Uganda’s Presidential Advisory Committee on Exports and Industrial Development (PACEID) recently announced its partnership with the Technology Associates & CargoX Consortium (TA-CargoX) to develop TradeXchange.
TradeXchange is a national trade facilitation platform for exporters expected to be a game-changer for Uganda’s export trade landscape. This partnership is particularly significant when looking at Uganda’s current export statistics.
As per the Bank of Uganda, Ugandan exports increased by an impressive 93% from Sep 2022 (USD327 million) to Sep 2023 (USD632 million).
In addition, Fitch Solutions has revised its estimate for Ugandan real GDP growth to 4.9% in 2022, accelerating to 5.9% in 2023 and strengthening further to 6.5% in 2024.
However, despite these positive figures, Uganda’s trade balance remains challenged by strong import growth, which is expected to accelerate to 8.8% in 2023 due to large infrastructure projects.
How TradeXchange can make a difference
This is where TradeXchange’s platform is expected to play a pivotal role as it is expected to assist in enhancing the export growth rate by improving efficiency and transparency in trade documentation and processes making the trade balance more favorable.
With secure and efficient trade processes, Ugandan exporters can expect reduced bureaucratic hurdles, faster turnaround times, and opening up new markets for Ugandan products which are crucial for competitiveness in the global market.
The collaborative effort of the PACEID and TA-CargoX partnership is not just about technological advancement but also about paving the way for Uganda to expand its market reach, enhance the value of its exports, and integrate seamlessly into the global trade ecosystem.
The anticipated doubling of export revenues reflects the immense potential of this initiative to transform Uganda’s economic landscape.
The confidence expressed by the deputy CEO of CargoX, Igor Jakomin, and VP of Business Development at CargoX, Vjeran Ortynski, that this platform will position Uganda at the vanguard of global trading nations, demonstrating their commitment to technological innovation and business transparency, is not misplaced.
TradeXchange can be seen as Uganda’s proclamation to the world that it is ready to lead by example in the digital age, showing that technology and collaboration can and will boost trade in ways that were previously unimagined.
This is not just a positive development, it is a revolutionary one that promises to redefine the landscape of international trade for Ugandan exporters and the nation’s economy at large.