Kakira Sugar Works
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Kakira Sugar Works Limited, often called Kakira Sugar Works, is a leading sugar manufacturer in
Uganda Uganda, officially the Republic of Uganda, is a landlocked country in East Africa. It is bordered to the east by Kenya, to the north by South Sudan, to the west by the Democratic Republic of the Congo, to the south-west by Rwanda, and to the ...
, the third-largest economy in the
East African Community The East African Community (EAC) is an intergovernmental organisation in East Africa. The EAC's membership consists of eight states: Democratic Republic of the Congo, the Federal Republic of Somalia, the Republics of Burundi, Kenya, Rwanda, S ...
.


Location

The main factories of the company are located in the town of Kakira, in
Jinja District Jinja District is a district in the Eastern Region of Uganda. The town of Jinja is the district's main municipal and commercial center. Location Jinja District is bordered by Kamuli District to the north, Luuka District to the east, Mayuge Di ...
, Eastern Uganda. This location lies approximately , by road, northeast of Jinja, the nearest large town. Kakira is located approximately , by road, east of
Kampala Kampala (, ) is the Capital city, capital and largest city of Uganda. The city proper has a population of 1,875,834 (2024) and is divided into the five political divisions of Kampala Central Division, Kampala, Kawempe Division, Kawempe, Makindy ...
, the capital of Uganda and the largest city in that country. The coordinates of the main factory are:0°30'36.0"N, 33°17'24.0"E (Latitude:0.5100; Longitude:33.2900). In addition to the factories in Kakira, the company maintains a corporate office along 5th Street, in
Bugoloobi Bugoloobi sometimes spelled as Bugolobi, is a location in Kampala, Uganda's capital and largest city. It is a suburban neighborhood and some of the most valuable properties in Kampala are found here. It is among the most developed neighborhoods ...
, in
Kampala Kampala (, ) is the Capital city, capital and largest city of Uganda. The city proper has a population of 1,875,834 (2024) and is divided into the five political divisions of Kampala Central Division, Kampala, Kawempe Division, Kawempe, Makindy ...
Industrial Area, and offices and warehouses, in Kakira, Jinja and Kampala.


Overview

Kakira Sugar Works is the largest manufacturer of sugar in Uganda, producing an estimated 165,000 metric tonnes of sugar annually, accounting for about 47 percent of the national output in 2011. Kinyara Sugar Works in
Masindi District Masindi District is a Districts of Uganda, district in Western Region, Uganda, Western Uganda. Like many other Ugandan districts, it is named after its 'chief town' of Masindi, the location of the district headquarters. Location Masindi District ...
is Uganda's second-largest sugar manufacturer, accounting for about 31% of annual national output. Sugar Corporation of Uganda Limited (SCOUL), in
Buikwe District Buikwe District is a district in the Central Region of Uganda. It is named after its 'chief town', Buikwe, where the district headquarters are located. Location Buikwe District is bordered by Kayunga District to the north, Jinja District to ...
, accounts for about 17% of national production. The remaining 5% (about 15,000 metric tonnes annually), is produced by Sango Bay Estates Limited, in Sango Bay, Kyotera District.(See Annual Production & Market Share Among Uganda's Sugar Manufacturers) The sugar produced by the companies is marketed to the Eastern African countries of
South Sudan South Sudan (), officially the Republic of South Sudan, is a landlocked country in East Africa. It is bordered on the north by Sudan; on the east by Ethiopia; on the south by the Democratic Republic of the Congo, Uganda and Kenya; and on the ...
,
Democratic Republic of the Congo The Democratic Republic of the Congo (DRC), also known as the DR Congo, Congo-Kinshasa, or simply the Congo (the last ambiguously also referring to the neighbouring Republic of the Congo), is a country in Central Africa. By land area, it is t ...
,
Burundi Burundi, officially the Republic of Burundi, is a landlocked country in East Africa. It is located in the Great Rift Valley at the junction between the African Great Lakes region and Southeast Africa, with a population of over 14 million peop ...
,
Rwanda Rwanda, officially the Republic of Rwanda, is a landlocked country in the Great Rift Valley of East Africa, where the African Great Lakes region and Southeast Africa converge. Located a few degrees south of the Equator, Rwanda is bordered by ...
,
Tanzania Tanzania, officially the United Republic of Tanzania, is a country in East Africa within the African Great Lakes region. It is bordered by Uganda to the northwest; Kenya to the northeast; the Indian Ocean to the east; Mozambique and Malawi to t ...
,
Kenya Kenya, officially the Republic of Kenya, is a country located in East Africa. With an estimated population of more than 52.4 million as of mid-2024, Kenya is the 27th-most-populous country in the world and the 7th most populous in Africa. ...
and
Uganda Uganda, officially the Republic of Uganda, is a landlocked country in East Africa. It is bordered to the east by Kenya, to the north by South Sudan, to the west by the Democratic Republic of the Congo, to the south-west by Rwanda, and to the ...
. Kakira Sugar Works is the flagship business of the
Madhvani Group The Madhvani Group of Companies commonly referred to as the Madhvani Group, is one of the largest conglomerate (company), conglomerates in Uganda. The group has investments in Kenya, Uganda, Rwanda, South Sudan, Tanzania, the Middle East, India, ...
of Companies, the largest conglomerate in Uganda, accounting for over 10% of the gross domestic product (GDP) of Uganda in 2010. Kakira Sugar Works possesses its own social infrastructure : free schools for employees' children, roads, hospitals, staff housing...


