Vehicle Number Plate Shortages Hampering Ugandan Businesses, KACITA Warns

The Kampala City Traders Association (KACITA) is sounding the alarm over a critical shortage of vehicle number plates, which they report is severely disrupting the automotive trade in Uganda. KACITA Chairperson, Issa Sekitto, presented the association’s grievances to the Committee on Physical Infrastructure, highlighting deep reservations about the current service provider’s capacity under the Intelligent Transport Monitoring System (ITMS).

Sekitto expressed skepticism regarding the contractor’s ability to maintain sufficient stock of number plates and manufacturing materials. He stated that the delays are not minor inconveniences but are systematically damaging businesses. “Customers place orders, pay deposits, and then wait weeks or months. Many walk away. Dealerships are losing both sales and reputation,” Sekitto explained.

The association also pointed to the Shs714,300 fee for new digital plates as an excessive burden on both dealers and consumers. This cost, they argue, inflates vehicle prices during a period when many businesses are still navigating economic recovery.

The ITMS program, designed to enhance vehicle tracking and curb theft through embedded technology, involves a partnership between the Ministry of Works and Transport and security agencies, with a contracted provider handling plate production.

Committee Chairperson, Hon. Mwine Mpaka, acknowledged the traders’ plight, stating, “We cannot ignore the lived experience of the business community.” He emphasized Parliament’s responsibility to seek answers and solutions if the system is hindering legitimate trade.

Members of the committee also questioned the pricing structure’s balance between security objectives and affordability. Concerns were raised about contingency plans for stock-outs and the contractor’s ability to scale up production to meet demand.

KACITA affirmed its support for security and road safety measures but stressed that the current operational issues are counterproductive, frustrating vehicle registration and sales processes. The committee is expected to summon the relevant agencies and the service provider for further investigation.

Source: Parliament of Uganda