Rice farming prospects in Uganda are considered as favorable, with most rice grown by either lowland (on wetlands or irrigated land) or upland (usually on hillsides and without flooding) farming systems. In respect of the first farming system – lowland rice farming; most Ugandan lowland rice is grown in the east of country because it has ample flat land and sufficient water resources. Such rice is produced mostly by large-scale1 commercial farmers, and some smallholder farmers (SHF). 

Uganda’s rural agricultural markets, like many in Africa, can be typically characterised by low farmer productivity. One of the primary reasons for this is that farmers have poor access to inputs and inadequate information on how to correctly use them, resulting in lower yields and, ultimately, reduced household income.In Northern Uganda (NU), low productivity causes farmers to produce low quantities of crops, making it difficult for processors and off-takers to obtain sufficient amounts of raw materials for processing in order to generate a steady profit.