Uganda’s gold exports surge in ’23

Uganda’s gold exports surged in 2023 despite facing US sanctions on a major processor within its borders, exceeding tenfold, according to Reuters citing data revealed by its central bank on Tuesday.

Emerging as a pivotal trading center for gold in the region, Uganda recorded a substantial increase in gold exports valued at $2.3 billion in 2023, a significant leap from $201 million reported in the previous twelve-month period, as per figures from the Bank of Uganda.

This notable escalation was likely driven by the establishment of new processing facilities, including a Chinese-operated plant such as Wagagai Mining Ltd located in eastern Uganda, suggested Stephen Turyahikayo, a researcher specialising in the mining sector within the Great Lakes region. “The substantial expansion likely stemmed from the increased capacity of the Chinese plant and potentially other smaller facilities,” he explained to Reuters.

Additionally, exporters took advantage of the temporary suspension of tariffs on gold exports in the preceding year, noted an official from the Ministry of Energy and Mineral Development, who opted for anonymity due to a lack of authorisation for public statements.

In 2022, the United States imposed sanctions on Alain Goetz, a Belgian entrepreneur, and a network of affiliated companies, including African Gold Refinery, a prominent gold refiner in Uganda. The U.S. accused Goetz of involvement in the illicit trafficking of gold from the Democratic Republic of Congo, a claim denied by Goetz.