Formal forest management in Uganda started over 100 years ago with the establishment of the Scientific and Forestry Department in 1898. The department had a mandate to carry-out research, but did not have a mandate to charge fees for forest products or collect revenue. By 1917, the name was changed to the Forestry Department and its mandate was expanded to include the production of timber and wild rubber and to engage in forest exploitation for profit and to supply the government with its own sawnwood requirements. These functions were later transferred to the private-sector in 1926.

In 1929, the first official forestry policy stated that Uganda’s forests would be managed to give the best financial returns and this objective was retained in the revised forestry policy of 1938. This policy remained in force until 1974. In 1974, the policy was revised to include a broader objective of increasing the economic use of the nation’s forests, but this policy was not implemented due to political turmoil. The last time that forestry policy was revised was in 1988 (see Annex 1).

Throughout this period, the various Forest Acts gave the task of setting and collecting forest charges to the responsible Minister. As a result of this, the collection of forest charges has been the responsibility of the Forestry Department and these charges have been collected from all forest areas except private forests. Until 1997, all forest revenue was remitted to the central government treasury through the Permanent Secretary of the Ministry. However, when the decentralised system of government was introduced in 1997, revenue sharing with local district administrations was initiated. Today, only 60% of the total revenue collected is submitted to central government and 40% is retained by local government.

The forest revenue system is currently being changed. The Forestry Department is to become a semi-autonomous body and all of its activities are to be funded directly from revenue collection. In addition, the revenue collection and sharing systems are currently being reviewed. The proposed date for launching the new forestry administration is July 2001. The reorganised Forestry Department should improve forest management through better revenue collection, leading to adequate direct funding for forest activities and better salaries for staff.