History

In 1920, the ''Vithaldas Haridas & Company'', under the management of
Muljibhai Madhvani Mulji Prabhudas Madhvani (1894–1958), commonly referred to as Muljibhai Madhvani was an Indian-born Ugandan businessman, entrepreneur, industrialist and philanthropist. Born in India, he migrated to Uganda when he was only 14 years old. In 19 ...
, a twenty-six-year-old Indian-born Ugandan businessman, entrepreneur, industrialist and philanthropist, purchased of land, in Kakira, between Jinja and
Iganga Iganga is a town in the Eastern Region, Uganda, Eastern Region of Uganda. It is the main municipal, administrative, and commercial center of Iganga District. Location Iganga is located in Uganda's Busoga, Busoga sub-region. It lies approximate ...
, for the purpose of starting a sugar factory. Muljibhai later became the managing director of Vithaldas Haridas & Company. That sugar complex, later renamed Kakira Sugar Works, opened in 1930. By adding to the original parcel of land, through purchases, the company land holdings at Kakira, were in excess of , as of April 2009. The sugar manufacturing complex at Kakira employs over 7,500 people, according to the company website. In 1987, Kakira Sugar Works went through a $59.38 million rehabilitation program funded by the
World Bank The World Bank is an international financial institution that provides loans and Grant (money), grants to the governments of Least developed countries, low- and Developing country, middle-income countries for the purposes of economic development ...
and the
African Development Bank The African Development Bank Group (AfDB, also known as BAD in French) is a multilateral development finance institution, headquartered in Abidjan, Ivory Coast since September 2014. The AfDB is a financial provider to African governments and ...
. In 2000, the Madhvani group acquired 100% of Kakira Sugar Works' shares.


Ownership

Kakira Sugar Works is a (100%) subsidiary of the
Madhvani Group The Madhvani Group of Companies commonly referred to as the Madhvani Group, is one of the largest conglomerate (company), conglomerates in Uganda. The group has investments in Kenya, Uganda, Rwanda, South Sudan, Tanzania, the Middle East, India, ...
, based in Kakira, Uganda. The Group's shareholding is private and is not widely, publicly known.


Expansion and upgrade

, Kakira Sugar Works Limited had gone through a USh 191 billion (about US$75 million) factory expansion and upgrade. USh 76.5 billion (about US$30 million), was raised through a 10-year corporate bond on the
Uganda Securities Exchange The Uganda Securities Exchange (USE) is the principal stock exchange of Uganda. It was founded in June 1997. The USE is operated under the jurisdiction of Uganda's Capital Markets Authority, which in turn reports to the Bank of Uganda, Uganda's ...
, and the remainder was sourced from local banks. This upgrade boosted the factory's sugarcane crushing capacity to 7,500 tonnes per day. The co-generation capacity of Kakira Power Station, was also increased from 22 Megawatts to 52 Megawatts.


Ethanol production

In November 2016, Kakira Sugar Works started production of industrial-grade
ethanol Ethanol (also called ethyl alcohol, grain alcohol, drinking alcohol, or simply alcohol) is an organic compound with the chemical formula . It is an Alcohol (chemistry), alcohol, with its formula also written as , or EtOH, where Et is the ps ...
, distilled from
molasses Molasses () is a viscous byproduct, principally obtained from the refining of sugarcane or sugar beet juice into sugar. Molasses varies in the amount of sugar, the method of extraction, and the age of the plant. Sugarcane molasses is usuall ...
, produced as a by-product of sugar manufacturing. The ethanol distillery, was constructed by Praj Industries of
India India, officially the Republic of India, is a country in South Asia. It is the List of countries and dependencies by area, seventh-largest country by area; the List of countries by population (United Nations), most populous country since ...
, at a cost of USh 133 billion (US$36.6 million). The distillery is expected to process the 74,000 metric tonnes of molasses that the sugar mill produces annually, into of "fuel grade anhydrous ethanol".


See also


References


External links


Web site of Kakira Sugar Works

Profile of Muljibhai Madhvani At Newvision.co.ug


* ttp://www.ugandasugar.org/ Website of Uganda Sugar Cane Technologists’ Association (USCTA)
Madhvani Group In US$30 Million Bond On The USE
{{coord, 00, 30, 36, N, 33, 17, 24, E, display=title Jinja District Madhvani Group Ugandan brands Eastern Region, Uganda Sugar companies of Uganda 1930 establishments in Uganda Food and drink companies established in 1930