Enock Ndyamuhakyi | Tayari News
Kabale District has taken a significant step toward reorganizing roadside trade and strengthening its local revenue base, following a unanimous decision by the District Council to regulate the use of road frontage along major highways.
The resolution, passed during a council sitting on Thursday, March 26, 2026, targets trading activities along the Kabale–Mbarara and Kabale–Katuna highways. District leaders say the move is aimed at streamlining business operations along the busy transport corridors and bringing informal traders into a structured and accountable system.
For years, roadside vending has been a common feature along these routes, with traders selling agricultural produce, merchandise, and other goods to travellers. While the practice has supported many households, authorities note that the lack of regulation has resulted in revenue losses, congestion, and challenges related to order and sanitation.
Presenting the motion, Deputy Speaker and Southern Division Male Councillor, Ronald Ian Mugisha, told the council that Kabale District continues to face difficulties in generating adequate local revenue to support essential services such as road maintenance, healthcare, and education. He explained that although roadside trade contributes significantly to livelihoods, it has not been effectively integrated into the district’s revenue framework.
Mugisha said the absence of a structured system has allowed many traders to operate informally, limiting the district’s ability to collect market dues, licensing fees, and other forms of revenue. He warned that without deliberate intervention, the situation could continue to undermine the district’s financial sustainability.
Under the newly approved resolution, the district will establish and officially gazette designated revenue markets at strategic locations along the two highways. The identified areas include plots 19 to 25 on Mbarara Road, plots 141 to 145 near the Remand Home, and sections near Kabarebe hardware along the South-Western umbrella road.
Authorities say the creation of these markets will provide organized and secure trading spaces, improve traffic flow, and enhance the overall business environment. Formalising these trading zones is also expected to attract more customers, creating better opportunities for traders and farmers.
The motion further outlines plans to develop essential market infrastructure, including the construction of stalls and other supporting facilities. Funding for the development will come from the Discretionary Development Equalization Grant (DDEG), supplemented by locally generated revenue, in the 2026/2027 financial year.
Mugisha noted that improved infrastructure will make the markets more attractive and functional, encouraging traders to relocate from informal roadside spaces to designated areas. He added that better facilities will also promote hygiene, safety, and a more efficient trading environment.
In addition, the district plans to introduce a structured and transparent revenue collection system, where all payments will be receipted to ensure accountability and minimize leakages. The council also resolved to enforce compliance by restricting unlicensed roadside vending outside the designated market areas.
Leaders say enforcement will be conducted in a phased and consultative manner to avoid disrupting livelihoods, with sensitization campaigns planned to help traders understand and adapt to the new system.
Mugisha expressed confidence that the initiative will significantly widen the district’s revenue base through market dues, licensing fees, and user charges, while also improving the livelihoods of traders and farmers.
Meanwhile, the Chairperson of the Administration, Finance, Planning, Works and Technical Services Committee, Richard Mporera, welcomed the decision, describing it as timely and strategic.
Mporera noted that unregulated roadside trade has long posed challenges to urban planning and economic management, including disorder, unfair competition, and revenue losses. He said the establishment of designated markets will help bring order while supporting sustainable development.
He emphasized that the success of the initiative will depend on effective implementation, continuous stakeholder engagement, and strict enforcement of the new regulations. He also called on traders, local leaders, and the public to support the move.
The resolution marks a major shift in how Kabale District plans to manage roadside trade and local revenue collection, with leaders optimistic that it will create a more organized, safe, and economically productive environment for all.