Major International Business Headlines Brief::: 15 August 2024
Bulls n Bears
info at bulls.co.zw
Thu Aug 15 11:13:36 CAT 2024
<https://bullszimbabwe.com/>
<http://www.bullszimbabwe.com> Bullszimbabwe.com <mailto:info at bulls.co.zw?subject=View%20and%20Comments> Views & Comments <https://bullszimbabwe.com/category/blogs/bullish-thoughts/> Bullish Thoughts <http://www.twitter.com/BullsBears2010> Twitter <https://www.facebook.com/BullsBearsZimbabwe> Facebook <http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72> LinkedIn <https://chat.whatsapp.com/CF6wllAfScU9Wr6dXxoQnO> WhatsApp <mailto:bulls at bullszimbabwe.com?subject=Unsubscribe> Unsubscribe
Major International Business Headlines Brief::: 15 August 2024
<mailto:info at bulls.co.zw>
ü Gambia-Senegal Strike Compromise to Foster Interstate Trade
ü Rwanda Moves to Replace Aging Coffee Trees, Boost Production
ü Southern Africa: Investment in Water Key to Unlocking Industrial Development
ü Liberia: 388 Civil Servants Face Uncertainty
ü Uganda: Parliament Declines to Proceed With Alcohol Control Bill
ü Nigeria: Dangote Refinery Denies Fixing Petrol Price At N600 Per Litre
ü Kenya: Cotu Cautions Mbadi Against Fellowship With IMF
ü Uganda: Can Content Creation Be the Answer to Uganda's Unemployment Crisis?
ü South Africa: Eskom to Hit Joburg with 9-Hour Outage
ü Uganda: Charcoal Ban Drives Up Prices in Uganda, Putting Small Businesses in a Bind
ü Mozambique: Chakwera's Mozambique Trip - Malawi, Mozambique Sign Petroleum Deal
ü East Africa: Comesa Initiative to Boost Ethiopia's Horticulture, Add $230m to Economy
<mailto:info at bulls.co.zw>
Gambia-Senegal Strike Compromise to Foster Interstate Trade
The Gambia and Senegal have agreed to cooperate to resolve the border issue following their Tuesday meeting in Mansakonko, Lower River Region.
A cross-border trade dispute ensued as the Senegalese expressed dissatisfaction about Gambia's tracking system of vehicles in transit, which attracts payment of D1600.
They have agreed to release all 353 trucks to cross the border without fees within 24 hours. Additionally, the two countries have agreed to allow The Gambia Revenue Authority e-tracking system to remain in place while Senegal continues to develop its tracking system.
They have also agreed that trucks in transit through Senegal coming to the Gambia will only pay escort charges at entry. There will be no exit fees, and vehicles will be stopped for security checkups.
Last week, there was a mobilised strike by Senegalese commercial drivers against Gambia's new tracking system of vehicles which attracts payment. The meeting between the two countries was prompted by recent protests by the Senegalese transport union calling for the removal of the trackers and the abolishment of the payments for the tracker. The protesters blocked Gambian vehicles from leaving or entering Senegal.
Speaking before leaving for a close-door meeting which lasted for about six hours without a consensus, the Minister of Infrastructure and Transport of Senegal, El-Malick Njie said since the incident, the two governments have been trying to look for solutions. He said the two heads of state have been in constant communication. He expressed hope that the issue will be resolved.
Ebrima Sillah, the Minister of Transport, Works and Infrastructure said they are committed to addressing the dispute at the border, describing the meeting as historic.
"I believe the real integration between the two countries [has] just begun today and we are fully committed to addressing the problems at the border," he said.
The Gambian delegation at the meeting included the Minister of Transport, Works and Infrastructure, the Minister of Interior, the Minister of Trade, Regional Integration and Employment; the Minister of Information, Commissioner General of the Gambia Revenue Authority; Inspector General of Police; Director of The Gambia Immigration Department; the Solicitor General; and Director of The Gambia Transport Service Company limited; Permanent Secretaries of various ministries among other senior government officials.
The Senegalese delegation included the Minister of Infrastructure, Transport and Aerial; Minister of Industry and Commerce; High Commander of Gendarmerie; Director General of National Police; Director General of Customs; Director General of Transport; protocol officials; and two technical advisors of the Ministers; as well as the President of Transport Union among other dignitaries.
Foroyaa will provide a detailed report on the outcome of the meeting in its subsequent edition.
Foroyaa.
Rwanda Moves to Replace Aging Coffee Trees, Boost Production
The National Agricultural Export Development Board (NAEB) has launched a new initiative to replace aging coffee trees countrywide, as part of efforts aimed at increasing production and industry sustainability.
ALSO READ: Top 10 countries consuming Rwanda's coffee
According to data from NAEB, Rwanda currently has 42,229 hectares of coffee plantations, of which 26.8 percent are too old to yield many berries and do not bring in much money.
ALSO READ: Over 3 million coffee trees to be replaced
The initial phase of the restoration programme runs in Karongi, Nyamasheke and Rusizi districts in Western Province and Ruhango, Huye and Nyamagabe districts of Southern Province.
