Cooperatives trained on business recovery in post Covid-19 pandemic

KAMPALA – Following the Covid-19 national lock down, many business ventures stagnated while several others collapsed as many of the clientele lost their purchasing power after losing their jobs and other sources of income.

Throughout the two years of total disruptions, it has not been business as usual, for many families and business ventures.

It is against this background that Goldstone Enterprise Consulting and Training, a Business Development and Management Consulting firm crossed the line to initiate avenues to help businesses build back after the lock down.

In partnership with The Uhuru Institute for Social Development (TUI), Goldstone has embarked on a Small and Growing Business Accelerator program that will see small and medium business ventures skilled in multiple business-related disciplines like financial management, strategy development, operational and business sustainability, to support them through the storms occasioned on them due to Covid-19.

The accelerator program slated to run for at least three months is driven on a hybrid methodology of both physical and virtual sessions being anchored on seven different thematic areas including; access to markets, business development and modeling, social mission and impact.

Other areas of coverage are business leadership and governance, implementation, financial planning and funding.

The lead trainer at Goldstone Consulting, Mr. Daniel Bukenya says, after the Covid-19 disruptions, businesses required a new skill set and perspective to enable them survive the times that are stormy.

“Business ventures and individuals need to renew their skill set and knowledge in doing business after the lock down. Someone needs to keep the business running and the solution is upskilling and re-skilling in what they are doing,” he says.

The Accelerators program is targeting at least 13 different businesses including; six cooperatives in various sectors, picked from different parts of the country including the districts of Arua, Nebbi, Masaka, Wakiso, Rukungiri, Kabale, Kiryandongo, and Mbale in the first cohort.

The selection of the trainee businesses was based on several criteria including the business performance in the last five years, profitability, sustainability, governance and share capital growth.

Brian Jjemba, a business coach and trainer remarked that businesses need to be helped to create and access new markets for survival, and targeting the captive markets for a deeper share of client wallets as the economy recovers.

“We need to connect businesses especially cooperatives to new markets, especially with the absence of an agricultural bank.”

He adds that businesses also need to be guided on where to go for right investments, credit and other services.

“Why would a business involved in renewable energy go to a commercial bank for credit yet there are several energy financing ventures around?” he wondered.

Jjemba says, knowledge sharing and networking is the key that would unlock several business opportunities in this period where dependence is critical.

The Uhuru Institute for Social Development, the lead partner in the project conducted a research study on cooperative businesses around the country in 2019, which revealed that over 1,029 cooperatives have challenges with leadership and governance alongside financial management.

Denis Odeba, the Learning and Development Officer at Uhuru Institute says, such figures call for appropriate interventions in terms of skilling and empowering the cooperatives.

“We ought to have such efforts to close up the gaps and make these businesses competitive with sound and sustainable strategies for survival.”

https://thecooperator.news/wawoto-kacel-cooperative-loses-55-clientele/

The businesses that are being mentored and coached in this first cohort included; Zia Angelina (WASH) Mujaasi Investments (Agri-business), Wana Energy (Clean Energy), Erusi Village SACCO (Agribusiness), Lyamujungu (Financial Cooperative), Kigya United Farmers (Agribusiness), Standard ICT (an innovations hub), Bloom Engineering (Engineering Services) alongside KK foods, Kigezi Dairy Cooperative, Munaku Kaama SACCO, Nyakibale Development SACCO.

The participants are involved in renewable energy, health, financial services, education, and agribusiness.

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Amuru district suspends road rehabilitations over heavy rains

AMURU – Amuru district local government has suspended road rehabilitations following continuous heavy rainfall being experienced in the district.

At the time of the suspension, the district was grading Oberabic to Gira gira via Otici and Guru guru and Amuru Town Council to Okungedi via Mutema road. Plans were also underway to grade the road from Pabo Town Council to Odura in Pogo sub-county via Olinga in Pabbo sub-county.

Michael Lakony, the LCV Chairperson, Amuru district says, they had reported cases of graders getting stuck on some parts of the road while grading.

Lakony says they also observed that immediately after grading the roads, heavy rains would come and worsen the condition of the roads rendering them impassable.

According to Lakony, resumption of the road grading will be by the end of November this year when the heavy rains have subsided.

Nixion Candano, a resident of Otici trading center says, the bad road condition has made it almost impossible for them to travel to either Oberabic or Guru guru trading center to access the local markets.

He says that mobile merchandise dealers who normally use their vehicles have also abandoned business due to the poor road conditions.

