Parliament Moves to Introduce National Tea Bill to Boost Value Addition

Uganda’s parliament has granted Igara County West MP, Hon. Cohen Amanya, permission to introduce the National Tea Bill. The proposed legislation seeks to transform the country’s tea industry by making value addition compulsory for exports and establishing a localized tea auction system.

Currently, about 90 percent of Uganda’s tea is sold through the Mombasa Tea Auction, leaving local producers vulnerable to external market shocks. Lawmakers noted that the lack of a dedicated legal framework has exposed farmers to unstable prices, high fertilizer costs, and low returns. In 2024, the sector earned US$54 million, a figure proponents believe could more than double with proper quality control and processing.

The new Bill addresses these challenges by requiring exporters to add value through blending, packaging, grading, and branding before shipping out. Non-compliant exporters could face heavy fines, suspension of licenses, and the seizure of shipments. Furthermore, the legislation introduces a domestic tea auction framework to streamline sales within Uganda.

To ensure quality, the proposed law outlines strict registration and licensing for all value chain players, alongside regular inspections of farms and factories by the agriculture ministry and local governments. Parliamentarians across the political divide overwhelmingly supported the motion, signaling a unified push to uplift the agricultural sub-sector.

Read more details on the Parliament of Uganda.