Uganda is moving to strengthen its aquaculture industry and reduce dependence on imported fish feeds following the groundbreaking of a UGX 60 billion fish feed manufacturing factory by Masheda Foods in Buyala, Mpigi District.

The project, supported by the Uganda Development Corporation (UDC) in partnership with Operation Wealth Creation (OWC), is expected to increase local fish feed production, create employment opportunities and provide a reliable market for agricultural produce.

The groundbreaking ceremony was presided over by the Minister of State for Industry, Hon. David Bahati, who represented the Chief Coordinator of Operation Wealth Creation, Gen. Caleb Akandwanaho, popularly known as Salim Saleh.

The investment includes an aqua feeds manufacturing plant and a Black Soldier Fly processing facility, which will produce alternative protein ingredients for animal feeds using organic waste.

UDC has so far invested UGX 26 billion in Masheda, with a further UGX 30 billion committed towards the project, bringing its total planned contribution to approximately UGX 56 billion against an estimated project cost of UGX 60 billion.

Speaking at the ceremony, Bahati commended Masheda founder Esther Ampumuza for investing in local enterprise development and contributing to Uganda's industrialisation agenda.

He said local fish feed manufacturing was important because feeds account for approximately 60 to 80 per cent of fish farming production costs. Reducing the cost and improving the availability of quality feeds could therefore help farmers improve their profitability and expand production.

Bahati also encouraged Masheda to explore opportunities in regional and continental markets, particularly under the East African Community and the African Continental Free Trade Area (AfCFTA), promoting the philosophy of "Buy Africa, Build Africa."

UDC Board Chairperson Godfrey Ruhurira said the investment would strengthen Uganda's aquaculture value chain by connecting fish farming, feed production, processing and marketing.

He noted that Masheda already works with nearly 800 fish farmers operating more than 2,000 ponds, providing an existing network that could benefit from improved access to locally manufactured feeds.

The aqua feeds factory will have an installed production capacity of eight tonnes per hour, equivalent to approximately 33,600 tonnes annually. The capacity could eventually increase to 58,000 tonnes per year as demand grows.

The facility is expected to manufacture feeds for tilapia and African catfish, helping address the high cost and limited availability of quality fish feeds in Uganda.

Alongside the manufacturing plant, the Black Soldier Fly facility will process approximately 30 tonnes of organic waste daily into alternative protein ingredients for animal feeds.

The technology is expected to reduce dependence on conventional protein ingredients and contribute to lowering fish feed manufacturing costs. Masheda's investment in this technology is also expected to support more sustainable waste management by converting organic materials into useful commercial products.

The project will extend its benefits beyond fish farmers by creating demand for locally produced agricultural raw materials, including maize and soybeans. This is expected to provide additional market opportunities for farmers and strengthen linkages between agriculture and manufacturing.

According to additional project details reported during the groundbreaking, the factory is also expected to create at least 100 additional direct jobs, complementing the more than 300 people already employed across Masheda's businesses.

Masheda Board Chairperson Anne Esther Ampumuza said the investment would support farmers, create employment and promote environmentally sustainable industrial development.

The project builds on Masheda's existing involvement in aquaculture, including fish farming, processing and value addition. In August 2025, the Ministry of Finance reported the commissioning of the company's catfish processing factory in Buyala, highlighting its contribution to Uganda's aquaculture value chain and regional export markets.

The new fish feed manufacturing facility is expected to complement these operations by addressing one of the major challenges facing fish farmers: access to affordable and quality feeds.

The project represents another step in Uganda's efforts to promote local manufacturing, reduce imports, strengthen agricultural value chains and increase the competitiveness of its aquaculture industry.

With its planned production capacity, agricultural supply linkages and alternative protein technology, the Masheda investment could play an important role in expanding Uganda's fish farming industry and retaining more economic value within the country.