“The mobile merchandise dealers who used to bring us goods using their vehicles have abandoned coming here because the road is too bad. We are struggling to buy essential stuff like salt, soap and even sugar among others,” Candano notes.

Stephen Ojok, a resident of Guru guru trading center says, accessing Olwal Health Center III has become a challenge with most boda-boda cyclists hiking their transport fares by almost double.

He is appealing to the district authorities to consider spot filling the bad spots so that the road is at least accessible.

https://thecooperator.news/heavy-rains-and-hailstorms-batter-amolatar/

“If the district could help us do some spot filling on the very bad spots, it would be fine, because now even the boda-boda riders are hiking their transport fares to double and with the current financial conditions, it’s very difficult. We might end up losing the sick people because they can’t be taken to the health center,” Ojok appealed.

Recently, the road linking the community of Lungulu sub-county in Nwoya to Amuru district was cut off due to the terrible condition of the roads.

Amuru district has a total of 401 kilometers of roads with 354 kilometers in sorry state leaving only 74 Kilometers in a fairly good condition.

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Hoima District Referees SACCO suffers financial distress as a result of Covid-19

HOIMA – The mandatory Covid-19 lockdown has finally taken its toll on referees as games and sports resumed under strict Standard Operating Procedures (SOPs).

Last week, Hoima District Referees Saving and Credit Cooperative Society’s (SACCO), Board of Directors convened a meeting and made several resolutions to save the SACCO from distressing financial challenges.

Speaking to theCooperator, the referees SACCO Board Chairman, Patrick Kunihira explained that the board meeting agreed that the SACCO suspends the giving out of new loans to the members.

He added that during this period, the SACCO will only give members their savings. Members will be allowed to get half of their savings to ensure that the SACCO continues to survive.

He further added that the board also agreed to reduce on the expenditures which the SACCO office has been incurring such as allowances.

Kunihira explained that during the meeting they also resolved to cut the salaries of their workers and allowed workers to work in shifts.

He also said that some members are failing to save or pay back loans largely due to the Covid-19 induced lockdown.

“You know SACCOs survive on the savings of members but because of the Covid-19 lockdown, our members are no longer saving and those who took the loans are not paying back and such challenges are affecting our SACCO,” he said adding that they have hope that the measures put in place will save the SACCO from facing more financial challenges.

He challenged members who are still earning, something in this period to continue saving and appealed to those members who took the loans to try and pay back the loans to secure their SACCO.

Francis Bagonza, Chairman Investments said that the Covid-19 pandemic has affected several investment plans. He noted that the SACCO had a plan of establishing a depot and to have a means of transport but all these plans have been frustrated by Covid-19 because the SACCO is not making money as they anticipated.

He added that the SACCO had started a Sports club bar but unfortunately this business shut down following the closure of bars by the president to reduce the rates of Covid-19 infections.

However, Bagonza said that before the situation worsened, the SACCO had invested in tree planting projects adding that the SACCO currently has five acres of titled land with Eucalyptus trees.

Philip Tibaigana, the SACCO Manager expressed dismay that the SACCO applied for a loan of Shs 50 millions from the Microfinance Support Center (MSC) to boost them but their request was not honoured despite having fulfilled the requirements.

https://thecooperator.news/only-19-of-the-72-emyooga-saccos-have-received-funds-in-hoima-district/

In the Annual General Meeting (AGM), which was held early April 2021, the SACCO which started in 2015 had registered 112 members and given out Shs 279m in loans.

The SACCO had Shs 330 million in savings and Shs 22 million in shares.

Derrick Matsiko, the Public Relations Officer (PRO) of the Microfinance Support Center, Bunyoro region said, that several organizations including SACCOs are facing financial distress due to the Covid-19 lock down.

He says that, it is high time SACCO leaders ensured drastic measures to avoid the collapse of their organizations; adding that management thought it wise that Hoima district referees put in place measures of saving their SACCO from facing further financial challenges.

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Mbarara Haunted By FMD and Lockdown

MBARARA – As many people continue feasting on fresh meat, residents of Mbarara City are involuntarily abstaining from meat following the ban on sale over Foot and Mouth Disease (FMD) that has paralyzed the cattle corridor in the districts of Lyantonde, Kiruhura, Mbarara, Bushenyi among others.

Dr Nabaasa Robinson, the In-charge of veterinary services in Mbarara City confirmed that the slaughter and sale of meat was banned in the city for 14 days as per temporary measures to contain FMD spread in the cattle corridor.

