Alcoholic beer market in Uganda

Earlier Report Observations

From 2018 to 2020, Uganda's alcoholic beer market volume grew from 278 M l to 341 M l. This expansion was initially driven by Nile Breweries' opening of a new $90.6 million brewery in Mbarara, which significantly increased production capacity using local raw materials. Consumer preferences also shifted towards beer as a social drink, and the emergence of craft beer and low-alcohol options began to stimulate demand. The COVID-19 pandemic lockdown in 2020 reduced on-trade sales, but a rise in off-trade consumption for home drinking helped stabilize the market.

Following a slight dip to 336 M l in 2021, market volume surged by 22% to reach 410 M l in 2022. This sharp growth was supported by continued production investments, including Nile Breweries' $20 million malting facility, and improved economic conditions like declining inflation that boosted consumer spending power. Concurrently, the drafting of the Alcoholic Drinks Control Bill 2023 introduced new regulatory discussions affecting sales and marketing practices.

In 2023, the market contracted to 359 M l. This decline coincided with parliamentary consideration of the stricter Alcoholic Drinks Control Bill, creating regulatory uncertainty that likely tempered consumption. The ongoing entry of new players into the craft beer segment continued to diversify product offerings but could not offset the overall market reduction during this period of legislative review.

Production alcoholic beer in Uganda

In kind, 2017-2020, M l

Top producers of alcoholic beer, 2017-2020

World map of production of alcoholic beer, 2017-2020

Uganda's alcoholic beer production increased for the second consecutive year. In 2020, the country produced 347 million liters, marking a modest year-over-year growth of 2.7%. Between 2017 and 2020, production rose by 2.2%, which translates to an annualized rate of 0.7%. The lowest production volume was recorded in 2018 at 287 million liters, representing the largest decline of 15.7% that year. In contrast, 2019 saw the largest increase of 18.0%.

Annual dynamics of production in Uganda in kind, 2017-2020, M l

In value, 2017-2020, M $ US

Uganda's alcoholic beer production value also increased for the second consecutive year. In 2020, output was valued at 297.9 million US dollars, indicating an 11.5% rise from 2019. From 2017 to 2020, production value grew by 51%, equating to an annualized rate of 14.7%. The lowest value was recorded in 2018 at 175.8 million US dollars, which saw the largest decline of 10.9%. The largest increase occurred in 2019 with a 52.0% jump.

Annual dynamics of production in Uganda in value, 2017-2020, M $ US

Exports alcoholic beer from Uganda

Exports in kind, K l

Alcoholic beer exports from Uganda increased for the third consecutive year. In 2020, Uganda exported 28 436 thousand liters, marking a 3.0% gain compared to 2019. Over the period from 2017 to 2020, exports grew by 49.1%, with a compound annual growth rate (CAGR) of 14.2%.

Annual dynamics of product's exports from Uganda in kind, 2017-2020, K l

From 2017 to 2020, the Democratic Republic of the Congo and South Sudan accounted for 92.4% of Uganda's total alcoholic beer exports in volume, while the remaining share was distributed among other destinations with smaller individual contributions.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Uganda in kind, 2017-2020

Exports in value, K $ US

Exported alcoholic beer values from Uganda increased for the third consecutive year. In 2020, exports reached 24 382 thousand US dollars, corresponding to an 11.8% year-over-year increase. Between 2017 and 2020, exports surged by 120.4%, equating to an annualized rate of 30.1%.

Annual dynamics of product's exports from Uganda in value, 2017-2020, K $ US

Over the 2017–2020 period, the Democratic Republic of the Congo and South Sudan were the dominant destinations for Uganda's alcoholic beer exports in value terms, jointly accounting for 92.7% of total flows, while the remaining volume was split among smaller markets.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Uganda in value, 2017-2020

Imports alcoholic beer to Uganda

Imports in kind, K l

Imported alcoholic beer volumes in Uganda increased for the second consecutive year. In 2020, imports amounted to 21 646 thousand liters, marking a significant gain of 49.4% year-over-year. From 2017 to 2020, imports rose by 19.2%, with a CAGR of 6.0%. The lowest volume was recorded in 2018 at 13 132 thousand liters, which saw the largest decline of 27.7% that year.

Annual dynamics of product's imports to Uganda in kind, 2017-2020, K l

Throughout 2017–2020, Kenya and the Netherlands clearly dominated Uganda's alcoholic beer imports in volume, jointly accounting for 86.1% of total flows, whereas other countries held much smaller shares.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Uganda in kind, 2017-2020

Imports in value, K $ US

Alcoholic beer import values in Uganda increased for the second consecutive year. In 2020, Uganda imported 10 260 thousand US dollars worth of alcoholic beer, constituting a solid increase of 22.2% year-over-year. Between 2017 and 2020, imports grew by 46.9%, equating to an annualized rate of 13.7%. The lowest value was recorded in 2018 at 6 364 thousand US dollars, which experienced the largest decline of 8.9%. The largest increase occurred in 2019 with a 32.0% rise.

Annual dynamics of product's imports to Uganda in value, 2017-2020, K $ US

In the 2017–2020 period, Kenya (46.7% of imports in value terms), the Netherlands (33.0% of imports in value terms), and Sri Lanka (13.9% of imports in value terms) led the structure of Uganda's alcoholic beer imports in value terms, together representing 93.6% of total flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Uganda in value, 2017-2020