Uganda has officially launched dairy exports to Algeria, marking a significant leap in the country’s international trade and agricultural development.
The first shipment, comprising 500 tonnes of whole powdered milk, was dispatched this week under a high-value agreement between the two nations.
President Yoweri Museveni confirmed the development in a message shared on X (formerly Twitter), linking the deal to diplomatic discussions held during his March 2023 visit to Algeria.
“During my visit to Algeria in March 2023, I had good discussions with His Excellency President Abdelmadjid Tebboune regarding Algeria’s interest in importing milk from Uganda. I am, therefore, happy to see the first shipment of whole powdered milk, starting with an initial batch of 500 tonnes,” President Museveni wrote.
The trade deal is expected to see Uganda supply up to 1.4 billion litres of milk to Algeria over several years, with an estimated total value of $500 million. It marks one of Uganda’s most significant bilateral trade achievements in the agricultural sector to date.
The Dairy Development Authority (DDA), Uganda’s dairy regulatory body, has been instrumental in executing the agreement. The DDA worked closely with Algerian counterparts to meet procurement and regulatory requirements, laying the groundwork for sustained trade flow.
The milestone comes as Uganda’s dairy industry experiences rapid growth. National milk production surged from 2.81 billion litres in 2021 to 3.85 billion litres in 2023—a 37% increase. Likewise, export revenues more than doubled, jumping from $102.6 million in 2022 to $264.5 million in 2023, according to official statistics.
The entry into the Algerian market is viewed as a strategic pivot, especially as Uganda seeks to diversify its export destinations beyond its traditional East African partners—Kenya, South Sudan, and Rwanda.
With Algeria’s large and growing demand for dairy products, the market offers a stable and lucrative outlet for Uganda’s surplus milk.
Despite facing periodic trade disruptions within the region, Uganda’s dairy sector has maintained its upward trajectory by exploring new markets and building international partnerships.
This new export deal not only boosts Uganda’s foreign exchange earnings but also strengthens ties between East and North Africa, signaling a new era in continental trade relations.
