Uganda Profile
PELUM Uganda held a two-day capacity building workshop for its member organisations on understanding the national and global market dynamics and their implications on agricultural development and small holder farmer livelihood. The training was attended by 27 member organisations.
PELUM Uganda took advantage of the workshop and launched a book that was compiled after the study whose theme was Ensuring the protection of agriculture and small holder farmers in the EPA negotiations: A case of special safeguard mechanisms.
A policy brief and fact sheet were also published and translated into three major local languages; Luganda(central/ East) Runyakitara (South/west) and Luo (North). This was intended to make the publication user friendly to farmers and community based organisations across Uganda. Several copies were given out to member organisations basing on their areas of operation and major language spoken by their target group.
The study launch also attracted policy makers from ministry of industry and trade, civil society organisations, farmers and Media; the launch was reported by 2 radio stations (KFM Radio One) and 1 major TV station (Uganda broadcasting corporation).
The study was commissioned by PELUM Uganda thematic committee on trade in July 2009, to analyse the situation of farmers and small domestic industries in the ongoing Economic Partnership Agreements and how they could be protected using the special safeguard mechanism. Specific objectives of the study were;
| 1. | To analyze the impact of EPAS on smallholder farmers. |
| 2. | Analyze the existing special safeguard mechanism and identify the existing gaps in the current safeguard mechanisms. |
| 3. | Point out relationship between Special Safe Mechanism and farmers livelihoods |
| 4. | Highlight possible outcomes if the issue of SSM is not well addressed |
| 5. | .Give alternative recommendations of SSM that will work well for smallholder farmers |
The study among other factors revealed that the existing protective mechanism under the WTO is not for use by Uganda and in any case its very difficult to use them as they require a country to prove a linkage between the increase in the imports an the fall in the in the prices of that product. Proving this linkage requires rigorous data collection of which Uganda lacks the institutional capacity to collect such data. Moreover the nature of agriculture in Uganda which is characterized by many scattered small scale farmers makes data collection very difficult.
Since Uganda had drastically reduced or abolished most of the tools that normally protect the agricultural sector such as tariffs, marketing boards and quantitative restrictions eliminated under the SAPs, agriculture and the small scale farmers have become increasingly vulnerable. Therefore the need for a safeguard mechanism that is usable is very urgent.
The small scale farmers have to advocate for a simple and usable safeguard mechanisms to protect their livelihoods. Such safe guard mechanism should have the following qualities;
- The mechanism should be available to all agricultural products, given the volatility of the agricultural markets.
- The mechanism should be triggered when the volume of that particular product increases beyond a certain agreed point and when the prices drastically reduce. Countries should not be required to prove injury to the domestic industry before using the mechanism.
- The remedial action should be proportionate with the depth of the imports surge or the fall in prices; the higher the increase of imports above the trigger the higher the additional duty that may be imposed.
- The duration of measures should depend on the existence of the existence of the problem; the measure should be used until the production of that commodity is back to normal.
- Economic partnership agreements are intended to create free trade areas between EU and ACP countries, while hyped with the best way forward in enhancing ACP participation in world global trade organizations framework, they are viewed with mixed feelings by many in Africa due to lack of transparency and a powerful inclination to impose EU trade and investment interests in Africa.
- Although a partnership with EU is desirable, the basis of this proposed partnership neither ensures the protection of the rights of citizens or the sovereignty of the state, nor does it respect the provisions set in the Cotonou agreement that; no country should be worse off as a result of such partnership. The principle of reciprocity undermines this provision as it will lead to unfair competition between the heavily subsidized EU agricultural commodities and those of smallholder farmers in Africa leading to loss farmers livelihoods.
- Regardless of the above likely consequences, the area of special safeguard mechanisms has not been well attended to; there are no strict measures to protect the smallholder farmers and other young industries from heavily subsidized products from the developed nations.
- The study launch and training increased the understanding and appreciation of local and international trade issues to socio economic development and specifically the livelihoods of smallholder farmers to Member organisations, policy makers, farmers, media and the general public. Therefore, there is need to further lobby for protective measures for farmers, small industries and the general national economy in the ongoing EPA negotiations and other regional trade agreements.
- Find PELUM Uganda EPAs Study Report, EPAs Factsheet and EPAs policy brief.
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