Traders’ Strike Boils Over as Nabbanja Adjourns Meeting Amid Detentions.
Prime Minister Robinah Nabbanja’s attempt to mediate between government and Kampala traders collapsed yesterday after emotions ran high over the detention of more than 15 traders arrested during the ongoing strike.
The standoff began when a police report confirmed that those arrested on the first day of the protests were still in custody. Furious traders refused to proceed with the meeting until their colleagues were released, forcing Nabbanja to adjourn the discussions indefinitely.
The protests, which have paralyzed business in Kampala’s Central Business District (CBD), stem from grievances over what traders call unfair taxation and unchecked competition from foreign nationals. Many accuse Chinese and Indian businesspeople of entering the country under the guise of manufacturers but later engaging in retail trade—an alleged violation of the Trade Licensing Act.
Inside the meeting hall, tensions boiled over into chants and demands for immediate government intervention. Hajji Issa Sekitto, Acting Chairperson of the Kampala City Traders Association (KACITA), accused the authorities of failing to unite the business community.
“We’re going through tough times, yet many refuse to acknowledge it. I hold the trade leaders accountable. Instead of uniting traders, they’re working to divide and break them apart,” Sekitto said.
On Sunday, the strike reached a fever pitch as thousands of traders shut down their shops, leaving much of Kampala’s CBD deserted. The uproar is linked to a new tax regime on textiles and garments, which took effect on July 1.
Under the revised policy, fabric imports are taxed at $2 per kilogram or 35% of value (down from $3/kg), while garment imports face $2.5 per kilogram or 35% (down from $3.5/kg). Although presented as a reduction, traders argue that the shift to weight-based taxation is crippling small businesses already struggling with thin profit margins.
Sekitto explained that the closures were a direct response to the revised system. “We’ve raised the matter with Parliament, Cabinet, and even the President, but there’s been no meaningful action,” he said.
Security forces were deployed across downtown Kampala early Monday to contain the growing unrest. With negotiations suspended and shops still closed, authorities remain on high alert as the strike gathers momentum and frustrations deepen.
