Uganda has taken another significant step towards strengthening local manufacturing and improving healthcare delivery following plans by ELSTOP (U) Limited to establish a USD 50 million Reagent Manufacturing Facility within a proposed medical industrial park dedicated to the local production of essential health and laboratory products.
The development was discussed during a high-level multi-stakeholder meeting chaired by the State Minister for Privatization and Investment, Hon. Hajjat Aminah Mukalazi, who welcomed the investment as a major boost to Uganda’s healthcare and manufacturing sectors.
ELSTOP Healthcare Solutions is a medical devices and diagnostics company that delivers large-scale healthcare projects across Uganda. The proposed medical industrial park will focus on manufacturing laboratory reagents and other essential health products locally, reducing Uganda’s dependence on imports while improving access to affordable healthcare supplies.
During the meeting, Hon. Mukalazi tasked the Uganda Investment Authority (UIA) to coordinate the provision of the necessary infrastructure and social amenities required to support the industrial park. She noted that land has already been secured in Seeta, Mukono District, where the facility will be established.
The Minister emphasized the importance of attracting anchor investors to industrial parks, noting that such investments are critical for ensuring their sustainability, competitiveness, and contribution to Uganda’s economic transformation.
Speaking during the meeting, ELSTOP (U) Limited Managing Director, Mr. Yitzark Shemesh, said the investment will significantly reduce the cost of laboratory tests by enabling local production of laboratory reagents, which are currently imported at high cost. He added that local manufacturing will also save the country substantial foreign exchange currently spent on importing these products.
Beyond improving healthcare services, the investment is expected to generate approximately 6,000 jobs for Ugandans across manufacturing, logistics, research, and related value chains, contributing to employment creation and skills development.
Construction of the first phase of the project is expected to take 12 months, marking the beginning of what is anticipated to become a strategic healthcare manufacturing hub for Uganda and the wider region.
The proposed investment aligns with the Government of Uganda’s commitment to promoting local content, increasing value addition, attracting quality investments, and expanding domestic manufacturing capacity. By producing essential medical and laboratory products locally, the project is expected to strengthen healthcare resilience, improve supply chain security, reduce import dependence, and position Uganda as a regional centre for medical manufacturing.
The ELSTOP investment demonstrates growing investor confidence in Uganda’s business environment and reinforces the country’s ambition to become a preferred destination for strategic, high-value investments that create jobs and drive sustainable economic growth.
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