Kitone Mattress Factory Limited, the only mattress factory in Kyotera, Rakai district has closed down, more than a year after started experiencing financial troubles.
Kitone Mattress Factory is owned by Kiteredde Catholic Brothers.
Last year the factory, which had been producing Kitone mattresses and supplying them around the country, suspended daily production amid financial meltdown.
URN has learnt that the factory suspended production due to increasing taxes on raw materials such as synthetic fibres used to produce mattresses and cushions.
Early this year, Kitone Mattress Factory resorted to producing once a week until last month when it finally bowed out of business. An estimated 90 casual workers were let go by the factory that could no longer pay them.
On Monday a URN reporter found the factory, which used to be a beehive of activity closed, with only one official who declined to be named, on the premises.
Brother Patrick Mishati, the factory’s managing director who was not on site told URN by phone, that they closed down to carry out evaluation. He however refused to comment on what forced its closure saying they don’t want it published now.
Brother Mishati explained that since they are still carrying out investigations, revealing specific details would jeopardize them.
However, Rakai residents say the closure of this factory has seriously affected them.
Rashid Ssenyonga, the Kyotera town council LC3 Chairman, says the closure of this factory has rendered an estimated 90 people jobless. Ssenyonga claims that some of the youths who used to work there have become a security concern to the authorities.
Ssenyonga claims that the council has recorded five cases of burglary in the town council with traders suspecting jobless youths to be behind the robbery.
URN could not verify this claim since Patrick Mayikula, the officer in Charge of Kyotera Central Police, said they have not arrested any suspects in connection with the burglary.
Deo Lubega, a resident of Bikira near the closed factory, says he used to transport employees to this factory on his boda boda motor bike but now that assured earning is gone. He claims that he used to make about UGX 10,000 daily from just transporting employees to this factory but he can no longer make that money.
Lubega has asked Government to intervene and help this factory re-open if it has no funds so that people can get jobs.