Addressing coffee producers, farmers, and local authorities in Rubengera Sector, Claude Bizimana, the Chief Executive Officer of NAEB, Tuesday, August 13, said the initiative aims at increasing productivity and part of mobilising people for the benefits of rejuvenation and rehabilitation of coffee trees.
ALSO READ: Bourbon's role in Rwanda's growing coffee culture
"We are replacing aging trees, some of which are 20 years old, and others planted during colonialism. This is in line with scaling up coffee production," Bizimana told journalists in Karongi District.
Within four years, according to him, 1,000 hectares will be restored, replacing 3,000 hectares of aging coffee trees within 14 districts with most of the aging coffer trees. It is expected that the upgrading and restoration of coffee trees will see Rwanda's coffee production triple.
For example, as noted, an aging coffee tree can produce about one or two kilos per season, while after its rejuvenation it can produce between 2.5 and 4 kilos.
Theophile Niragire, the Vice Mayor in Charge of Economic Development in Karongi District, said the upgrading and restoration of coffee trees was gradually done by farmers whenever resources were availed. The district plans to restore over 40 hectares of coffee plantations.
He stated: "Providing coffee seedlings as part of the initiative will support our farmers, for they have been encountering various challenges."
Official figures by the district show that there are over three million coffee trees, of which 70 percent need to be replaced or rehabilitated.
ALSO: Coffee producers appeal for more seedlings
Coffee farmers like Donath Musabimana, an agronomist of KOPAKAKI, a local coffee cooperative in Rubengera Sector, welcomed the government's interventions towards boosting coffee production.
Alphred Rudahemuka, a farmer with 800 coffee trees, said: "Access to fertiliser for many of us is still a challenge, and you find that old people with limited resources are the only category engaged or own coffee trees."
Figures show that in 2023, Rwanda exported approximately 20,000 tonnes of coffee, which generated $116 million.
New Times.
Southern Africa: Investment in Water Key to Unlocking Industrial Development
Regional integration in southern Africa is premised on various socio-economic sectors such as energy, water, information technology communication, transport, tourism and meteorology, underpinned by peace and security.
As the Southern African Development Community (SADC) prepares for its 44th annual summit scheduled for Zimbabwe on Saturday, this article looks at one of the sectors - water - and unpacks the central role of investing in water infrastructure to drive the regional industrialisation agenda.
Industrialisation has been identified as a top priority for southern Africa, and since 2014, all SADC summits have been held under a theme on industrialisation with the 44th one adopting the theme: "Promoting Innovation to Unlock Opportunities for Sustainable Economic Growth and Development Towards an Industrialised SADC."
This year's theme is timely, as innovation is indeed needed in the water infrastructure sector to unlock industrial development in southern Africa because water is a fundamental resource for many industries, including agriculture, manufacturing, and energy production.
Furthermore, water is inextricably linked to the economy as it shapes the well-being and prosperity of communities that are the drivers of industrial development.
The region is home to at least 15 shared watercourses such as the Congo, Zambezi and the Limpopo which spans Botswana, Mozambique, South Africa and Zimbabwe.
Water available in these watercourses is adequate to support industrial development in southern Africa, including energy generation, tourism and trade.
However, infrastructural barriers prevent these water resources from reaching their full potential.
For example, the SADC Regional Infrastructure Development Master Plan (RIDMP) of 2012 notes that the region only retains about 14 percent of its available water resources, while the rest flows to the oceans.
This loss of water due to inefficiently deployed infrastructure means the region has limited access to its vast water resources.
In this regard, there is a need for SADC to put in place vibrant and efficient measures to develop and improve water infrastructure to ensure that the resource is fully harnessed and utilised for the benefit of its citizens.
The strategies could include the construction of dams to improve water storage. Dams are also critical in the generation of hydropower, and cooling of thermal power stations.
Similarly, water can be used in irrigation for food production, while in manufacturing, water is essential for processes such as cooling as well as cleaning raw materials.
In fact, the development of water infrastructure in the region needs to be multi-purpose, and planned alongside other sectors such as agriculture, energy, and urban development to achieve the best outcomes.
Another important strategy in water development is to rehabilitate some of the aging water infrastructure in the region.
It is also critical to note that the major watercourses in SADC are shared by more than one country, so the region and individual member states must adopt a regional approach in their water infrastructure development rather than an inward-looking approach.
For example, the construction of water infrastructure such as dams should not only aim to meet national needs, but rather to resolve a regional challenge.
Furthermore, there must be a mechanism for the region to transfer water from the water-rich countries or basins to the water-stressed parts of the region to ensure a balanced industrial development.
One success story of transferring water from water-rich basins to water-scarce parts is the Kunene Water Supply Project, which provides water to dry areas in northern Namibia and southern Angola.
Another remedy to the water and energy challenge is the strengthening of inter-sectoral coordination.
For example, the management of water development in the region should not undermine energy supply or vice versa, because action in one area impacts on the other.
Therefore, as the Heads of State and Government meet in Harare, water infrastructure development is likely to dominate the discussion since water is inextricably linked to the economy of the region.
Investment in water infrastructure will enhance productivity, stimulate economic growth, promote environmental sustainability, and improve public health.
