Rt. Hon. Rebecca Kadaga, the Second Deputy Prime Minister, on Wednesday, August 13, 2025, broke ground for the construction of a new climate-resilient and gender-inclusive market, in Elegu, Amuru District, which will bolster trade between Uganda and South Sudan.
Situated at Uganda’s northern gateway to South Sudan, this project, which is estimated to cost Shs41 billion, is more than just a market; it’s a strategic infrastructure initiative set to reshape regional trade and integration.
By formalising cross-border commerce and empowering local communities, the Elegu Market, which is to be built with funding from the government of Uganda and development partners from Denmark and the European Union, is set to have a profound economic impact on both Uganda and South Sudan.
Catalyst for Economic Growth
The Elegu Market is strategically positioned to unlock the economic potential of the Uganda-South Sudan border.
Historically, much of the trade between the two nations has been informal, which often leads to tax evasion, security risks, and a lack of official economic data.
However, the new market will serve as a hub for formal cross-border trade, which will significantly increase government tax revenue for both countries.
This formalisation provides a stable and predictable environment for businesses to grow, which in turn encourages greater investment and economic activity.
For Uganda, the market will create a reliable export channel for agricultural products and manufactured goods, while for South Sudan, it provides a structured and secure access point for essential imports. This increased trade volume will directly benefit both economies, creating jobs and driving prosperity.
As Kadaga eloquently put it, “Let us not just implement integration. Let us live it, feel it, and build it together.”
This sentiment perfectly captures the project’s goal of turning economic cooperation into a tangible reality for communities on both sides of the border.
Empowering Communities and Fostering Peace
A key feature of the new Elegu Market is its focus on inclusion. The design and operational framework are specifically tailored to empower marginalised groups, particularly women, youth, and persons with disabilities.
By providing dedicated spaces and a supportive environment, the market will help these entrepreneurs formalise their businesses and access new opportunities. This focus on inclusive growth is crucial for building resilient communities and ensuring that the economic benefits are shared widely.
Bolstering Peace and Security
Furthermore, the market’s development is expected to strengthen peace and community ties. Trade is a powerful tool for diplomacy, and a thriving, shared economic space can reduce tensions and build mutual trust.
As people from both nations interact daily for commerce, they build relationships that transcend borders, fostering a sense of shared destiny that is vital for long-term stability in the region.
Aligning with Continental Ambitions
The Elegu Market is a powerful symbol of East Africa’s shared future. Its establishment aligns perfectly with the goals of both the East African Community (EAC) and the African Continental Free Trade Area (AfCFTA).
By boosting formal cross-border trade and promoting economic integration, the market contributes to the vision of a unified and prosperous Africa.
The involvement of international partners like the European Union, Denmark, and Trademark Africa underscores the global recognition of this project’s importance. This is not just a local initiative; it’s a stepping stone toward a more integrated and economically vibrant East Africa.