Uganda’s manufacturing sector is attracting increased attention from regional investors, with more than 150 investors from 10 countries visiting local manufacturers as part of Equity Group’s 2026 Uganda Trade and Investment Roadshow.
The investors visited RZ Innovations Limited and its parent company, Royikems Industries Limited, to explore Uganda’s production capacity and opportunities for trade, investment and partnerships across the region.
The visit followed the launch of the trade and investment roadshow at the Marriott Hotel in Kampala on September 14.
Irene Irungu, Senior Manager of Trade Relations at Equity Group, said the initiative was developed in response to growing interest among businesses seeking opportunities to expand into other African markets.
“The journey started because of overwhelming demand from our customers who wanted to explore different parts of Africa,” Irungu said.
She said Equity was seeking to connect producers with buyers across its subsidiary markets and make it easier for businesses to access new customers and trading opportunities.
From motorcycle spare parts to manufacturing
RZ Innovations started out as a motorcycle spare-parts trading business in 2005 before the group moved into manufacturing.
Royikems Industries began manufacturing operations in 2013, while RZ Innovations was established in 2021 to produce motorcycle brake shoes.
The company has since expanded into motorcycle inner tubes and tyres and now employs about 650 people.
Its current monthly production capacity includes about 900,000 brake shoes, 600,000 inner tubes and 150,000 motorcycle tyres.
The products are sold in Uganda and exported to Kenya, Tanzania, South Sudan, Rwanda, Burundi, Malawi and the Democratic Republic of Congo.
The wider group also operates in other manufacturing segments, including consumer packaging through Five Star Plastics and polyurethane mattresses under the Goose Foam brand.
Recycling becomes part of the business
Mark Ssempijja, General Manager of RZ Innovations, said the company is increasing its use of recycling as it seeks to improve production efficiency and reduce waste.
The manufacturer collects scrap aluminium, which is melted down and used to produce components for its brake shoes.
It also uses recycled rubber in production and is planning to establish a dedicated rubber recycling plant.
The move is part of the company’s efforts to increase efficiency while making greater use of locally available materials.
Electricity remains a major challenge
Like many manufacturers, RZ Innovations continues to face challenges related to electricity supply.
Company management told the visiting investors that unreliable power can disrupt production and increase operating costs.
The company is investing in an additional power connection and is also exploring commercial solar power as an alternative and complementary source of electricity.
Dr Ishaka Buya, a Kenyan investor who was part of the trade mission, said renewable energy could help manufacturers improve reliability and control energy costs.
“Integrating commercial solar is a game-changer for high-demand manufacturers like RZ Innovations to stabilise factory operations and reduce overhead costs,” Buya said.
He said manufacturers could combine solar, the national grid and backup systems to maintain production during power interruptions.
Regional market offers growth opportunities
For RZ Innovations, expansion into regional markets remains a major opportunity.
The company already has a distribution network in Kenya and supplies products to several markets in East Africa and beyond.
Management said partnerships could help the company invest further in manufacturing capacity, renewable energy and distribution.
Other challenges raised during the engagement included foreign exchange fluctuations, transport infrastructure and the increasing cost of imported raw materials and logistics.
These challenges affect production costs and the ability of manufacturers to compete in regional markets.
Connecting Ugandan businesses to Africa
Equity Group’s trade mission is intended to connect businesses and investors across the markets where the financial group operates.
The initiative seeks to create opportunities for companies to access financing, technology, suppliers and new customers.
For Ugandan manufacturers, the engagement provides an opportunity to showcase locally produced goods to potential investors and buyers while exploring opportunities beyond the domestic market.
The visit to RZ Innovations also gave the investors an opportunity to see the scale of Uganda’s manufacturing sector and some of the challenges companies face as they seek to expand.
RZ Innovations said its next phase of growth will focus on increasing production, improving energy security, expanding recycling and strengthening its regional distribution network.
The engagement highlights the growing opportunity for Ugandan manufacturers to increase local production and supply goods to markets across East Africa.