“We were not all that sick of FMD but because we are the biggest animal market in the region, we had an obligation to protect our neighbors since all those animals slaughtered come from infected areas. Also, to evaluate and reorganize our operations so that we don’t risk other districts,” Nabaasa emphasized.

https://thecooperator.news/fish-feeds-price-farmers-out-of-business/

The meat ban left people in Mbarara City with no other option but to survive on alternative sauces like greens and birds. The prices for greens and birds have since then increased due to increased demands.

“I used to buy fish at Shs 10,000 but now it is Shs 20,000 if you cross to chicken; it’s no longer Shs 30,000 it now goes for Shs 45,000 because there is no more meat at the butcheries” Gilbert Mwesigye, a city dweller decried.

However, poultry farming in Mbarara City and the neighboring districts, the cost of a tray of eggs dropped from Shs 15,000 to Shs 7,000; while a bunch of bananas dropped from Shs 10,000 to Shs 1,000-2,000 depending on its size.

Nimusiima Stephen, the Chairman Rufuura Abattoir says, meat business is no longer normal as it was before Covid19.

“We used to slaughter more than 40 animals a day but currently we slaughter only about 10 animals and even buyers themselves come crying of debts because they will tell you that their businesses are all stuck. Farmers have also used this chance to increase the animal prices” Nimusiima explains.

The 14-day ban ended on Monday and new guidelines have been raised for abattoirs and butcheries to operate normally.

“After the 14-day ban we evaluated ourselves and developed new guidelines on how to operate though some routes were closed and their animals can’t cross to our city especially animals from Kiruhura, Isingiro and Rubaya” says Nabaasa.

“No health certificate, no animal entry into our abattoir and you have to bring animals for slaughter not to stock including observation of Covid19 Standard Operating Procedures [SOPs] because such abattoirs are big factories so we need to ensure that our people remain safe,” he added.

Nabaasa says the resumption of slaughtering animals in Mbarara City doesn’t interfere with the presidential guidelines on closing the weekly cattle markets for 42 days.

“With the presidential directives, he stopped cattle and weekly markets but farmers are allowed to sell direct from their farms. We also have loading sites like those in Kiruhura as he emphasized that agricultural activities should continue” Nabaasa retaliates.

He, however, says the city zone still has a few sick animals in Rwenjueru bordering Kiruhura, Rukindo in Nyakayojo urging traders to observe Covid19 SOPs to avoid risks of total lockdown.

Away from food stuffs, drivers and bus owners are lamenting after the president re-directed closure of every movement of motor vehicles and cycles except for those carrying cargo.

Njoma Aesi, a bus driver at Global Buses says that the business environment has become so harsh that most of the people in the transport sector have returned to their villages for survival.

“Most of our colleagues have gone to the villages while others are wondering in town because they have no alternative job. Remember our children were also sent from school even after paying school dues so the conditions are not good” Njoma explained.

He appealed to the government to at least ease the lockdown such that public transport business can resume.

“I think the government would have eased the lockdown and put some strict measures enabling us to continue working rather than shutting us down” Njoma said

Kihembo Anthony, the General Manager Global buses says the transport ban risks damaging their vehicles and will need repairs.

“Last year we parked almost for a year, but we were forced to do mechanical repairs. The fact that buses are not moving, most parts are vulnerable to breaking down. We purchased some of these buses on loan meaning that parking them, they will not be making money, yet we have to clear the bank loans” Kihembo lamented.

He advised the government to always consult business stakeholders rather than just enforcing strict guidelines.

“Before such measures are put in place, let the government first consult people with experience for guidance but if you take such harsh decisions then they continue to haunt us in the private business”

However, Lt Col. Mwesigye James, the Resident City Commissioner (RCC) Mbarara vowed to implement all directives to save people from massive death.

“People must remain where they are, if you have nothing important to do in town why don’t you stay at home. Those who had come to the markets in big numbers, we have dispersed them, and we are trying so hard to make sure that curfew is implemented” explained Mwesigye.

Our reporter made a close survey in the bus park and all bus offices were locked meaning that no transport business is going on but for boda-bodas, they are continuously seen carrying passengers in and outside Mbarara City.

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Nebbi Farmers Count Loses As Dry Spell Bites

NEBBI– Farmers in Nebbi district have started counting loses in this first planting season due to the dry spell that has stunted the growth of crops.

They said the affected crops are: maize, beans and groundnuts which have dried up forcing farmers to abandon their fields and others to uproot the withered crops as they wait for rain.

