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NAMAYINGO: Gun Fire As Police, Indian Investors Clash Over Suspended Sugar Factory

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Tension has escalated in the Namayingo district as police fired live bullets and teargas to disperse irate workers and Indian investors who were protesting the suspension of the CN Sugar factory.

The Ministry of Trade, Industry, and Cooperatives had earlier suspended the factory due to the investors’ failure to create a nucleus estate.

A nucleus estate refers to a gig farm or factory that acts as the main hub for production. Around this central hub, some other smaller farmers or businesses supply raw materials or parts to the main operation.

The CN Sugar factory, which started its establishment in 2022, met a setback as Trade Minister- Francis Mwebesa, who had initially approved, suddenly halted the development on June 17, 2024.

On Tuesday, police, led by District Police Commander- Joseph Kamukama, stormed the factory premises to disperse the ill-fated workers who had gathered to collect their wages.

“I don’t want anyone here, works at this factory were halted. Why are people still turning up? I will not tolerate this nonsense, I am going to arrest all the Indian investors and the entire management of this place. It seems that is the language they will understand,” Kamukama stated.

Residents of Namayingo expressed outrage over the police’s move, accusing the ministry of obstructing vital developments in their area yet that the factory development had already started offering local employment opportunities.

Winnie Nabirye, a resident of Kifuyo, suggested that bribery was probably involved in the decision to halt the factory’s construction works.

CN Sugar factory manager, Rashid Kakungulu, condemned the police’s unreasonable force, noting that security employees at the factory were brutalised and arrested.

“Despite halting the activities, we maintained the private security in place to protect the multi-million equipment at stake, but the officers were disarmed, beaten, and arrested,” Kakungulu said.

In November 2022, Minister Mwebesa issued a certificate of no objection to CN Sugar Limited, allowing it to set up the manufacturing unit.

The investor proceeded with constructing the necessary facilities, which included a fringe wall, lagoons, a canteen, and an uploading device for the mill.

However, in a letter dated June 17, 2023, Mwebesa reversed his decision, bringing up the shortage of nucleus estate as the cause for halting the undertaking.

The suspension and subsequent police motion have left many people unpaid.

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