Published on 16/10/2025
As President Yoweri Kaguta Museveni continues his global outreach to attract investors and spur Uganda’s industrialization, certain detractors at home appear intent on derailing those efforts through blackmail and coordinated misinformation.
Victoria Sugar Factory in Luweero District has once again found itself the target of what company officials describe as “malicious and well-funded propaganda” allegedly orchestrated by rival sugar producers seeking to cripple its progress and scare off potential investors.

Recent reports published by a few unverified online outlets accused the factory of releasing thick smoke and soot, allegedly endangering the health of nearby communities. However, findings from sources indicate that these claims form part of a calculated smear campaign, financially backed by competitors in the sugar industry. According to insiders, these groups have been financing bloggers and sections of the media to circulate fabricated stories aimed at discrediting the fast-growing company.

Sources further revealed that small groups of locals are sometimes mobilized and paid to make on-camera accusations, ranging from coughing to crop contamination, claims which have never been supported by any medical or laboratory evidence.
It is worth recalling that when similar accusations emerged last year, the National Environment Management Authority (NEMA) sent a team of inspectors who, after a comprehensive assessment, cleared Victoria Sugar Factory of any wrongdoing, confirming that its operations were compliant with all environmental standards.
Despite this official clearance, the negative publicity has persisted, raising questions about the true intent behind these repeated attacks on an enterprise that has invested billions of shillings in advanced production systems and community development initiatives.
A senior source within the company disclosed that one of the media houses involved has allegedly been receiving a monthly payment of approximately Shs1 million to consistently publish negative stories about the factory.
“This is economic sabotage in disguise,” the source remarked. “While the President is abroad promoting Uganda as a destination for investors, some unethical bloggers are working to destroy what others are building.”
In an exclusive interview on Monday, Ms. Mbaiza, the company’s Human Resource Manager, said Victoria Sugar Factory has endured a sustained wave of falsehoods aimed at tarnishing its image and undermining public confidence.
“We have provided hundreds of jobs to the people of Luweero, improved livelihoods through various corporate social responsibility programmes, and adhered to all environmental regulations,” she stated. “We urge members of the media to be partners in development—not instruments of destruction.”
Ms. Mbaiza further appealed to authorities and regulatory agencies to investigate what she described as an emerging pattern of economic sabotage disguised as journalism, warning that it threatens investor confidence and national development.
“Uganda’s liberalized economy thrives on healthy competition, not blackmail. The President’s effort to market Uganda as a safe investment destination will be in vain if we allow such unethical acts to continue unchecked,” she added.
Meanwhile, residents of Ndibulungi Village, where the factory operates, continue to commend the company for transforming their community through infrastructure upgrades, job creation, and social support programs.
As calls intensify for responsible journalism, economic analysts caution that turning the media into a weapon for corporate rivalries not only harms businesses but also damages Uganda’s reputation as a welcoming destination for investors.