One of the farmers in Oweko parish, Ndhew Sub County in Nebbi district Owachi Ronald said, he planted his maize in the first season hoping to reap in this lockdown but failed to yield due to the dry spell that affected his production.

He adds that in this lockdown, people are committed to farming, but they are being frustrated by the current harsh dry spell which has affected the productivity of their crops.

“I invested heavily all my resources and hoped to reap from farming in this lockdown but my efforts seem not to give me any profits as planned due to the dry spell which has hindered our efforts,” Owachi said.

The LC III Ndhew Sub County Hon Okwai Bosco says, farmers should expect hunger next year since, the first season was wasted due to dry spell which affected the yields of their crops.

Okwai added that farmers should keep close watch on the changing weather pattern by preparing their fields to plant short term crops like sorghum, beans and maize to meet the challenges being faced by farmers.

Okwai said farmers are unable to buy themselves seeds now with the current hardship in this lockdown period which needs government interventions because the livelihood of farmers are affected.

“We should prepare ourselves for hunger next year since our crops are heavily damaged with the current dry spell which have revenged on our farmers,” Okwai said.

https://thecooperator.news/nwoya-farmers-cuts-losses-drops-cassava-crop/

However, Piwa Joyce, the Nebbi District Production Officer advised farmers to replant crops damaged by the dry spell to mitigate the prospects of hunger.

She added that at the moment it’s quite hard for the district to respond to the challenges affecting farmers in this dry spell which has hit the district because it largely depends on Operational Wealth Creation (OWC) to supply seeds to farmers which didn’t happen this year.

“The district doesn’t have capacity to supply farmers with seeds but only gives seeds to some few selected farmers in the sub counties for demonstration plots in the district,” Piwa said.

Urombi Emmanuel, the Chairperson Nebbi district has attributed the need for an irrigation scheme for farmers in order to boost their farming but as head of the district on political side, their hands are tied because of the limited resource envelopes to equip farmers with irrigation scheme.

“Our farmers need to calculate weather patterns before they inject a lot of money in agriculture to avoid the unforeseen weather challenges which are more likely to result into serious droughts and also destabilization of livelihoods of farmers at the grass root level”, Urombi said.

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Drainage Channel Construction at Pece Stream Stalls.

GULU CITY – The construction of 1.5 kilometers drainage channel at Pece Stream in Gulu City has stalled as donor gives an ultimatum to the construction company.

This project funded by Fichtner, a German international organization at the cost of Shs 600 million was meant to widen the stream to avert the outburst of water and floods in the city.

However, a 2017 report by the Ministry of Water and Environment mapped Gulu City among the areas in Northern Uganda that are potentially prone to floods.

Following the development, the former Gulu Municipal Council then recommended widening the water banks at Pece Stream and secured the funding from Fichtner two years ago.

Destiny Construction, a local construction company was awarded a 6 months contract to implement the project since November last year. The timeline for completion of the work has since elapsed by two months.

It is now 8 months since the construction site was commissioned and handed over to the contractor but they have failed to initiate the project.

Towler Robert, the team leader at Fichtner disclosed in a recent interview with Uganda Radio Network that an ultimatum of two weeks was issued to the construction company to complete its work.

Despite the ultimatum, the company has failed to explain the delay in getting the work completed.

https://thecooperator.news/heavy-rains-and-hailstorms-batter-amolatar/
He further explained that the company has breached its contractual obligation to the project and that Fichtner, has no choice but to terminate the contract or withdraw support from the Gulu City.

In his response, Okwonga Alfred, Gulu City Council Mayor noted that Council has received complaints from the donor over the slow progress of work on the stream.

He revealed that a recent meeting by the Executive Committee of Council (ECC) has recommended that another construction company be contracted to complete the project.

“This is a project we can’t lose and we have asked the donor to review the contract before another company takes over the project” Okwonga disclosed.

When contacted, Gudoi Kenneth, the contractor said the project was wrongly designed even before the project commenced.

According to the physical planning of the project, the location which is below Unifat Primary School and next to former Bardege Division offices is a gazzeted ecological wetland park for a recreational Centre to be constructed along the belt and other public offices.

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Nebbi Boda-Boda SACCO Fights Over Emyooga Cash

NEBBI – Fights ensued amongst Nebbi boda-boda riders under their association, Nebbi Municipality Boda-Boda SACCO Limited, over illegal withdrawal of Emyooga cash by the executive members.

