Presented by Migadde Habib, Uganda Embassy Juba- South Sudan.

INVESTMENT

OPPORTUNITIES

IN SOUTH SUDAN FOR

UGANDANS

Presented by Migadde Habib, Uganda Embassy Juba- South Sudan

OUTLINE OF THE PRESENTATION


General information about South Sudan Background.Progress made since CPALegal and Economic Framework Investment opportunities in South Sudan Challenges Advantages of Trading with South Sudan.Uganda’s Benefits from Trade with South SudanRecommendationsConclusion

MAP OF SOUTH SUDAN


Uganda

GENERAL INFORMATION ABOUT SOUTH SUDAN


Official name: Government of South Sudan Total Area : 644.329.38Km2 Capital city : JubaNature of City dwellers: Cosmopolitan Composition: Ten States Boarders: Seven Countries Currency: South Sudan pound(SSP) Value of Currency: 1SSP=850 Ug. shillings Population: est; 8.960.490 Languages: English and Juba Arabic Return on Investments: Relatively High

BACKGROUND


South Sudan is our NUMBER ONE MARKET in the World

Uganda earns over 250 million USD from formal and 140 Million USD informal trade In South Sudan as annual figures

South Sudan and Uganda share a great historical relationship.

Signed Agreement Between Uganda and South Sudan- Feb 2006

Signed MoU on Trade and other trade related areas of Cooperation-2010.

GoSS launched a Private Sector Development Program

PROGRESS MADE SINCE CPA


Political and Security situation CPA 2005 Successful Parliamentary and presidential Elections 2010 Successful Referendum 2011 Improved security situation Waiting for independence on 9th July 2011 The Security situation has greatly improved in South Sudan INVESTIMENT CLIMATE Reforms and streamlining of procedures to starting and doing

business Reform of GoSS institutions to offer efficient and transparent

services Established laws in line with good international practice that

govern private sector development Established the Ministry of Investments They established the Chamber of Commerce , Industry and

Agriculture.

LEGAL FRAMEWORK.


Investment Promotion Act, 2009

Business entry laws

Land Act, 2009

Taxation Act, 2009

South Sudan Anti-Corruption Act, 2009

Free Market economy Private Sector Driven development Promotion of public-private partnerships Development and strengthening of SMEs Promotion of Foreign and domestic Investments.

ADOPTED POSITIVE ECONOMIC POLICY


SOUTH SUDAN INVESTMENT PROMOTION ACT 2009


Repatriation of Capital, profits and dividends Guarantees against expropriation Non-Discrimination-Both local and foreign investors

can own and operate business in any sector of the economy

Special incentives on application to the Board of investments

Access to public information Protection of intellectual property rights-trade Marks,

copyrights and patents Dispute resolution

TAX AND CONCESSION INCENTIVES IN SOUTH SUDAN


Exemptions and concessions on machinery and equipment, capital and net profits

Exemptions on agricultural imports-tools, equipment, machinery, pharmaceutical, animal feeds, seeds for boosting food and cash crop production

Land can be provided by Government and Local authorities for investment in priority sectors like General investments in agriculture other than forestry and paper wood- not exceeding 30 year for foreign investors, forestry plantation-exceed 60 years subject to renewal by mutual consent, quarrying and mining-lifespan of the quarry and the mine.

The Investors are allowed to employ foreign managers

The Investors are entitled to entry, work permits etc

INVESTMENT OPPORTUNITIES IN SOUTH SUDAN

Presented by Uganda Consulate Juba- Southern Sudan

Government of South Sudan priority and strategic sectors for investment:

Agriculture and Agro-business Physical infrastructure Social infrastructure Mining, Quarrying, Energy , electricity, Petroleum and Gas Research on mapping of natural resources for economic use Forestry Medium to heavy manufacturing industries Transport, Telecommunication, print and Electronic Media, and

ICT Commercial banking, Insurance, Property management and

financial related services. Health and Pharmaceuticals services Tourism and Hotel Industry Development Presented by Migadde Habib, Uganda Embassy Juba- South

Sudan

MINING SECTOR


Cement Coal Gold Uranium Mercury Etc

FISHERIES SECTOR


• They have 13 million hectares fresh water• It has the potential for sustainable harvest for up to

300,000 metric tons of fish per year• Now, only about 30-40,000 metric tons of fish is

harvested yearly. A lot of this is destroyed and does not reach the market due to transport and preservation bottlenecks

