SAVE US! 200,000 printing jobs at stake over M7 directive

Museveni letter to PM Nabbanja on printing with UPPC and Vision group

Jobs of over 200,000 Ugandans employed in the printing and publishing sector locally are at stake following President Museveni’s directive to have all procurement of Government printing services to only two firms—Vision Group and Entebbe based Uganda Printing and Publishing Corporation [UPPC].

The president, in a letter dated 28th September 2021 and addressed to PM Robinah Nabbanja, indicated that he had met the board and management of the two firms who cried for his intervention.

These reportedly told him that despite heavy investment to a tune of about Shs45bn to meet quantity and quality standards and as well be on top of the game, there is low return on investments yet government agencies reportedly spend about Shs50bn in printing annually. Owing to the fact that these two entities are owned by the Government of Uganda, Museveni deemed it right to help them and thus ordered Nabbanja: “I am , therefore, directing you to communicate to Government Ministries, Departments and Agencies to ensure that all their printing works are given to the Vision Group and UPPC, Entebbe.”

PRIVATE PLAYERS PROTEST

Now, the printing sector under their umbrella body Uganda Printers and Packaging Association (UPPA) are asking the president to reverse this directive because it is going to cause closure of businesses and render many jobless.

They opine that private firms have lost big and huge contracts from government departments, ministries and agencies due to the directive.

One of those who has already been affected by the directive is UPPA Vice Chairman, Peter Mwembebezi, who has been in the business for the last 20 years in his company commonly known as MPK Industry. He says he has been employing about 500 workers (casual and permanent), however, the future is now gloomy because of the directive.

“They [Vision Group and UPPC) say they have invested a lot of money in the sector, but the private companies have invested more than they have invested in the business in order to be able to compete in the market,” Peter said.

He further revealed that they have also procured heavy machines (using bank loans) with high capacity to enable them bid for big jobs but they are now helpless.

Peter is now appealing to the government to give them room for competition but not only ring-fencing two companies.

The association publicity secretary, Ivan Michael Senabulya, says the directive has come at a bad time when they are yet to recover from the two years lost due to Covid lockdown.

Ivan emphasized that they need support and trust in the government because they employ and skill over 1000 women and youths in the sector.

Nantale Juliet, Mary Namukaya of Diamond Cooperation and Christine Nampeeera from Wave Media all being employed in the printing sector are worried to become jobless due to the situation now in their sector. However, the UPPA chairman, Archy Kiwanuka says that the contribution of the Printing Sector in Uganda is a collective one and it involves stakeholders beyond Vision Group and UPPC. According to Kiwanuka, the printing sector’s economic contribution to Uganda as documented in the last available Capacity Baseline Survey shows with direct employment, 38,000 of which 90percent are they. Casual and permanent number about 200,000 jobs across the value chain.

“It is very clear that the most significant investment into the printing sector is actually not by Vision Group and UPPC but rather, a collective effort of various players, of different sizes since the sector investments stood at USD 380 Million in 2017. Therefore, it is imperative that all players in the printing sector have the same treatment before the current procurement regime that is mainstreaming local content.

We have done a lot in protection as players, tax payers, and local investors and most especially in regard to promotion of BUBU,” Kiwanuka disclosed.

UPPA strongly feels that the president’s contravenes the Procurements Laws and Regulations in Uganda that require competitiveness and non- discrimination.

“Where does the directive put the whole printing industry when only 2 players handle the entire Government of Uganda’s printing demands?” he questioned.

<<<<<<<<<<<<<<<<<<<

GOT A HOT STORY? CALL/TEXT/WHATSAPP 0777959024 OR EMAIL redpeppertips@gmail.com