Emyooga is one of the government’s initiative that was launched by President Yoweri Kaguta Museveni in August 2019 as part of its strategy to economically transform 68% of Ugandan homesteads from subsistence farming to market-oriented production to eradicate poverty.

According to the government, 18 enterprise categories were identified as having not adequately benefited from the previous wealth creation initiatives, and this included: Journalists, Boda-Boda, women entrepreneurs, carpenters, salon operators, and taxi operators, restaurant owners and welders.

Others are market vendors, youth leaders, Persons with Disabilities [PWDs], produce dealers, mechanics, tailors, performing artistes, army veterans and fishermen but, the money has brought in a lot of chaos among Nebbi Boda-Boda riders because they don’t trust their executive members .

The members revealed that, their executive members illegally withdrew Shs 20 million from the SACCO account and purchased three numberless Bajaj motorcycles from DR-Congo using the Emyooga cash which later sparked off a misunderstanding amongst the members.

https://thecooperator.news/pwds-on-emyooga-we-are-left-behind/

According to Parakoch Francis, a member of Nebbi Boda-Boda SACCO Limited; June 10th, 2021, the executive members of the association allegedly used their powers to withdraw Shs 20 million out of the Shs 30 million that was disbursed on the SACCO Centenary Bank account.

“The members were not consulted on the purchase of the motorcycles that’s why there is misunderstanding amongst the Boda-Boda riders,” Parakoch said.

Jakony Cosmas, another group member says three numberless motorcycles were purchased by the executive members at a cost of Shs 3.5 million each totaling to Shs 10.5 million without the consent of the members.

Onegiu Peter, the Chairman Nebbi Boda-Boda SACCO admits that, the idea to purchase three Bajaj motorcycles from DR-Congo was to minimize the cost, since in Uganda the numbered motorcycles Bajaj, are sold at Shs 5 million while in DR-Congo it goes for Shs 3.5 million.

He adds that they bought motorcycles to raise weekly money for the SACCO, which will be deposited on the Boda-Boda account.

However, Onyango Okol Emma, the Nebbi Deputy Resident District Commissioner said it’s a good business idea to buy motorcycles for the Boda-Boda Savings and Credit Cooperative [SACCO], but it was wrong that members were not consulted and called for audit queries of the Commercial Officer who allowed the money to be withdrawn without the guideline of Emyooga.

“We are investigating the motive of Nebbi Municipality Commercial Officer who allowed only the eight executive members of Nebbi Boda-Boda SACCO to withdraw the money and they don’t have their savings,” Onyango said.

Wakwayo Felix, the Commercial Officer Nebbi Municipality, advised members of the Boda-Boda SACCO to use the cooperative and Emyooga principles to help manage their SACCO.

He revealed that so far, four SACCO groups have accessed their money while others are in the pipeline pending verification from Micro Finance Support Centre (MFSC).

“The municipal has 18 SACCOs approved and ready to receive the funds but at the moment only four SACCOs have received their money and using the money,” Wakwayo said.

He further called for good team spirit amongst group members to manage the SACCO.

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2nd Lockdown: Food Prices Double in Gulu

GULU – People in Gulu are struggling to feed their families as food prices soar, spurred largely, by the second national lockdown and ban on inter-district movement and cattle markets.

Essential food prices and commodities have nearly doubled, according to people interviewed for this story.

In Gulu Main Market, the price of about 65 to 70 pieces of ginger, measuring a little less than four inches each, have soared to Shs 200,000 up from Shs 130,000.

A kilogram of garlic goes for Shs 7,000 up from Shs 2,200 while watermelons have disappeared from the shelves.

Meanwhile, a kilogram of beef (meat) which sold for Shs 12,000 before the lockdown has climbed to between Shs 14,000 and Shs 16,000.

Jackie Adure, a market vendor at Gulu Main Market told theCooperator in a recent interview that, “We have lost supplies from Kampala but the problem again is that our local farmers haven’t taken advantage here to produce them,” Adure explained.

Patrick Omona, the vice chairman Gulu City Livestock and Butchery Cooperative Saving and Credit, said they have decided to increase the price to make some profit.

Omona said the least a cow costs on the market is Shs 1 million.

https://thecooperator.news/farmers-in-tears-after-suspension-of-livestock-markets

“We were operating at a loss because we would only get about Shs 900,000 from the sale of meat, which is much lower than what we spend to buy it,” Omona said.

Geoffrey Akera, a butcher at Lacor trading Centre, said the closure of auctions largely to curtail the spread of the coronavirus has cut off supplies of animals for slaughter.

