for Emyooga in Masindi

Over 600 groups in Masindi have been registered to benefit from the Presidential Initiative on Wealth and Job creation (Emyooga).

In July this year, the State Minister for Microfinance, Haruna Kyeyune Kasolo, officially launched the programme in Masindi district.

During the launch, the minister revealed that government would inject Shs 620m into each constituency to fund 19 selected clusters that include Boda-boda riders, salon, carpenters and taxi operators, welders, market vendors, Journalists, performing artists, mechanics among others.

Under the project, each enterprise group with a minimum of 30 members will receive up to Shs 30m in funding, which will be accessed as a revolving fund by members to boost their respective income-generating ventures, at interest rates as low as 5 percent annually.

According to Godfrey Bahemuka, the District Community Development Officer (DCDO) Masindi, people in the district have embraced the programme, and more than 600 groups have already been registered for it.

“We expect to register over 1000 groups in the entire Masindi district,” Bahemuka said.

According to statistics obtained from the DCDO’s office, 330 of the registered groups are from Masindi municipality, 215 from Bujenje County and 93 from Buruli County.

“Over 200 groups were submitted to microfinance support centre in the first slot and they are ready to receive the money.”

Bahemuka noted that the majority of individuals who have embraced the program include the produce dealers, women entrepreneurs, salon operators and market vendors.

“I am wondering why the bodaboda riders have not embraced the programme and yet they are many. In Masindi we have over 3000 bodaboda riders but only 32 have registered across the district,” he added.

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Child street vendors on the rise as schools remain closed

Kasese Municipal council authorities have expressed concern over the growing number of children that are taking up street vending following the closure of schools and some markets in Kasese town.

In March this year, government shutdown schools and weekly and monthly markets in a bid to slow the spread of COVID-19. Consequently, many children of school-going age have resorted to vending of foodstuffs, mainly cooked maize, yellow bananas, vegetables, and fruits among others.

Commenting on the phenomenon, Kasese Town Mayor Godfrey Kabbyanga said, “We have temporarily allowed vendors to move their foodstuffs on the streets but not children; they were taken out of schools for fear of Coronavirus, not to go around selling food.”

The Mayor further threatened to arrest and prosecute any parents whose children would be caught engaging in vending.

“Their parents to are free to engage in the trade if they want to, but we are devising means to end children’s involvement in vending,” he said.

According to the Kasese District Health Officer, Dr. Yusuf Baseke, Kasese has recorded a total of 40 COVID-19 cases, 15 of which are from the community.

The Deputy Town Clerk, Kasese Municipal Council, Kayiri Kambasu said that the council was committed to limiting children’s exposure to the deadly disease.

Kabbyanga also noted with concern that several bars in the district were operating illegally, contrary to the presidential COVID-19 directives.

“We are compiling lists of such business, and we shall withdraw their licenses, because they are endangering the whole country.”

Children’s plight

The plight of children in Kasese was compounded by floods that hit the district in May this year, displacing hundreds, including children. According to a report by Kasese’s Local Government:

“While in the struggle to combat COVID-19, Kasese district experienced concurrently floods on the 7th, 10th and 20th May, 2020 affecting 9,916 households, 48, 947 people, with about 80% of being children.”

The report adds, “Unfortunately, because of the effects of the crisis on livelihoods, children are often the first to suffer. The crisis has the potential danger of pushing more of these already vulnerable children into child labor.”

According to the Kasese district Senior Labour Officer, Karafule Swaib, “Already there are an estimated 25,000 children in Kasese engaged in child labour.”

These children, he said, are now at even greater risk of dropping out of school altogether as they spend more time eking a living.

“Most children work because of the household’s poverty to provide for food, shelter, clothing, school fees, and scholastic materials (books and uniform),” he observed.

In Kasese, child labour is commonly employed in agriculture, sand mining, brick making, stone quarrying, boda boda, street and market vending, fishing and car washing, while others are involved in child prostitution.

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