Briefing Paper

Constraints and Opportunities for Small and Medium Sized Enterprises in Uganda’s Oil and Gas Sector

“Although Uganda has undertaken several strategic interventions since the oil discovery in 2006, specific interventions that promote local small and medium-sized
enterprises (SMEs) to invest in the oil and gas value chain remain a challenge. In particular, a gap exists on available
opportunities for SMEs to participate in the value chain, including potential business linkages and partnerships. In addition, there are constraints that deter their competitive
advantage. It is important to identify these constraints and convert them into opportunities to realise both the local
content and the national oil and gas policy objectives. In light of this, this study sought to determine the present actors within the oil and gas value chain, and also establish the potential opportunities and business partnerships between SMEs and large oil companies.Additionally, this research addresses an SMEs’ decisions and willingness to invest in the oil and gas value chain and likely constraints that may deter them from venturing into the oil and gas value chain.”