South Sudan has emerged as Uganda’s top export destination, surpassing Kenya, according to the latest data from the Bank of Uganda (BoU). The development marks a notable change in the region’s economic landscape and highlights the growing trade ties between Uganda and South Sudan.
In January 2025, Uganda exported goods worth $55.9 million (Shs206 billion) to South Sudan, representing a 54 percent increase from the previous month when the country exported goods worth $25.4 million (Shs94 billion). This surge propelled South Sudan to the top spot, pushing Kenya to third place.
Kenya, which had long been Uganda’s largest export market in the region, saw a slight decline in exports, with Uganda shipping goods worth $35.7 million (Shs132 billion) to Kenya in January, a one percent drop from the previous month. The Democratic Republic of Congo (DRC) took second place, with Uganda exporting goods worth $45.4 million (Shs167 billion) to the country in January.
Reacting to the sudden surge in exports to South Sudan, Mr. John Bosco Lwere, an international trade expert, said: “This is an abnormal trend. When you look at the major items that Uganda exports to South Sudan, there has not been a major change. We are still searching for the actual product that could have pushed up the numbers.”
Despite the uncertainty surrounding the specific products driving the surge, South Sudan has emerged as a major market for Uganda’s manufactured goods, including cement, sugar, fast-moving consumer goods, and cereals. These products are also exported to the DRC.
Experts say this shift is a significant boon for Uganda’s economy, which has been seeking to diversify its export markets. South Sudan’s growing demand for Ugandan goods, including cement, cereal flours, and raw iron bars, is expected to continue driving growth in bilateral trade.
“The growth in trade with South Sudan is expected to continue, driven by growing demand for Ugandan goods,” said Allan Ssenyondwa, the manager of policy and advocacy at the Uganda Manufacturers Association. “These exports are a shot in the arm for Uganda’s economy, and we’re thrilled to see our manufacturers making inroads into the regional market.”
The development is also a testament to the growing economic ties between Uganda and South Sudan, which have been fostered through various regional trade agreements and infrastructure development projects.
As Uganda expands its export base, countries such as South Sudan, DRC, and Sudan are likely to play an increasingly important role. Uganda’s exports to South Sudan have been increasing at an annualized rate of 12.2 percent from 2018 to 2023, with main products exported including cement, cereal flours, and raw iron bars.
In related news, Uganda’s exports to Sudan increased by 63 percent in January, with goods worth $15.2 million exported to the country. Coffee, tea, and spices are among the main products exported to Sudan, which is a leading coffee market destination in Africa for Uganda.
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