§By Mercy Agumenaitwe,
Uganda’s largest retail outlet, Shoprite has confirmed that it is shutting down all its stores in Uganda, Madagascar, Malysia and other parts ourside South Africa.
Shoprite, is a South African largest retailer outlet owned by HRJJ Group, it set its first shop in Uganda in 2000 and has for the previous 20yrs expanded its branches to urban centres of; Lugogo Mall in Lugogo Kampala, Victoria Mall in Entebbe, Acacia Mall in Kololo and Village Mall in Bugolobi.
According to Shoprite management, they have been reviewing its long-term options across Africa over the past year as currency devaluations, lower commodity prices and high inflation have hit household incomes and weighed on earnings.
Management further disclosed that they forecast an up to 25.3% rise in annual basic headline earnings per share from continuing operations.
The 20yrs retailer shop joins a list of other business franchises like UCHUMI supermarket, Nakumatt and Tuskeys which have either exited Ugandan market or closed some of their stores in some parts of Uganda.
It is alleged that an increase in emerging of local retailer outlets such as Capital Shoppers, Quality Supermarkets and Mega Standard supermarkets has brought stiff competition that is eventually pushing foreign retailer shops out of the country.