Uganda’s performance as an innovation
economy has been improving
consistently, particularly in comparison
with other low-income and SubSaharan
African countries. Since
2015, the Global Innovation Index
(GII) has ranked Uganda as an ‘innovation
outperformer,’ a title given
to countries that, over a number of
years including the two most recent,
have been identified as innovation
achievers and pillar outperformers.1
This laudable progress stems from
sustained economic growth coupled
with a commitment to private-sector
development and innovation policy
reforms.2 Though encouraging, this
nascent progress will translate into
real benefits for the broader Ugandan
population only if policy makers
understand and address specific constraints
in the innovation systems of
the agri-food sector—the largest sector
in the Ugandan economy.
Agriculture is the backbone of
Uganda’s economy, employing about
73% of the country’s labour force
predominantly in rural areas, but it
made up 27% of the country’s GDP
in 2014.3 Given that many households
in Uganda rely on agricultural
production for their livelihoods,
innovation in this sector can have
direct and potent welfare effects. This
potential is particularly striking given
that the Ugandan agri-food sector is
hampered by low productivity and
profitability. Annual growth in agricultural
output has also been lower
than expected, declining from 7.9%
in 2001 to 3% in 2014 and falling
short of the 6% growth target for the
per capita agricultural GDP set by
the African governments under the
Comprehensive Africa Agriculture
Development Programme.4
Increasing agricultural productivity
through improved technology
and production practices has been
a persistent priority at the national
level. To be effective, this priority
must prompt policy actions that
specifically and explicitly account for
the underlying innovation systems
that will ultimately generate real
productivity improvements.