Required Investments Fish processing factories Fish transportation facilities Fishing tools

AGRICULTURAL SECTOR


Growing of cash crops like tea, coffee, cotton, etc Organic farming for mass production Provision of Irrigation scheme and systems Forest products-Forests and woodlands cover 29% of the total area Meat processing-Number of cattle estimated to be 10 millions Animal and chicken feeds Breeding farms Construction of standard abattoirs Poultry farming Wood work Industries-abundance of timber Diary industry-Abundance of livestock Hides, skins and leather Industry Fruit processing-Availability of variety of fruits like mangoes and

pineapples in Western Equatoria

EDUCATION SECTOR


Private Universities Pre-Primary, Primary and secondary schools Technical/vocational institutions Schools for nurses and mid-wivesetc

CONSULTANCY


Capacity building Health related consultancy Business related consultancy Administrative related consultancy ICT related consultancy Agricultural related consultancy Housing Consultancy Any other Consultancy service

HEALTH SECTOR


Private Hospitals and clinics Pharmacy and pharmaceutical production

CONSTRUCTION SECTOR


Construction Materials Labour for construction Architectural services Tiles and brick laying Any other Construction related expertise.

TRANSPORT AND INFRASTRUCTURAL SECTOR


CONSTRUCTION OF ROADS, HOUSING FACILITIES, MARKETS, SHOPS AND OTHER COMMERCIAL FACILITIES.

RIVER TRANSPORT REAL ESTATES PROJECTS MECHANICAL ENGINEERING FACILITIES

INFORMATION COMMUNICATION

TECHNOLOGY ( ICT)


All ICT gadgets and related services are required

TOURISM SECTOR


Hotels, resturants, lodges etc Conference facilities Development of resorts Tour and travel business Horticulture and floriculture development

BANKING SECTOR


Commercial banking services Micro-finance services Financial advisory services Accounting and auditing services.

RENEWABLE ENERGY


Transformer and electric cabling manufacturing Supply and installations Wind power generation Exploration of hydrocarbons and petroleum Bio-fuel production Hydropower development on the River Nile and its

tributaries

CHALLENGES


Information distortion and un fair reports Poor roads though improving Poor Electricity Supply Problems with Conversion of Currencies. Multiple taxation Lack of storage facilities Criminal related activities starting from the source to

the market points. Limited access to information on investment related

issues in South Sudan

ADVANTAGES OF TRADING WITH SOUTH SUDAN.

Presented by Uganda Consulate Juba- Southern Sudan

Historical relationship-Uganda’s historical involvement in the liberation of South Sudan.

Proximity-Uganda is closer to South Sudan than other neighbours ,sharing borders and culture.

The market has no tarrif escalations/cascading tarrifs, techinical barriers to trade, sanitary and phystosanitary measures .

Availability of both air and road transport Higher returns on investments. Comparative advantage in agro produce and

other related services.


UGANDA’S BENEFITS FROM TRADE WITH SOUTH SUDAN

Increased export earnings. Increased Remittances from

Ugandans and South Sudanese Enhanced Cooperation Increased employment opportunitiesPeace and Stability

Presented by Migadde Habib Uganda Embassy Juba- South Sudan

RECOMMENDATIONS


• There is need for full operationalisation of the Bilateral Agreement and a Comprehensive investment strategy.

• There is need for export facilitation(export subsidies, Credit/loans to exporters, credit Guarantees etc)

• There is urgent need for orientation and sensitization of Ugandans about South Sudan.

• The access road of Gulu-Bibia has to be urgently work on to reduce on the cost of trade.

• Organised trade endeavours by both traders and Government.

• Information sharing and disemination• Ug. Government needs to lobby for more attractive

packages for Ugandan Traders.

CONCLUSION

It is important to note that there is need for a well thought Public and the private sector Comprehensive investment strategy in order to effectively exploit the enormous investment opportunities in South Sudan.


THE END

Contact Mr. Willy Mutenza

07790647089 in the UK or

contact Uganda Embassy, Juba-South

Sudan.

Email:

[email protected]

TeL: +249955503330Presented by Migadde Habib, Uganda Embassy Juba- South Sudan

mailto:[email protected]

Presented by Migadde Habib, Uganda Embassy Juba- South Sudan.

Documents

Transcript of Presented by Migadde Habib, Uganda Embassy Juba- South Sudan.