Jenifer Oyella, a food vendor in Laroo, said the current food prices in the markets have affected her restaurant business.

“I attempted to increase the prices of my local dishes and suddenly I lost customers and now I have suspended the operation until the situation becomes normal,” Oyella added.

Surprisingly, while prices of other commodities have nearly doubled in the district, beans prices have dipped.

At Cereleno Market in Gulu City, a kilogram of beans dropped by Shs 500 from Shs 2,500 while a bag of beans in the villages has fallen from Shs 180,000 to Shs 130,000 currently.

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2nd Lockdown: Food Prices Double in Gulu

GULU – People in Gulu are struggling to feed their families as food prices soar, spurred largely, by the second national lockdown and ban on inter-district movement and cattle markets.

Essential food prices and commodities have nearly doubled, according to people interviewed for this story.

In Gulu Main Market, the price of about 65 to 70 pieces of ginger, measuring a little less than four inches each, have soared to Shs 200,000 up from Shs 130,000.

A kilogram of garlic goes for Shs 7,000 up from Shs 2,200 while watermelons have disappeared from the shelves.

Meanwhile, a kilogram of beef (meat) which sold for Shs 12,000 before the lockdown has climbed to between Shs 14,000 and Shs 16,000.

Jackie Adure, a market vendor at Gulu Main Market told theCooperator in a recent interview that, “We have lost supplies from Kampala but the problem again is that our local farmers haven’t taken advantage here to produce them,” Adure explained.

Patrick Omona, the vice chairman Gulu City Livestock and Butchery Cooperative Saving and Credit, said they have decided to increase the price to make some profit.

Omona said the least a cow costs on the market is Shs 1 million.

https://thecooperator.news/farmers-in-tears-after-suspension-of-livestock-markets

“We were operating at a loss because we would only get about Shs 900,000 from the sale of meat, which is much lower than what we spend to buy it,” Omona said.

Geoffrey Akera, a butcher at Lacor trading Centre, said the closure of auctions largely to curtail the spread of the coronavirus has cut off supplies of animals for slaughter.

Jenifer Oyella, a food vendor in Laroo, said the current food prices in the markets have affected her restaurant business.

“I attempted to increase the prices of my local dishes and suddenly I lost customers and now I have suspended the operation until the situation becomes normal,” Oyella added.

Surprisingly, while prices of other commodities have nearly doubled in the district, beans prices have dipped.

At Cereleno Market in Gulu City, a kilogram of beans dropped by Shs 500 from Shs 2,500 while a bag of beans in the villages has fallen from Shs 180,000 to Shs 130,000 currently.

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Cooperatives Fail The Loans Acquisition Test

NWOYA – Without assets to stake as collateral, cooperative societies in the northern district of Nwoya have failed to snap up agricultural loans available in several banks.

John Bosco Odong, a member of Kochgom Cooperative Society, told theCooperator in a recent interview, that requirements for cooperative societies to get an agricultural loans are quite stringent.

“Farming being an enterprise that comes along with several challenges, banks fear they might lose money since in agriculture there are several risks,” he said

According to him, banks refer to farming as a risky enterprise and are therefore reluctant to dole out loans to farmers.

Alfred Ocan, chairperson of Nwoya Rice and Cassava Cooperative, said they have tried severally and failed to get bank loans.

“We have now turned to microfinance support centers since banks cannot help us.” he said.

He said the government needs to revise the loan policy on collateral and other things, so that farmers can be supported.

Joana Akullu, a member of Amilobo Cooperative Society in Gulu, said, “It’s more than 10 years now since the government allocated funds for farmers but in our group we have never accessed such loans.” Kenneth Kitara, the District Commercial Officer, said some cooperatives have not been able to access loans because many lack documentation on what exactly they do.

https://thecooperator.news/300-nwoya-farmers-targeted-for-irrigation-project/

“You might find that a cooperative has a storage facility where they gather their produce, but when you put them to task to explain the details of the storage and acreage of each farmer they get stuck,” he said.

“Many cooperatives have scanty documentation to attract bank loans, that is why many banks shunned them,” he said.

“We always put them to task to have proper records so that they can tap support from the government agricultural loans that were availed to them to improve their household income and create jobs,” he said.

In 2010, the government availed loans to farmers in Uganda and the money was channeled through banks and some microfinance institutions.

In 2016, the Central Bank revealed that the agricultural sector had the highest level of non-performing loans in Ugandan banks with 15.3 per cent.

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