Uganda has intensified its drive for agricultural transformation, boosting funding for the Agro‑Industrialisation Programme from Shs 1.49 trillion to Shs 2.26 trillion in the new budget,an investment hailed as historic, yet still questioned by analysts who warn that deeper reforms and stronger support are needed to unlock the sector’s full potential.

Uganda has stepped up its agricultural investment, raising funding for the Agro-Industrialization Programme from Shs 1.49 trillion in the 2025/26 budget to Shs 2.26 trillion in 2026/27. Finance Minister Henry Musasizi stated the expanded allocation anchored in the ATMS growth plan will drive agricultural research, irrigation, water for production, and value addition, underscoring the government's push to transform the sector.

Despite the increased allocation to agro-industrialization, concerns remain among stakeholders who argue that the sector still requires greater investment to achieve meaningful transformation. Policy analyst Jonathan Lubega, from the Southern and Eastern Africa Trade Information and Negotiations Institute (SEATINI) under the Agricultural Trade and Rural Transformation Programme, noted in an interview that the current funding, while significant, falls short of what is needed to fully unlock the sector’s potential.

Lubega pointed out persistent gaps in the agricultural sector, particularly the underfunding of markets for produce, and stressed that with adequate investment in value addition, Uganda could unlock larger markets that would not only boost farmers’ incomes but also strengthen the wider economy. He further emphasized the importance of extension services, noting that without them, the sector’s growth potential remains constrained.

He further stressed the need to improve existing agricultural laws, arguing that stronger implementation coupled with improved policies would ease the burden on farmers and create a more enabling environment for the sector’s growth.

He further emphasized that strengthening regional markets requires strict attention to product standards, noting that quality assurance is key to competitiveness. Lubega also underscored the government’s responsibility to conduct deeper sector analysis, arguing that informed policies and better oversight are essential for securing a sustainable future for agriculture.