Improved water infrastructure will also help to double the land that is under irrigation in the region, as well as halve the proportion of people without access to drinking water and proper sanitation.
Ultimately, by prioritising water infrastructure, SADC will be able to create a solid foundation for sustainable industrial growth and long-term prosperity.
A vibrant water sector in SADC will ensure that water is used as a tool for peace and security, thereby allowing the people of the region to fully enjoy the benefits of belonging to a shared community in southern Africa. - sardc.net
The Herald.
Liberia: 388 Civil Servants Face Uncertainty
Monrovia — The director-general of the Civil Service Agency (CSA), Josiah Joekai, says that following verification and headcount conducted at government spending entities, 332 employees have been blocked pending further verification from August 15 to September 15, 2024.
These employees, including those recommended for dismissal, one-month suspension without pay, and prorated salaries, were blocked based on an analysis of their respective entities' attendance records from the verification and headcount exercise.
On July 4, 2024, President Joseph Nyuma Boakai, Sr., officially launched the Employee Status Regularization Project (ESRP) to establish the actual workforce of the government.
As a result, the CSA deployed teams across five regions to conduct verification and headcount at nine government spending entities. The exercise began on July 10, 2024, and is expected to conclude on August 20, 2024.
Among other things, it aims to identify legitimate employees on the government payroll and regularize the employment status of civil servants who did not complete Personnel Action Notices (PAN) as per Section 35 1-6 of the Revised Human Resources Policy Manual but are already on the payroll, identify and collect missing employee data to update the payroll and remove ghost names, illegitimate employees, and double dippers.
Unveiling the first progressive reports of the exercise at the Ministry of Information, Cultural Affairs, and Tourism's regular press briefing on Tuesday, August 13, 2024, director-general Joekai detailed that the total workforce at WASH Commission is 82; one employee (1%) did not fully submit required documents, and 18 employees (22%) did not attend the verification. A total of 64 employees (77%) were verified.
He says the Monrovia City Corporation has a total workforce of 955, but two hundred and nine employees (22%) were not verified, while 13 (1%) are on sick leave without approved documents; two employees (0.000%) are on study leave without evidence, and six hundred thirty employees (66%) were verified besides one hundred one employees (11%) who did not participate in the verification.
The CSA Boss further reports that the total number of employees at the Ministry of Labour is 224, but two employees (1%) on the May 2024 payroll were not verified, while one hundred fifty employees (67%) were verified. Ten employees (5%) did not fully submit documents, and 14 employees (6%) did not show up for verification. Forty-eight unverified employees, including those on sick leave, study leave, court assignments, and outstation, represent 2% and 19% of the workforce, respectively.
He says the total workforce at the Ministry of Transport is 398, but thirty-four employees (9%) were unverified, and 18 employees (4%) did not show up. Seventy-one employees (18%) were updated but not verified. Two hundred seventy-five employees (69%) were verified.
The CSA records workforce at the state-owned Liberia Broadcasting System at 142. Three employees (3%) were updated but not verified. One hundred seven employees (91%) were verified, while seven unverified employees (6%) remained on the payroll as of April 30, 2024.
Twenty-two employees (6%) were not verified at the Ministry of Information. Eleven employees (3%) did not show up, and eight employees (2%) were updated but not verified. A total of three hundred fifty-one employees (89%) were verified.
The Civil Service Agency continues that three employees at the Ministry of Education did not show up, fifteen employees (89%) were on study leave without evidence of grades, five employees (6%) were on sick and maternity leave without medical reports, and three hundred four employees were verified.
The total workforce at Governance Commission is 156. Five employees (3%) did not show up, and 141 employees (90%) were verified. Ten employees (7%) were not verified.
Office of the Vice President and Group of 77: The total workforce is 174. Ninety-seven employees (67%) were verified. Three employees (2%) were unverified, and thirty-four employees (23%) did not show up. One employee resigned, and one died, representing 1% of the workforce. Ten employees (7%) are said to be on leave.
Meanwhile, CSA director Joekai says that based on the verification and headcount results, the government is expected to save $161,117.97 monthly and $789,280.10 for the remaining five months of 2024.
After inheriting a bloated government payroll, the Boakai administration launched a vigorous appraisal of the entire public sector workforce to ascertain active and documented employees to streamline the monthly payroll.
New Dawn.
Uganda: Parliament Declines to Proceed With Alcohol Control Bill
Kampala — Parliament has rejected the Alcohol Control Bill, 2023 that sought to regulate the purchase, sell and consumption of alcohol.
The private members Bill that was introduced for the first time by Tororo District Woman Representative, Sarah Opendi in November 2023 also aimed to regulate the time and premises where alcohol would be sold in Uganda.
The decision to reject the processing of the Bill followed the presentation of the report from the Committees of Trade and Health by Sylvia Nayebale during the plenary sitting chaired by Deputy Speaker, Thomas Tayebwa on Tuesday, 13 August 2024.
The Committees argued that if passed in the current state, the Bill would impose a financial implication on the Consolidated Fund.
