The Executive Director of Uganda Investment Authority; Mrs. Jolly Kaguhangire believes that Ugandan workers need to focus on improving productivity at their work places, adding that labor productivity is one of the key attractions for credible investment. Mrs. Kaguhangire made the remarks while interacting with Management and staff of San Belt Textiles Limited in Jinja. The textile factory was officially opened by HE President Yoweri Museveni yesterday on 1st May 2017. She stressed that incentives such as tax holidays or waivers are merely “sweeteners” but the real attraction to investors is market access, labor productivity and average return on investment among others.
Oh his part, Sun Lian Zhong, Chairman of San Belt Textiles industries informed the Executive Director that the company has invested USD 18 Million since 2012, employing 1200 locals. The company has plans to scale up total investment to USD 50 Million in the next five years. It manufuctures all textile materials such as mattress covers, bed sheets and exports to countries such as Ethiopia, Kenya, SSudan and Tanzania. A 2016 labor market profile report on Uganda from the Danish Trade Union Council for International development Cooperation indicated that Uganda’s labor productivity was growing steadily during the 2000s but stalled at the start of the 2010s. Uganda remained with a lower productivity in comparison with Sub Sharan Africa and below the world average. Labor productivity measures output per worker. The executive Director reiterated her belief that investment without a productive labor force is not sustainable