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■ Dar es Salaam port will get a major boost from Uganda oil shipments if they shift from Mombasa

February 16, 2024

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Uganda is negotiating with Tanzania to import all of its oil products through Dar es Salaam port, which would mean an end to imports via Kenya’s Mombasa port, Uganda’s Energy minister told Reuters on Thursday.

Uganda has been dissatisfied with the longstanding system under which Ugandan fuel companies buy 90% of their supplies through affiliated firms in Kenya.

President Yoweri Museveni has complained this exposes his country to supply disruptions and high pump prices.

In response, Uganda announced in November it would hand over exclusive rights for supply of all petroleum products to a unit of global energy trader Vitol.

Uganda imported $1.6 billion worth of petroleum products in 2022, mostly originating from the Gulf.

Uganda currently imports 90% of its refined petroleum products through the port of Mombasa.

Kenya is lobbying Uganda to stick with Mombasa and not shift to the rival port of Dar es Salaam.