"The committee therefore, recommends that this august House should not proceed on the motion for Second Reading of the Alcoholic Drinks (Control) Bill, 2023," Nayebale said adding that, 'this being a Private Member's Bill, the committee is constrained to consider the proposed amendments that have an effect of imposing a financial charge on the Consolidated Fund'.
The committee also urged government to focus on the illicit trade of alcohol which accounts for 65 per cent of all the alcohol consumed in the country, saying the new bill does not indicate how it intends to eliminate the illicit trade in alcoholic drinks
"The committee notes that whereas regulation of the Alcohol industry is good, such regulation should be fair, balanced, evidence-based and sustainable taking into account the various stakeholders," the committee report read in part
Aruu County Member of Parliament, Christopher Komakech who moved presented a minority report said that the Bill is necessary and would go a long way in regulating the sector and resolve the related challenges.
"Restricting the hours of sale is a good step in creating a sense of responsibility for citizens who cannot control their consumption behaviors," he argued.
The Attorney General, Kiryowa Kiwanuka urged MPs against debating the Bill.
"I strongly advise that and pray that in order to avoid causing regulatory confusion, we wholly reject this Bill and then the good ideas that we have picked from this Bill here, we can find the necessary laws where there are supposed to be input," Kiryowa Kiwanuka said adding that, 'there is nothing in this bill which is not regulated by an existing law except the time of sale of alcohol which can also be managed by licensing'.
While moving the Alcoholic Drinks Control Bill, 2023 for second reading, Opendi argued that the Bill intends to protect consumers from alcohol abuse.
"We need revenue but we also need a healthy population that will be productive to support this economy," she said.
Independent (Kampala).
Nigeria: Dangote Refinery Denies Fixing Petrol Price At N600 Per Litre
The management of Dangote Refinery has dismissed reports in some quarters that the firm set the petrol price at ₦600 per liter, labeling the claims as "speculative announcements" without any foundation.
This was contained in a statement signed on Tuesday by the Group Chief Branding and Communications Officer of Dangote Industries Limited, Anthony Chiejina.
The denial came following reports by some publications, that the refinery was in talks with oil marketers, and that petrol may sell for as low as ₦600 per litre.
The company, however, emphasised that it has not partnered with the Independent Petroleum Marketers Association of Nigeria (IPMAN), and will communicate through official channels.
It states, "Our attention has been drawn to headlines announcing "Marketers Project N600/litre for Dangote Petrol" published in Punch Newspapers on Tuesday, August 13, 2024.
"We would like to clarify that the Independent Petroleum Marketers Association of Nigeria (IPMAN) is not our business partner yet."
He further said, "We have never discussed the price of Premium Motor Spirit (PMS) with them, and they have no mandate or authority to speak for us, either for good or with hidden transcript.
"We urge the public to desist from such speculative announcements. We have our official channels through which we make our views known to our stakeholders."
Leadership.
Kenya: Cotu Cautions Mbadi Against Fellowship With IMF
Nairobi — The Central Organization of Trade Unions (COTU) has urged cautioned newly-appointed National Treasury Cabinet Secretary John Mbadi against a rigid adoption of International Monetary Fund (IMF) conditions.
COTU Secretary General Francis Atwoli warned that a "rigid approach" that seeks to implement all IMF economic and finance adjustments advice will not succeed.
He said advice given by the IMF, followed without adjustment to local contexts and needs, will ultimately result in unrest.
"We draw an important lesson from the regime of former President Mwai Kibaki, which approached IMF recommendations with a balanced perspective, ensuring that the welfare of the citizens remained a priority," Atwoli said.
COTU's statement came agaist the backdrop of Mbadi's meeting on Wednesday with IMF Representative in Kenya Selim Cakir during which he lauded the organisation's "crucial role" in supporting Kenya's economic stability and development.
Atwoli noted IMF conditions often involve measures that place undue financial strain on the citizenry, primarily through increased taxation and the austerity measures.
The trade unionist argued IMF conditions had plunged many countries into social unrest and widespread demonstrations as citizens grapple with the negative impacts on their livelihoods.
"COTU (K) warns against falling prey to tactics that would worsen the tax burden on Kenyans and create social upheavals. We call upon the new National Treasury Cabinet Secretary to approach IMF conditionalities cautiously and with a deep understanding of their potential impact on ordinary Kenyans," he said.
He said that the Union remains committed to advocating for policies that promote economic stability while ensuring the protection of workers' rights and the welfare of all Kenyans.
Capital FM.
Uganda: Can Content Creation Be the Answer to Uganda's Unemployment Crisis?
The digital age is opening up new opportunities, especially in content creation. With over 27 million internet users expected by the end of the year, young creators have more avenues than ever to turn their passions into thriving careers. Whether that is through social media, blogging, or making videos, content creation is becoming a legitimate and potentially highly lucrative career.
Uganda's youth aren't just the future -- they are the pulse of the nation TODAY. With about 78% of the population being young people, that's a huge pool of energy, creativity, and potential ready to be tapped. As of 2024, about 18 million Ugandans are aged 15 to 30. But here's the kicker - despite their qualifications, 13.3% of them are unemployed, and it's often the most educated who struggle the most to find work.
