President Yoweri Museveni on Tuesday launched the first phase of the Uganda-China Free Zone of International Industrial Cooperation project in Tororo.
The entire Sukulu Comprehensive Industrial Complex project will cost $620m (about Shs 2.3tn).
The project will be implemented three phases.
An office living base, mineral dressing plant, phosphate fertilizer plant, unbaked block plant, machine repair centre and a laboratory centre are part of the first phase.
The second phase will see a steel plant, glass plant, ferroalloy plant, tin smelting plant, shea processing factory, humic acid fertilizer, cement fireboard plant, and a wood factory put up.
Completion of the second phase is projected in July 2019.
By the close of 2020, the third phase will be complete.
This final will come with a phosphorus chemical plant, iron foundry and a medical glove factory.
Chinese company Guangzhou Dongsong Energy Group Uganda Limited will handle the investment project.
The Chinese company has also secured a mining lease of 21 years for the development of Osukuru Hills into an Industrial complex.
At the launch, Museveni praised the Chinese, saying their investment will end the importation of fertilizers.
“In 2013 Uganda spent $59 million importing fertilizers, now this importation will stop,” Museveni said.
“Therefore I am very grateful to the Chinese government for their cooperation. They not only support these money making projects, they also support infrastructure. These factories need electricity and the Chinese have supported us in that effort.”
The end of the project will come with at least 2,000 new jobs.