The country's natural environment provided good grazing for cattle, sheep, and goats, with indigenous breeds dominating most livestock in Uganda. Smallholder farmers owned about 95 percent of all cattle, although several hundred modern commercial ranches were established during the 1960s and early 1970s in areas that had been cleared of tsetse-fly infestation. Ranching was successful in the late 1960s, but during the upheaval of the 1970s many ranches were looted, and most farmers sold off their animals at low prices to minimize their losses. In the 1980s, the government provided substantial aid to farmers, and by 1983 eighty ranches had been restocked with cattle. Nevertheless, by the late 1980s, the livestock sector continued to incur heavy animal losses as a result of disease, especially in the northern and northeastern regions. Civil strife in those areas also led to a complete breakdown in disease control and the spread of tsetse flies. Cattle rustling, especially along the Kenyan border, also depleted herds in some areas of the northeast.

The government hoped to increase the cattle population to 10 million by the year 2000. To do this, it arranged a purchase of cattle from Tanzania in 1988 and implemented a US$10.5 million project supported by Kuwait to rehabilitate the cattle industry. The government also approved an EEC-funded program of artificial insemination, and the Department of Veterinary Services and Animal Industry tried to save existing cattle stock by containing diseases such as bovine pleuro-pneumonia, hoof-and-mouth disease, rinderpest, and trypanosomiasis.

Uganda's dairy farmers have worked to achieve selfsufficiency in the industry but have been hampered by a number of problems. Low producer prices for milk, high costs for animal medicines, and transportation problems were especially severe obstacles to dairy development. The World Food Programme (WFP) undertook an effort to rehabilitate the dairy industry, and the United Nations Children's Fund (UNICEF) and other UN agencies also helped subsidize powdered milk imports, most of it from the United States and Denmark. But the WFP goal of returning domestic milk production to the 1972 level of 400 million liters annually was criticized by local health experts, who cited the nation's population growth since 1972 and urgent health needs in many wartorn areas.

Local economists complained that the dairy industry demonstrated Uganda's continuing dependence on more developed economies. Uganda had ample grazing area and an unrealized capacity for dairy development. Malnutrition from protein deficiency had not been eliminated, and milk was sometimes unavailable in non-farming areas. Imported powdered milk and butter were expensive and required transportation and marketing, often in areas where local dairy development was possible. School farms, once considered potentially important elements of education and boarding requirements, were not popular with either pupils or teachers, who often considered agricultural training inappropriate for academic institutions. Local economists decried Uganda's poor progress in controlling cattle diseases, and they urged the government to develop industries such as cement and steel, which could be used to build cattle-dips and eliminate tick-borne diseases.

Goat farming also contributed to local consumption. By the late 1980s, the poultry industry was growing rapidly, relying in part on imported baby chicks from Britain and Zambia. Several private companies operated feed mills and incubators. The major constraint to expanding poultry production was the lack of quality feeds, and the government hoped that competition among privately owned feedmills would eventually overcome this problem. In 1987 the Arab Bank for Economic Development in Africa, the Organization of Petroleum Exporting Countries, the International Development Bank, and the Ugandan government funded a poultry rehabilitation and development project worth US$17.2 million to establish hatchery units and feed mills and to import parent stock and baby chicks.

Uganda's beekeeping industry also suffered throughout the years of civil unrest. In the 1980s, the CARE Apiary Development Project assisted in rehabilitating the industry, and by 1987 more than fifty cooperatives and privately owned enterprises had become dealers in apiary products. More than 4,000 hives were in the field. In 1987 an estimated 797 tons of honey and 614 kilograms of beeswax were produced.

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