Charles Madibo Wagidoso 55, is Uganda’s Ambassador to China. China’s increased interest in Uganda’s key industries such as oil and energy places his mission as the most vital link between Uganda and Foreign Direct Investments from Asia. During his seven-year tenure, the trade volume between Uganda and China has increased from $50m in 2002 to $405m in 2012. Red Pepper’s ARINAITWE RUGYENDO tracked him down in Beijing for a chat about what kind of opportunities exist in China for Ugandans.
Rugyendo: How long have you have resided at this mission?
Wagidoso: I have stayed here for six years.
Rugyendo: What’s the core mandate of this mission?
Wagidoso: This mission is classified in the missions under commercial diplomacy category where the main focus is to promote tourism and economic development. China happens to be a very fast developing country, which produces products at highly competitive prices affordable for Africa. China is positioned as the biggest single national market for any product in the world. So, our core business here is more commercial.
Rugyendo: What have you achieved in this area?
Wagidoso: Oh! So much! When we took over the biggest foreign direct foreign investor was the United Kingdom. Today, Chinese are the biggest foreign direct investors in Uganda to the extent that they have established their own industrial park in Mbalala, near Mukono Municipality. Initially, they wanted to do it at Namanve industrial park but an acre was costing very high so they moved to Mbalala where land was cheap. They are moving over the country and soon they are establishing the biggest tannery factory in Jinja.
In trade, In 2002, the trade volume between Uganda and China was $50 million, but now it is $405 million. The inly problem here is that it is heavily skewed in terms of imports. Our challenge is to focus on exports. The ratio is 1-10 in favour of China.
Rugyendo: What are we importing from China?
Wagidoso: Hardware, textiles, machinery and plant equipment. This year the bulk of it will be machinery because government will be empowering all local governments with road units.
Rugyendo: Then what are we exporting?
Wagidoso: Our exports are mainly hides and skins, coffee, fish and fish, cobalt, some cotton and timber.
Rugyendo: If I want to export to China, what more opportunities do I have?
Wagidoso: China has offered Uganda and the African continent an export window for about 440 products, quota-frees! These products are largely primary products like unprocessed foodstuffs. This of course poses quality challenges which must address but it is up to the export promotion people down in Uganda to show the masses how they can benefit. The opportunity is huge. One Ugandan- I think Mr. Tom Mugenga, has passed the tests and will be exporting tonnes of potatoes to China very soon. Other Ugandans can learn from him and grab the opportunity.
Rugyendo: But how come other Ugandans do not know this?
Wagidoso: I think it is all about our internal constraints. We have an export promotion agency, which must increase awareness among Ugandans about available markets but they are constrained. They need logistical support. The only budgetary support available caters for salaries. Therefore, Ugandans do not know where to sell their products. The other challenges are lack of capacity in terms of financial resources, availability of available products to sustain permanent supply and poor farming methods, which are still subsistence. We have very few commercial farmers in Uganda who can even maintain consistent supply volumes and consistent supply of the right sizes. I recall there was a Ugandan who went to Iran was granted a contract to supply 10,0000 goats per year of a particular quality. He got excited but failed to raise them. Mobilization became difficult. The people in agriculture come up with good slogans like modernization of agriculture. They talk big but on the ground, the situation is different.
Rugyendo: Are there other ways we can benefit from this giant?
Wagidoso: The good thing is that Uganda’s cash cows are still in tourism and agriculture. If we can develop this and build access roads, we are good to go. Even with Rwanda, which has nothing but has ably promoted their tourism, the Chinese have come to believe that mountain gorillas are found in Rwanda. This is all because of good promotion. China has 1.2 billion people. If we had something to offer to them, tourism would be a good bet. We have opportunity to promote tourism in China but we don’t have the resources to promote it.
Rugyendo: What can China teach Uganda about how to get things right?
Wagidoso: There is something Uganda can learn from China’s development model. They have what they call ‘Socialism with Chinese characteristics.’ But in effect it is a mixed economy. Government does business and it engages in core deliverables where the private sector cannot go for the sake of its people. Things like communication, energy, water, strategic resources like oil and minerals etc.
According to them, any monopoly should belong to the government so that profits are ploughed back for strategic development instead of flying out of the country like what is happening in Uganda. They do this to protect their people from sharks and exploitation. Two, the energy sector, which generates super normal profits, is in the hands of government. Every business that generates super normal profits, must be run by government. Any business that is of strategic importance to the country must be in the hands of the state such. If the Chinese had left everything to the private sector they would not be where they are. Uganda was practicing this type of economy in the 1960s and this is the time we are said to have developed faster.