I believe, however, that not all is gloom and doom. The digital age is opening up new opportunities, especially in content creation. With over 27 million internet users expected by the end of the year, young creators have more avenues than ever to turn their passions into thriving careers. Whether that is through social media, blogging, or making videos, content creation is becoming a legitimate and potentially highly lucrative career.
The time has come for content creation to be considered much more than a fun side gig -- it can now genuinely be a real money-maker. Uganda's young creatives have a huge opportunity to turn their passions -- from writing, photography, video production, to music -- into solid careers. The advertising market in Uganda is also set to hit $200 million this year, with digital marketing taking an increasingly bigger slice of the advertiser's pie. This means there is a growing demand for fresh, engaging content that can grab the attention of both local and global audiences.
Globally, about 69% of marketers are planning to invest big in influencer marketing, a space where young content creators often shine. With the right guidance and resources, Ugandan youth can jump on this trend, boosting their skills and financial independence. Platforms like YouTube, TikTok, and Instagram are seeing more Ugandans joining the fray, which means more chances to make money through ads, sponsorships, and affiliate marketing.
However, while content creation is a bright spot, the broader issue of youth unemployment can't be ignored. Every year, over 1.5 million young people enter Uganda's job market, but that's a market creating only about 400,000 jobs in the same period. That over time leaves millions of educated youth in a tough spot, struggling to find direction.
It is commendable that the Government is seemingly awake to this challenge, launching initiatives like the Youth Livelihood Program to provide capital and training. But let's be honest -- many of these programs have fallen short due to poor implementation and lack of the necessary support!
Ignoring this problem isn't an option. A large, educated, but unemployed youth population is a ticking time bomb that could lead to increased crime, social unrest, and a deep sense of disenfranchisement. The longer it takes to address this issue, the more it continues to threaten our motherland's stability and economic future.
So, what's the way forward? The Ugandan government and other stakeholders need to take a proactive approach. This means forming partnerships with tech companies, educational institutions, and non-profits to equip young people with the skills they need -- and I am not limiting this to just content creation, but also in entrepreneurship and digital literacy. Providing access to grants and funding could help young creatives turn their ideas into thriving businesses.
More to this, Government should invest in digital hubs and incubators where young people can experiment and thrive in the digital space. This way, Uganda can cultivate a generation of skilled content creators who can compete on both the local and global stages.
>From my extensive experience working with many of them, Uganda's youth are eager, talented, and ready to make their mark through content creation and entrepreneurship. But without intentional collaboration between Government and these young trailblazers, many of these opportunities will go untapped. Tackling the youth unemployment crisis isn't just about boosting the economy -- it's very much also about fulfilling a moral obligation to a generation brimming with hope and talent. With the right strategy, resources, and genuine engagement, Uganda can turn this challenge into a vibrant ecosystem of content creators, driving the nation toward a more prosperous future.
Kin Kariisa is the Next Media Group CEO
Nile Post.
South Africa: Eskom to Hit Joburg with 9-Hour Outage
Eskom has announced planned power outages in several areas of Soweto, Johannesburg, reports to IOL. The utility company stated that it will carry out scheduled maintenance in Dobsonville Extensions 1, 2, 4, 5, 7, and old Dobsonville, from 8:30 a.m. to 6 p.m. "The interruption in electricity supply is necessary to perform essential maintenance on our distribution power lines," Eskom said in a statement. Meanwhile, the Minister of Electricity and Energy, Dr Kgosientsho Ramokgopa said while South Africans have been enjoying 138 days without load shedding, the energy crisis is not over. He said that government remains "buoyant" when it comes to Eskom's performance but load shedding is still not a thing of the past.
Rights Group to Probe Walter Sisulu University Student Shooting
A student from Walter Sisulu University (WSU), Dumisani Khoza, has a bullet lodged in his pelvis after being shot in the buttocks during a protest in Mthatha on May 27, according to News24. Khoza alleges that police officers used live ammunition while students demonstrated on the N2 near the university. Nine students were injured in the incident, with some requiring weeks of hospitalization. Khoza himself spent over a week in the hospital and was informed by doctors that the bullet could not be removed. The South African Human Rights Commission (SAHRC) stated that it was alerted to the shooting through various media reports. "In response to allegations of excessive force and by our mandate to protect individual rights, the commission has decided to investigate these claims through an inquiry to evaluate the legality of the force used and its impact on human rights," the SAHRC said. Khoza mentioned that he was among a group of students protesting delays in National Student Financial Aid Scheme (NSFAS) payments.
Greenside High Head Prefect's Body Recovered from Vaal Dam
The body of Reza Saloojee, an 18-year-old matric student who drowned during a family trip to the Vaal Dam, has been recovered, reports IOL. Saloojee, the head prefect at Greenside High, reportedly encountered difficulties while attempting to retrieve his belongings that had blown into the dam. Divers from the South African Police Service (SAPS) later recovered his body. Saloojee's family was present at the scene when the SAPS team located his body.
More South African news
Uganda: Charcoal Ban Drives Up Prices in Uganda, Putting Small Businesses in a Bind
Kampala, Uganda — The government is pushing for cleaner fuel options. But costs and traditions stand in the way of change.
