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Lira Cotton Spinning Mill

Agriculture & AgribusinessHigh Priority

Cotton spinning mill in Lira to process Uganda's cotton into yarn and textiles. Supports the cotton-to-garment value chain and import substitution for textile products.

Investment Range

USD 44.34 Million

Expected ROI

18-25% annually

Timeline

24-48 months

Market Size

USD 350B (US textile market via AGOA)

Investment Overview

A cotton spinning mill in Lira District to anchor Uganda's cotton value chain. The project will process locally grown cotton into yarn and textiles, supporting the broader cotton-to-garment manufacturing ecosystem.

Lira is in Northern Uganda's prime cotton-growing belt with established supply of raw cotton. The mill will create significant employment in a region prioritised for economic development.

The project supports Uganda's AGOA trade preferences for duty-free textile exports to the US market, and regional market access through EAC and COMESA.

Key Investment Metrics

8% annually

AGOA + regional textile markets

2,000+ direct jobs

5-8 years

Government Incentives

10-year income tax holiday for exporters
Duty-free machinery imports
Industrial park benefits

Required Licenses & Permits

Manufacturing License
Environmental Impact Assessment
Export License

Risk Assessment

Key Risk

Cotton supply consistency, AGOA policy continuity

Contact Information

Uganda Investment Authority (UIA)

Plot 28 Kampala Road, UIA House, Kampala

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