Shipping
HAPAG-LLOYD BREAKS GROUND IN UGANDA
December 2, 2024

Hapag-Lloyd has launched a new office in Kampala, the capital of Uganda, which offers excellent connections to five neighbouring countries in East and Central Africa.

 

The ocean carrier said the country, with its population of around 50 million, has become an attractive market on the African continent.

 

The Ugandan economy is also on the rise, with an expected GDP growth of 5.9% in 2024 but as a landlocked country with no direct access to the sea, it relies on neighbouring ports, such as Mombasa in Kenya and Dar-es-Salaam in Tanzania, to facilitate its international trade.

 

The Port of Mombasa handled approximately 200,000 TEU of exports in 2023, with 22% of the volume originating from Uganda, demonstrating the country’s significant role in the region’s trade flows.

 

Hapag-Lloyd said most of the cargo between Uganda and the ports is transported by trucks.

 

Apart from exporting its own commodities, Uganda's importance also lies in its role as a business hub for packaging and consolidating a diverse range of commodities that move throughout the region.

 

Key exports passing through Uganda include timber and dry hides from South Sudan, cocoa, minerals, timber from the Democratic Republic of Congo, and coffee from Rwanda — highlighting Uganda's growing impact on East African exports and its potential for facilitating trade across borders.

 

"Uganda plays a vital role in the export landscape of Africa and continues to see economic growth," said Lars Sorensen, senior managing director of Region Middle East at Hapag-Lloyd.

 

"Opening our office in Kampala is part of our long-term strategy to establish an early presence in emerging markets with high potential. With Kampala as our new hub, we can strengthen our position in the African market, improve service delivery, and better meet the needs of our customers both in Uganda and in neighbouring regions," he added.

 

The new Hapag-Lloyd office in Kampala will be led by Prashant Sindhwani and has five employees.