Gertrude Arineitwe spreads out her green polythene bag at the charcoal shelter. The charcoal seller, a woman from whom Arineitwe has bought charcoal for the past four years and who has become a friend, empties a spadeful of charcoal into the bag. Black dust wafts in the air. Soot-colored pieces fall into the bag, clanging as they land. Arineitwe watches, waiting for the seller to add more. But she doesn't. She's done -- and the bag is only half full.
Every day for the last seven years, Arineitwe has bought charcoal to brew bushera, a popular drink made by mixing sorghum flour and hot water, then letting the mixture cool overnight. She sells it to people in her neighborhood, Nansana, a fast-growing suburb of Kampala, especially to those who hail from western Uganda where culturally the drink is a luxury in every home.
Typically, she uses two spadesful of charcoal -- around 4,000 Ugandan shillings' (1 United States dollar's) worth -- to make her day's brew. But now the same 4,000 shillings buys only half the amount. She considered increasing her prices to compensate for the high fuel costs, she says, but her clients said they'd stop buying from her if she did. Instead, she's decreased her bushera production. And following last year's ban on charcoal and firewood production in northern Uganda, which has driven prices even higher, she's unsure what she'll do for cooking fuel.
"I am worried for the future of my business," she says.
Over the past few years, the Ugandan government introduced incentives to lure people away from using charcoal and firewood for their cooking and toward cleaner fuels. In 2020, the government waived the value-added tax on cooking gas, and a year later it implemented bulk rates for electricity where customers can buy large amounts for lower prices. Last year it began distributing gas cylinders to residents in Mukono and Wakiso districts in central Uganda near Kampala, the capital. But despite these efforts, around 94% of Ugandan households still cook with charcoal and firewood, also known as biomass.
Then in June 2023, President Yoweri Kaguta Museveni signed an executive order banning commercial charcoal production and tree-cutting for firewood in northern Uganda, the leading supplier of charcoal in the country. The ban -- an attempt to stop deforestation and reduce carbon emissions -- made charcoal and firewood scarce and sparked price increases nationwide.
This left people like Arineitwe in a bind. They are unable or unwilling to switch to different and cleaner cooking methods because the startup costs are unaffordable, the options confusing, and the cooking techniques unfamiliar and incompatible with traditional Ugandan cooking. At the same time, they can't afford enough charcoal and firewood to fulfill their needs. They are in limbo and, as a result, are forced to slow down their businesses or halt them altogether.
Alternative fuels are too costly, Arineitwe says.
The prices of charcoal and firewood are double what they used to be, she says, but it is still less expensive for her to use them than to switch to electricity, which is accessible in her region. With the price hike, it costs her 14,000 shillings (3.5 dollars) to boil the 60 liters (nearly 16 gallons) of water a day that she needs to make her bushera.
In contrast, if she were to use electricity, it would cost her over 50,000 shillings (13 dollars) per day to boil 20 liters of water (about 5 gallons), just one-third of the amount she needs, because she can't afford to buy enough to take advantage of bulk rates.
Before the price increase, she made a profit of around 30,000 shillings (7 dollars) per week, or 120,000 shillings (31 dollars) a month selling bushera.
"The meager profits I make in the business will all be spent on electricity," she says.
She could buy an electric pressure cooker, which uses electricity more efficiently, but they are expensive and too small to be practical, she says. And even if larger cookers were available, she couldn't afford one.
Now she only makes bushera for returning customers when they request it, Arineitwe says, typically for an event. And she asks them to provide the firewood and flour for her to make it.
The government hopes to transition the country away from charcoal and firewood for cooking by 2030, says Solomon Muyita, spokesperson for the Ministry of Energy and Minerals Development. But high costs and distrust of the new methods are a challenge.
"The government is pushing for this program in phases since the costs involved still hold most people behind," Muyita says.
It's also about changing people's mindsets, he adds.
For example, use of liquefied petroleum gas remains low despite the waived tax, Muyita says.
"People do not trust it can cook well their food," Muyita says about biogas, adding that people also fear gas leaks, which can lead to fires and explosions if not stopped quickly.
This applies to electricity too. A person who cooks matooke -- a traditional dish made from green plantains -- using firewood and charcoal is used to the dish taking five hours to make. But with an electric pressure cooker, matooke will cook in 20 minutes, says Sarah Babirye, CEO of Uganda National Alliance on Clean Cooking. Many Ugandans believe matooke cooked in a traditional manner, for hours wrapped in banana leaves, is better and more delicious than matooke thrown in water and cooked for 20 minutes.
Jackline Nalule, who operates a local restaurant in Kampala's Kalerwe suburb that customers call "Ewa Nalu" in Luganda -- or "At Nalu's," short for Nalule -- says that for the four years she's run the restaurant, her steamed matooke has been what draws customers.
"All my customers will run away the moment they taste matooke cooked by electricity or gas," says Nalule, who strongly believes in culture and traditions. "The flavor is completely lost when the matooke is not steamed."
