As President Yoweri Museveni traverses the world courting investors to create jobs and accelerate Uganda’s industrial growth, a new wave of economic sabotage is brewing at home — driven by selfish interests hiding behind the mask of journalism.
In what appears to be a coordinated plot to frustrate Uganda’s investment climate, Victoria Sugar Factory in Luweero District has once again become the target of what company officials describe as a “malicious, well-funded propaganda campaign” engineered by rival sugar producers.
Over the past weeks, a section of unscrupulous bloggers and media outlets have circulated alarming claims that the factory emits dangerous smoke and soot, allegedly endangering residents’ health and crops. But fresh investigations by TheSpy Uganda reveal that these stories are part of a deliberate smear campaign financed by competitors in the sugar industry who seek to cripple the fast-growing company’s reputation and scare away investors.
Reliable sources within the industry disclosed that some rival producers have been mobilizing and paying small groups of locals to pose before cameras and make fabricated claims—ranging from coughs to polluted plantations—without a single medical or laboratory report to substantiate their accusations.
When similar allegations surfaced last year, the National Environment Management Authority (NEMA) promptly dispatched inspectors to the site. Their findings were clear: Victoria Sugar Factory fully complied with all environmental standards and was cleared of any wrongdoing.
Despite this official clearance, the propaganda machine has not relented. Instead, it has intensified, raising suspicion that the smear campaign is being sponsored to destabilize the company and distort Uganda’s industrial success story.
A senior company insider says one of the media outlets behind the negative reports allegedly receives a monthly retainer of about Shs1 million to sustain the attack.
“This is pure economic sabotage,” the source said. “While the President is out there working tirelessly to attract investors, some unethical individuals at home are undermining those very efforts for personal gain.”
In an exclusive interview, Victoria Sugar Factory’s Human Resource Manager, Ms. Mbaiza, condemned the smear campaign, calling it a deliberate attempt to cripple a company that has invested heavily in modern technology and community development.
“We have created hundreds of jobs for Luweero residents, built infrastructure, and complied with every regulation,” Mbaiza said. “It’s disheartening that some people choose to destroy instead of build. We urge the media to be partners in development, not tools of blackmail.”
She called on government agencies and security organs to investigate what she termed “economic terrorism” disguised as journalism, warning that if left unchecked, it could discourage genuine investors and derail national development goals.
“Uganda’s liberalized economy thrives on fair competition, not lies. The President’s vision of making Uganda a preferred investment destination will suffer if such unethical conduct continues,” she added.
Meanwhile, residents of Ndibulungi Village, where the factory operates, praised Victoria Sugar for transforming their area through jobs, infrastructure, and social programs.
Analysts now warn that the growing weaponization of the media for commercial warfare is not only damaging private enterprise but also tarnishing Uganda’s international image as a safe and welcoming investment hub.