The other thing is science and technology. China is now the biggest manufacturing base in the world. This is all because China takes deliberate steps to train their citizens in relevant courses that that are practical. Here, there are many universities but also thousands of technical institutes that train middle level technicians such as mechanics, plumbers, bar benders and wielders. When you look around Uganda, you can’t find competent middle level technicians. Most Ugandans want to go to university and just get a degree.
Rugyendo: Let’s talk about Ugandans in China. There are reports of Ugandan girls lured into sex slavery here. What’s going on?
Wagidoso: There has been a misrepresentation deliberate by people who want to con Ugandans telling them there are jobs in China. They facilitate their visas and one-way tickets and when they reach here, they get stranded. It is a ring done by some Ugandans and Nigerians especially ladies who end up here into prostitution. But let me say this; there are no jobs in China. Considering that China has a huge population, they obviously want to first employ their own citizens in low-level jobs. Ugandans should therefore take note of this. There are no low level jobs- Nkuba Kyeyotype of jobs- in China. You must possess certain special skills to work here.
Rugyendo: Skills like English?
Wagidoso: There was this hullaballoo about China inviting English teachers. Ugandans should now know this has been halted because the opportunity has been abused by some of our African people who reach here and start misbehaving and engaging in prostitution and drug trafficking. The Chinese are very serious people and they now opt for people who speak original English. Tell Ugandans to concentrate on business and trade because there are no jobs here and should not be deceived by anybody.
Rugyendo: What is the extent of this the problem especially drug trafficking?
Wagidoso: We have obtained a list of over 80 Ugandans who are in jail on drug-related offences. Some are facing death sentences while others are on life sentences. We have sent reports back to Uganda about this and we have since established that some of these Ugandans are used as conduits to transport the drugs.
Rugyendo:What have you done about it?
Wagidoso: We have sent our officials to visit them and interrogate them. But of course there is little we can because they must go through the judicial process here. What we have learnt from them is that they are used by some foreign nationals in Uganda especially Pakistanis and Nigerians. They are paid a fee to transport them. Part of it is paid upfront. We have lots of information and we have forwarded it to relevant authorities in Uganda to see how they can coordinate with Chinese authorities and see how to go about it. We have also informed China that these are young men who are just victims of economic circumstances and therefore should be treated with some level of lenience. We hope to get many of them have their sentences repealed depending on their behavior in prison.
Rugyendo: How about the young girls in forced prostitution?
Wagidoso: As for these girls, their numbers are unknown because they adopt different names when they arrive here. It is only when they end up in trouble that they surface here. But there are those who genuinely come believing they are going to be given jobs and when they reach here they are told to prostitute. Some come here and tell us the truth. There is even one who came here pregnant and delivered. We helped her return home.
It is a racket that involves some people in Kampala and a certain group of old ladies in China. We have informed the Chinese embassy in Uganda that we are surprised how they deny visas to bonafide people but easily give to young girls. At Beijing airport it is now difficult if you are a young girl coming to China. You must really prove that you are coming for genuine reasons. This is one of the measures to control it. We have also enlisted the International Organisation for Migrations (IOM) to help us here and also work on their repatriation.
Rugyendo: Who is in this racket?
Wagidoso: There is a company which I will not name because we are investigating it but it is involved. It is run by a senior army officer. There are also travel agents on our radar. These are the ones issuing tem with fake tickets which don’t allow them to return once they discover they have been duped. We are working on this problem.
Rugyendo: Most Ugandan missions abroad are in a sorry state. Yours is different. Why?
Wagidoso: I think there are two aspects to foreign missions. There is budgetary support and Leadership at the mission. Even with resources, if the leadership is poor, everything will not work. With few resources and a good leadership you can succeed. So, here we try to maximize and create a good image. An embassy is the image of the country. First impression matters.
When I arrived here, we had two computers. I made sure that every officer including the local staff who are working had computers. You cannot believe that a mission in the midst of cheap commuters had two computers. We continued to improve and because of that we have won two presidential awards in both 2008 and 2010 as best export mission.
Rugyendo: How much does your mission receive from the budget?
Wagidoso: We get 1.5bn a year and 50% of that is rent, 40% is salaries and allowances and 10 % for medical and almost zero for operations. That is why in some foreign missions, people just go there and sit.
Rugyendo: Are you married?
Wagidoso: Yes. I am married with eight beautiful daughters.
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