Africa-Press – Uganda. Sugarcane farmers across the Busoga Subregion have raised renewed concerns over the continued 5 percent deduction imposed on their cane deliveries by sugar millers—an action they say directly violates the Sugarcane (Amendment) Act, 2023, signed into law by President Museveni in May 2025.
The Amendment Act was enacted to strengthen cooperation between millers and growers and explicitly abolishes the 5 percent “trash levy”, a long-standing deduction justified by millers as compensation for non-cane material such as leaves and tops. The law also established a Sugar Industry Stakeholders Council, comprising a farmer majority, to oversee equitable pricing, regulate millers, and ensure fair sharing of revenue from sugar by-products such as ethanol, electricity, and bagasse.
However, farmers say the situation on the ground has not changed.
“Farmers celebrated when the Sugar Bill Amendment Act was signed, but we’re still concerned about millers deducting 5 percent from our deliveries despite the law abolishing it,” said Peter Mubiru, Chairperson of the Kamuli Out-Growers Association, during a Thursday briefing.
Mubiru argued that the so-called “trash”—which includes cane leaves, tops, and fiber—provides substantial value to millers, who use it to produce bagasse, electricity, ethanol, and other profitable by-products. He urged the newly inaugurated Council to prioritize the issue at its first official meeting on December 9.
“We demand a clear explanation from millers on why they continue to deduct this levy despite the Sugarcane (Amendment) Act, 2025, which aimed to protect farmers’ interests,” he said.
Farmers expressed disappointment in what they view as the government’s slow enforcement of the law.
“When we were in State House, we witnessed the President stopping the 5 percent deduction, but we don’t understand why sugar millers still deduct from farmers. We’ve looked into their profits, and still, they want to reduce the little we get from sugarcane,” said Juma Kalogo, a sugarcane grower from Jinja District.
From Kamuli District, farmer Farida Nakato called for unity among growers.
“Let’s unite and fight for our rights! We are the ones who work hard to grow sugarcane, so we should get a fair price,” she said.
Asuman Mweede encouraged growers to use the president’s current campaign tour in Busoga as an opportunity to raise their concerns.
“We have to stand with a common voice over issues affecting us regarding the sugar sector. The President is here, and we must use this chance to highlight the 5 percent trash issue,” he said.
In Luuka District, Lillian Nabirye emphasized the financial strain farmers face.
“We invest a lot in production but we’re paid peanuts, and on top of that, money is deducted for trash. When someone hears 5 percent, it sounds small, but we feel the pinch every time they deduct it from our hard-earned harvest,” she said.
The Sugar Industry Stakeholders Council, inaugurated on October 23, 2025, has been mandated to regulate and license mills, develop a national master plan for the sugar sector, and ensure fair pricing mechanisms.
President Museveni, speaking at a rally on November 19, reiterated that his directive abolishing the 5 percent deduction “remains in full effect.”
Despite this, farmers say the enforcement gap persists as sugarcane prices have significantly declined—from Shs240,000 per tonne in December 2023 to Shs120,000 per tonne today.
Farmers across Busoga are urging the Sugar Industry Stakeholders Council and the Ministry of Trade, Industry, and Cooperatives to enforce the law, investigate continued illegal deductions, and compel millers to comply immediately.
They maintain that ending the levy is essential for restoring farmer confidence and ensuring a sustainable sugarcane economy in Uganda.
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