The difference is a culture shock, Muyita says. The government has awareness-raising campaigns targeted at changing public misconceptions that new methods are too expensive, dangerous and can't cook traditional foods. Ultimately, he adds, the public needs to accept that gas and electricity are cleaner and cheaper fuels for cooking.
"They have unwarranted fears," he says.
Until alternative fuels become more accessible and common, people will remain hesitant to use them, says Justine Akumu, senior energy officer of alternative-energy cooking at the Ministry of Energy and Minerals Development. For now, it isn't possible for every Ugandan to switch to entirely clean cooking fuel because of the costs, she says. So they should focus on the types of cleaner fuel that are most accessible in their region or more efficient methods of cooking with biomass. For example, she says, people in Lyantonde, a district to the west of Kampala, keep cattle. They could use biogas made from cow dung. In eastern Uganda, cassava growers could use ethanol made from cassava.
People also can adopt more efficient ways of using firewood and charcoal to cook, she adds. "We advise the public to use better-energy stoves, which don't allow for fast combustion so that less charcoal is used in cooking," Akumu says. "And better firewood stoves which will take less wood should replace the original hearth."
Deputy head teacher John Lwanga says St. Joseph's Secondary School, located in Nansana, still uses firewood to cook meals for its students, despite the costs. The school feeds three meals a day to over 1,000 students, which would be too expensive with electricity. But parents will have to contribute more money in school dues to purchase firewood because of the price increase, he says.
He's excited by the idea of using biogas at the school, he says. However, the school needs to figure out the details of a switch, such as how much it would cost and what apparatus they would need. But schools have a lot of human waste that can be turned into fuel, he adds.
"Then waste will cease to be waste," Lwanga says.
The alternatives are confusing, says Ian Migadde, who cooks and sells beans and chapati, a type of flatbread, to evening commuters for their supper. He worries about how much it will cost to switch to a new fuel.
Nearly 15% of his monthly income goes toward paying for electricity to light his home, charge batteries, iron and watch television, he says. He fears his bill will be unaffordable if he starts to cook with it too. He's heard about the special electricity pricing, but even if he could afford to pay in bulk, he doesn't think it would be enough.
"I doubt it would take me through the month, given that I must cook 3 kilograms of beans every day," Migadde says.
With charcoal double the price, he says he's resorted to using broken furniture sold by customers as firewood. But he is sure the supply of furniture parts will run out soon.
He is failing to break even because of the high fuel costs, he says. He is thinking about putting the business on hold until the effects of the ban stabilize, with the hope that the electricity rates will be revised to be more affordable.
"I think I will take a break and return to this business when the prices are better," he says.
Edna Namara is a Global Press Journal reporter based in Kampala, Uganda.
TRANSLATION NOTE
Edna Namara, GPJ, translated some interviews from Luganda and Runyankor.
Global Press Journal.
Mozambique: Chakwera's Mozambique Trip - Malawi, Mozambique Sign Petroleum Deal
Malawi and its neighbouring Mozambique have signed a bilateral Petroleum and Related Products Agreement which is expected to enhance the access to electricity to Malawians as well as significantly reducing the landing cost of fuel in Malawi.
The agreement was signed in Maputo earlier this afternoon soon after the visiting Malawi President, Dr. Lazarus McCarthy Chakwera held bilateral talks in camera with his Mozambican counterpart Filipe Nyusi.
Minister of Energy Ibrahim Matola signed the deal on behalf of Malawi Government as the two presidents keenly watched.
The signed pact comes barely three weeks after a trainload of diesel fuel had arrived in Malawi for the first time in 21 years, following a newly refurbished rail from the Indian Ocean Port of Nacala by the Chakwera-led government.
Meanwhile, President Chakwera has described the signing of the Petroleum agreement and also his visit to Mozambique as "pleasant, memorable and successful," stressing that it will help reduce pump prices while also helping increase access to electricity across the country.
Speaking on the sidelines of the event, National Oil Company of Malawi (NOCMA) Chief Executive Officer Clement Kanyama said the signed fuel agreement will help in lowering the landing cost of fuel in Malawi in the long-run
"Nacala to Lilongwe is just 36 hours, and the same volume from Dar es Salaam (Tanzania) takes four to five days which means that with the agreement in place, we can now save more money as we will have more fuel flowing into the country by rail," he said
Malawi is currently consuming 51 million liters a month, but has a storage capacity of 60 million litres lasting for 35 days cover (for NOCMA facilities) and 92 million storage capacity if Oil Marketing Companies are included.
Nyasa Times.
East Africa: Comesa Initiative to Boost Ethiopia's Horticulture, Add $230m to Economy
Ethiopia's horticulture sector is poised for growth with the launch of the COMESA-EAC Horticulture Accelerator (CEHA) National Chapter in Addis Ababa.
The scheme, which was launched on August 13, 2024, is part of a broader plan to leverage the horticulture industry's potential across the region, having launched the same in three other countries.
The CEHA program, driven by the Alliance for Commodity Trade in Eastern and Southern Africa (ACTESA-COMESA), aims to boost sustainable growth in the horticulture sector within the Common Market for Eastern and Southern Africa (COMESA) and the East African Community (EAC).
