Saudi Arabian investors are setting up a $160 m full value-chain coffee factory in Uganda

By David Rupiny

A team of investors from Uganda and Saudi Arabia plans to set up the Luwero Coffee Park (LCP), an innovative strategy to retain the coffee value chain within Uganda, valued at $160 million.

The Luwero Coffee Project is part of the Value at Source Coffee Project run by Nonda Coffee, which aims to shift Uganda from an exporter of raw coffee to an exporter of high-value and branded coffee products.

The proposed park will be located on 21.8 acres of land in Nkonge village in Luwero District, 60 kilometres to the north of the capital Kampala.

It will integrate the entire coffee value chain: cleaning, grading, roasting, soluble and specialty grinding, packaging, branding, and export.

The facility will have:

  • A sophisticated coffee grading, high-volume storage, and management facility, ensuring bean consistency in meeting the highest quality standards.
  • An innovative instant coffee manufacturing factory, facilitating the production of ready-to-consume products.
  • A premium coffee roastery with a one-tonne batch roasting capacity, enabling the creation of high-quality roasted coffee.
  • A state-of-the-art packaging line capable of handling all coffee varieties produced at the park.
  • A standalone, self-sufficient finished product warehouse to maintain product integrity throughout the supply chain.
  • An iconic administrative complex housing management and all functional departments.

Together, these facilities will form a cohesive and efficient coffee processing ecosystem.

At operation, the park is projected to process 42,000 metric tonnes of coffee annually and generate up to $850 million in revenues.

The LCP is projected to create 1,500 direct jobs and 3,000 indirect ones, while integrating over 100,000 coffee farming households into a well-structured and reliable supply chain.

Targeted markets include Saudi Arabia and the wider Middle East.

On 18 February 2026, President Yoweri Museveni met the Saudi investors led by Ali O Alswayeh at State House Entebbe, and they discussed coffee value addition and downstream processing – key components of the Luwero Coffee Park.

In his remarks, the President said: “We have been working with Saudi Arabia for a long time, but we have not fully engaged to maximize our investment opportunities”.

The meeting agreed on the need for a shared commitment to investment-led growth, private sector development, and value addition as key drivers of economic transformation.

The discussions also focused on renewed commitment from both sides to deepen trade and investment cooperation, especially in agro-processing, industrial development, and market expansion.

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