council has lost 600 million Shillings due to delays in finalising the construction of the Central Market. Construction of the 21 billion Shilling structure started in
February 2018 and was expected to be completed in January 2020. However, this has been
extended three times, the last ending this month.
construction of the market was awarded to Roko Construction Company Limited. About
1,000 Vendors that used to operate from the central Market located along Buremba
Road were placed temporarily at Independence Park along the Kabale Road on
July 1, 2017, to pave way for construction.
The Mbarara City Council Deputy Clerk, Richard Mugisha, says the delay has now cost them a
lot of funds that would have helped develop the city. He says
because the conditions at the independence park are not all that conducive they
suspended the daily taxing of the vendors.
“You know the market was owned by the council and we were getting a lot of money from for example rent. We used to collect more than 500 million Shillings every year and the
vendors were paying other daily dues. We had projected
100 million Shillings per year from taxes.
“actually we were…
Cue out…the daily dues.”//
the city local revenue has decreased from 8 billion to around 6.9
billion Shillings since all sources that surrounded the central market like
Taxi/Bus park used to feed to and from the market.
the costs, Mugisha says where the vendors are temporarily located now at
independence park has another project under Uganda
Support to Municipal Infrastructure Development (USMID) projects menu to design
and beautify it. He says the
delay to complete the construction has also affected the USMID project.
“so there is…
Muhammad, the chairperson of Mbarara Central Market Vendors Association says
they have also lost a lot of their business capital as customers have dwindled
with time. He says they
refused to pay taxes because their sales have decreased since they are facing
competition from street vendors and hawkers who refused to settle in the
“kugira ngu titurikuha…
Cue out…emidara omu streets.”//
Katambara, a vendor agrees that they don’t pay taxes but only pay garbage
collection feeS which they are also failing to pay because people have abandoned
“true we are…
Cue out…support our family.”//
wants the government to ask the contractor to compensate them for all the lost
time and sales. However,
Mugisha says before compensation is done a lot is needed to be undertaken
especially on the issues causing the delay.
He says the
delay in these circumstances has to be agreed upon depending on the reasons given by all
the stakeholders and the provisions in the contract where the contractor is unable
to finish within the stipulated time what happens and that’s why the life of
the contract is renewed.
“but the contract…
Cue out…constraints are understood.”//
Magyezi, Minister local government earlier said that they are looking at
whether to extend the contract again since the last extension of January 2021
has also expired.