CN Sugar factory commissioning faces regulatory dispute in Uganda

A regulatory dispute has emerged in Uganda regarding the planned commissioning of CN Sugar Limited’s factory in Namayingo District. Prime Minister Robinah Nabbanja has scheduled the commissioning for September 4, 2026, following a directive from President Yoweri Museveni to promote industrialisation and employment.

However, the factory’s licensing process remains incomplete. Minister of Trade, Industry and Cooperatives Sanjay Tanna noted that CN Sugar’s application to the Sugar Industry Stakeholders Council is still undergoing review. This timeline creates a potential conflict between the government’s push for industrial investment and the legal requirement for proper regulatory oversight.

The controversy is compounded by a previous High Court ruling which found that prior permissions issued to CN Sugar by the Ministry of Trade were unlawful. The court determined that under the Sugar Act, the authority to license sugar mills rests with the Uganda Sugar Board rather than the Ministry of Trade. Consequently, the planned commissioning faces scrutiny over whether the company will secure the necessary legal permits before the scheduled event.