The Republic of Uganda and the Republic of South Sudan share strong cultural, economic and political ties and are both member states of the East African Community. The case for the two countries to promote the commercial interests and welfare of their citizens, by engaging in open trade and enhancing mutual investment, is a compelling one; especially since both Uganda and South Sudan are landlocked, with almost 500km of border between them.
As one of the largest importers of Ugandan goods, South Sudan is a strategic trading and investment partner for Uganda. The trade between the two countries is both formal and informal, with the latter being more dominant. In 2020, Uganda exported $357M to South Sudan, and imported $32M from her northern neighbour; including from South Sudan, Precious Metals ($82.2M), Metals ($3.68m), and Chemical Products ($220k); and from Uganda Vegetable Products ($86.8M), Foodstuffs ($85.9M), and Transportation ($32.9M). In the last 8 years, Ugandan exports to South Sudan have increased at an annualized rate of 46%, from 17.3M in 2012 to $357M in 2020, while South Sudan exports to Uganda have increased at an annualized rate of 220%, from $7.79k in 2012 to $86.7M in 2020. This, not taking into account of the large volumes of informal trade that happens across our borders.
STRONG ECONOMIC TIES
Bi-lateral trade has benefitted both countries through employment creation and creating market access for agricultural and manufactured products, resulting in increased revenue for both businesses and the governments. The Elegu-Nimule-Juba route is the main transport corridor by road, with One Stop Border Posts at Nimule and Elegu. Uganda Airlines now operates 9 weekly flights direct to Juba, extending access for both Uganda and South Sudan.