Business 21 August 2026 Daily Monitor (Uganda)
Power, Road Woes Hinder MMP Industrial Park Expansion Plans
MMP Industrial Park in Buikwe faces significant setbacks in its expansion due to unreliable power supply and inadequate infrastructure, particularly the access road. Investors are ready to increase production and create more jobs, but these critical issues, along with bureaucratic delays in tax exemptions, are slowing growth. Source: https://www.monitor.co.ug/uganda/news/national/power-infrastructure-gaps-stall-mmp-industrial-park-expansion-5566112
Plans for a significant expansion at MMP Industrial Park in Buikwe, which would create numerous jobs, are being hampered by a lack of consistent power and underdeveloped infrastructure. According to MMP Group Managing Director Jay Patel, unstable electricity is the primary obstacle, threatening to deter further investment and expansion.
“The biggest challenge is we don’t have continuous, stable power,” Mr. Patel stated, noting frequent outages that disrupt operations. He also highlighted bureaucratic delays in obtaining tax exemptions, which can take up to a year due to processes involving the Uganda Revenue Authority (URA) and the Ministry of Finance.
Another major constraint is the poor state of the approximately nine-kilometer access road connecting the park to the main highway. Inadequate road conditions have led to difficulties for trucks, especially during the rainy season, with some vehicles becoming stranded for days. Although construction began in 2020, completion is expected this year.
These challenges have caused the park’s growth to lag behind initial expectations. However, there is optimism that once government interventions, particularly in power and infrastructure, are delivered, the situation will improve rapidly. Investors are reportedly keen to expand operations, including setting up a new steel plant, provided these issues are resolved.
State Minister for Privatisation and Investment, Amina Mukalazi, acknowledged these concerns during a recent visit and pledged to work with relevant ministries and the Uganda Investment Authority (UIA) to find solutions. She emphasized the government’s commitment to fostering a conducive investment environment and fast-tracking infrastructure projects. UIA Director General Robert Mukiza confirmed that infrastructure project plans are complete and awaiting final approval for the contracting process.
The park currently employs over 2,000 workers and hosts more than ten companies involved in various manufacturing sectors. Addressing these bottlenecks is seen as crucial for Uganda’s industrialization goals and for generating more employment opportunities for its youth.