Dei Biopharma establishes a state-of-the -art US$50M cassava processing unit in Kamuli.

Dei Biopharma, a pharmaceutical and biotechnology company, has commissioned a cassava processing plant in Namasagali in the Kamuli district. In a statement released on its website on Wednesday, November 19, the company said the facility required a $50 million investment. 

The unit will produce pharmaceutical-grade cassava starch, glucose, maltose, and other derivatives used in the manufacture of medicines, capsules, beverages, and food products. Its output will supply Dei Biopharma’s pharmaceutical plant in Matugga near Kampala, which already has 30 partially operational production lines, as well as export markets.

“Our decision to invest in starch production is strategic. It aims to make Uganda competitive in drug manufacturing by reducing dependence on imported inputs,” said Matthias Magoola, founder and CEO of Dei Biopharma.

The facility, to be commissioned by President Yoweri Museveni on November 20, 2025, will serve both as a lifeline for farmers and a cornerstone for local production of pharmaceutical ingredients. On the same day, President Museveni will also commission Dei Group’s organic fertilizer plant at Nansololo, also in Kamuli, also a project in the park.

The investment also creates a new outlet for producers, with a need for 500 tons of cassava per day. To secure raw material supply, the company has already integrated more than 3,000 farmers into its sourcing network across the Busoga, Bukedi, Lango, and Teso regions.

However, this non-food use of cassava may raise concerns. In 2024, the FAO warned that diverting food crops to bioethanol production (non-food use) could reduce the availability of staple foods on local markets, drive up prices, and make access more difficult for part of the population.

In this context, the challenge will be to balance rising non-food industrial demand with the need to guarantee sustainable household access to a staple crop essential for food security. According to the FAO, cassava production in Uganda averaged 2.2 million tons per year between 2019 and 2023.

Built to process 500 tons of cassava per day, the new facility will supply pharmaceutical-grade starch, glucose, maltose, and other derivatives to the company’s Matugga plant near Kampala, which already operates 30 production lines.

The Investment, one of the largest industrial deployments around a staple crop that produces an estimated 2.2 million tons annually, has already brought more than 3,000 farmers from Busoga, Bukedi, Lango, and Teso into its supply network.

Cassava is a central staple in Uganda’s diet, consumed alongside maize, potatoes, and plantains. Its high starch content makes it indispensable not only to households but also to manufacturers seeking reliable inputs for medicines, capsules, beverages, and food products.

One of the plants 

Dei Biopharma’s new unit brings a new level of structure and scale to this value chain, promising stable markets and year-round demand for growers in regions that have historically lacked predictable buyers.

With Dei Biopharma’s substantial raw material requirement and with other industries likely to follow similar raw-material sourcing strategies, experts note that Uganda’s cassava production will need to expand significantly to meet both household consumption and industrial processing needs.

Uganda’s cassava output averaged 2.2 million tons between 2019 and 2023. While adequate for current consumption patterns, this volume may quickly come under pressure if industrial uptake accelerates.

The situation calls for expanded cultivation, investment in improved cassava varieties, better extension services, and post-harvest technologies to raise yields and reduce losses