Shukla Mukesh Takes Over Nakawa Prime Plot, Announces Sh3 Billion Investment in Modern Car Bond & Group Expansion
By John Kusolo
Shukla Mukesh, the CEO of Shumuk Group, has announced a substantial investment of Sh3 billion in the development of a modern In-land Car Depot (ICD) Bond on a newly re-possessed prime plot in Nakawa, Kampala. This investment marks a significant expansion for Shumuk Group, reinforcing its presence and influence in Uganda's business landscape.
During a press briefing at Shumuk headquarters, Mukesh detailed the developments on the plot marked M-24/26 Mukabya Road, which had been embroiled in legal and ownership disputes for years. The plot's strategic location adjacent to the Shumuk factory and opposite City Oil enhances its value and potential for high-volume car business.
Historical Context and Legal Resolution
The plot had been a contentious site, with legal battles involving fellow businessman Drake Lubega and the family of the late Haruna Semakula. Mukesh affirmed that a new free-hold title, acquired from the KCCA lands division in 2015, resolved these disputes. He also confirmed reaching a compromise with Semakula's family, who were compensated to relinquish their claims, while court interventions prevented Lubega from claiming the land.
Investment and Development Plans
Mukesh announced that the plot, spanning close to three acres, has been cleared and prepared for the new developments. The planned ICD, named "Shumuk Car Bond," will be operated by Middle North Agencies Ltd., a Shumuk Group subsidiary. The facility will have the capacity to accommodate over 1,000 cars, aiming to revolutionize car trade in the region.
Mukesh emphasized the group's commitment to making cars affordable for the average Ugandan. The initiative includes flexible payment plans where customers can pay 10% of the car's value upfront and finance the balance through accessible terms. Partnerships with banks and financial institutions will support these transactions.
Strategic Vision and Business Expansion
Shumuk Group's investment is seen as a strategic move to tap into the growing automotive market. Mukesh highlighted the group's resilience and strategic planning as key factors in their sustained success. The car depot is expected to attract significant business, given its central location and the increasing demand for vehicles.
Diverse Business Ventures
Over the years, Shumuk Group has diversified its portfolio across various sectors, including aluminum products, tourism, forex trading, hospitality, dairy, and real estate. The group’s ventures include Shumuk Aluminium Industries, Shumuk Tours and Travel, Shumuk Forex Bureau, Shumuk Emerald Hotel, Springs International Hotels, and Shumuk Diaries. The group's real estate arm, Shumuk Properties Ltd., boasts significant assets like Shumuk House and various warehouses.
Economic Impact and Employment
Shumuk Group’s extensive operations employ between 1,500 to 2,000 people, contributing significantly to Uganda's economy. Before the COVID-19 pandemic, the group was one of the top taxpayers in Uganda, contributing up to $20 million annually to the Uganda Revenue Authority (URA).
Personal Journey and Philosophy
Mukesh, popularly known as Shumuk, is a seasoned businessman with an MBA from Makerere University. Despite numerous legal challenges, he has maintained his status as one of Uganda's wealthiest individuals of Indian origin. Mukesh attributes his success to consistency and focus on building strong, sustainable brands.
The Shumuk Group's latest venture into the automotive sector with the Nakawa car depot is poised to set new standards in the industry. By addressing affordability and accessibility, Mukesh aims to make vehicle ownership a reality for many Ugandans, thereby driving economic growth and development. This ambitious project underscores the Shumuk Group’s commitment to innovation and excellence in business.
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