Ethiopia's State Minister of Agriculture and Horticulture Development, Meles Mekonnen, emphasised the importance of the CEHA Ethiopia National Chapter in advancing the country's horticulture development.
The initiative will focus on three key crops--potatoes, avocados, and onions--chosen for their potential to drive economic growth.
"These crops were selected based on their production capacity and potential to drive economic growth," said Dr Mekonnen.
The CEHA Ethiopia National Chapter is expected to bring together key stakeholders and support Micro, Small, and Medium Enterprises (MSMEs) within these value chains through matching grants and technical assistance.
This initiative is anticipated to create jobs, boost regional trade, and reduce postharvest losses.
ACTESA-COMESA Chief Executive Officer John Mukuka noted that under the 2021-2031 Strategic Plan, ACTESA-COMESA is focused on strengthening the horticulture sector.
He projected that avocados, Irish potatoes, and onions could generate an additional $230 million annually for approximately 450,000 smallholder farmers in the region. In 2023, avocados and onions contributed $11.2 million in foreign exchange earnings for the region.
"There is significant potential for growth and job creation through investments and modernisation in these value chains," Dr Mukuka said, adding the importance of women's roles in the horticulture sector and the need for climate-smart technologies.
The CEHA Ethiopia National Chapter will focus on activities such as advocating for policy reforms to enhance trade facilitation and market access, providing financial resources, and delivering training and capacity-building programmes for value chain actors.
Development partners, including the Bill and Melinda Gates Foundation (BMGF), Foreign Commonwealth and Development Office (FDCO), Alliance for a Green Revolution in Africa (AGRA), and the Ethiopian Horticulture Producer Exporters Association (EHPEA), attended the launch and expressed their support.
BMGF Senior Programmes Officer Rafael Flor highlighted the potential of the horticulture sector for job creation, economic development, and foreign exchange earnings, noting that the focus on these three crops would help diversify Ethiopia's agricultural output beyond traditional grains.
FDCO Country Representative Nina Hissen reaffirmed the British government's commitment to partnerships for growth and poverty reduction, citing CEHA as a strong example.
AGRA Country Director Yihenew Zewdie called for policy harmonisation to facilitate cross-border trade within the horticulture sector and stressed the importance of ensuring the availability of seeds in sustainable quantities, expressing confidence that the CEHA initiative would drive innovation.
Established in 2022, CEHA is a collaborative effort to accelerate growth in the fruit and vegetable sector. Ethiopia is the fourth country to launch a CEHA National Chapter, following Kenya, Rwanda, and Uganda.
Business Day Africa.
Invest Wisely!
Bulls n Bears
Cellphone: +263 71 944 1674 | +27 79 993 5557
Email: <mailto:bulls at bullszimbabwe.com> bulls at bullszimbabwe.com
Website: <http://www.bullszimbabwe.com> www.bullszimbabwe.com
Blog: <http://www.bullszimbabwe.com/blog> www.bullszimbabwe.com/blog
Twitter (X): @bullsbears2010
LinkedIn: Bulls n Bears Zimbabwe
Facebook: <http://www.facebook.com/BullsBearsZimbabwe> www.facebook.com/BullsBearsZimbabwe
INVESTORS DIARY 2024
Company
Event
Venue
Date & Time
Companies under Cautionary
CBZH
GetBucks
EcoCash
Padenga
Econet
RTG
Fidelity
TSL
FMHL
<mailto:info at bulls.co.zw>
DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of Faith Capital (Pvt) Ltd for general information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy or subscribe for any securities. The information contained in this report has been compiled from s believed to be reliable, but no representation or warranty is made or guarantee given as to its accuracy or completeness. All opinions expressed and recommendations made are subject to change without notice. Securities or financial instruments mentioned herein may not be suitable for all investors. Securities of emerging and mid-size growth companies typically involve a higher degree of risk and more volatility than the securities of more established companies. Neither Faith Capital nor any other member of Bulls ‘n Bears nor any other person, accepts any liability whatsoever for any loss howsoever arising from any use of this report or its contents or otherwise arising in connection therewith. Recipients of this report shall be solely responsible for making their own independent investigation into the business, financial condition and future prospects of any companies referred to in this report. Other Indices quoted herein are for guideline purposes only and d from third parties.
(c) 2024 Web: <http://www.bullszimbabwe.com> www.bullszimbabwe.com Email: <mailto:bulls at bullszimbabwe.com> bulls at bullszimbabwe.com Tel: +27 79 993 5557 | +263 71 944 1674
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240815/aaabff4b/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.png
Type: image/png
Size: 9458 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240815/aaabff4b/attachment-0002.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 29356 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240815/aaabff4b/attachment-0003.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.jpg
Type: image/jpeg
Size: 29321 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240815/aaabff4b/attachment-0004.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.png
Type: image/png
Size: 34378 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240815/aaabff4b/attachment-0003.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.jpg
Type: image/jpeg
Size: 29353 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240815/aaabff4b/attachment-0005.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: oledata.mso
Type: application/octet-stream
Size: 65566 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240815/aaabff4b/attachment-0001.obj>
More information about the Bulls
mailing list