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Vegetable Oil Development Project (VODP)

Project Coordinator -  Ms C. Masaba    

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Project Profile

Sub-sector: Crops production and marketing    
Start date: 1998
Completion Date: 2011
Kalangala, Bundibugyo, Pallisa, Kumi, Soroti, Lira, Apac,       
Katakwi,Kaberamaido, Kapchorwa, Mbale, Sironko, Masindi, Gulu Kitgum and Pader    



The VODP project was formulated to support Uganda’s growth strategy of achieving poverty alleviation, increasing farmer incomes, generating employment opportunities and diversifying into new import substitution cash crops. It was approved by Parliament in April 1998, declared effective by IFAD/World Bank in July 1998 and launched in October 1998. 
The project was to be implemented under a Public Private Partnership (PPP) where government would support the small holder and out grower schemes (for oil palm development) and the private investor would establish a nucleus estate and palm oil mill. An agreement was signed between the GoU and a Private Investor (BIDCO Uganda Limited) in April 2003 for Oil Palm development in Kalangala. A nucleus estate of 6,500 Ha and small-holder plantations covering 3,500 Ha was the target.
Technical Description
The project has 3 components namely: Oil Palm, Traditional Oil Seeds and Essential Oils Development.
1.  Oil Palm
Oil Palm growing is under implementation on Bugala islands, Kalangala district. Oil palm development will be expanded to other areas such as Buvuma, Bugiri, Kibaale, Mayuge Mukono, Kayunga, Masaka, Kabarole, Hoima, Masindi, Jinja, and Iganga.
2.  Traditional Oilseed crops
VODP facilitates increased production and market access for rural farmers involved in growing traditional oilseeds such as sim sim, sun flower, ground nuts and soya bean.
These oil crops are grown in the areas of Lira, Apac, Soroti, Katakwi, Kumi, Pallisa, kaberamaido, Mbale, Sironko, Kapchorwa, Masindi, Gulu,Pader, Kitgum, Amolatar, Amuria, Bukwo, Manafwa, Amurur, Budaka, Bukedea, Dokolo and Oyam.
To address the challenges faced by traditional oil crops farmers such as lack of good quality seed, the project contributes to research in seed carried out by institutions such as NaCRRI and Makerere University (soya bean) and NASSARI (sunflower, sesame and groundnuts).
3.  Essential oil plants
Additionally, VODP supports the development of essential oils such as geranium, citronella, lemon grass, and Prunus africana. Essential oils are extracted from flowers, roots, stems or leaves of plants. They are used in the manufacture of body lotions, perfumes, and some medicines. Under VODP, citronella has been promoted in Tororo, Pallisa and Lira.
  • To expand the production of oil-bearing crops with particular emphasis on the participation of smallholders and private Sector processors.
  • Facilitate an enabling environment to attract private Sector investment in Oil Palm Development with a view to reducing imports of Vegetable Oil and effecting substantial savings in foreign exchange.
  • To reduce poverty and increase farmer incomes by involving small holder growers in oil palm industry.
  • Develop the potential for sunflower and other oil seeds and provide interested small holder farmers, particularly women with appropriate technologies to optimize the extraction of oil from these crops.
  • Improve delivery mechanisms and availability of credit and improved seeds. Improve efficiency and impact of supporting services through support for research and extension. Promote private Sector agro-industry investment through the introduction of industrial oil processing mills with high environmental standards.
  • Stimulate and support the development of the raw material base and know-how for the subsequent commercial extraction of essential oils.
  • Promote and facilitate the interaction between the interested parties through the creation of a National industry based and eventually industry financed consultative body that would advise government on the sub-Sector’s development priorities.



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