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Mpanga Growers Tea Factory is one of the four (4) factories (Mpanga, Mabale, Igara and Kayonza) formerly owned by Uganda Tea Growers Corporation (UTGC). UTGC was established by an Act of parliament on 17th February 1966. The Factories were established to provide Field Extension services, good planting materials market tea for smallholder tea growers and protect their interests against competitors and in the end make them owners.

Mpanga Growers Tea Factory was constructed in 1971 partly and completed in 1976.  It came into operation in 1988. During all that time, it was called Mpanga Tea Factory while being managed by U.T.G.C (Uganda Tea Growers Corporation) till 1995 when the Tea Factory companies were privatized and growers allowed buying shares in the company.  The name changed to Mpanga Growers Tea Factory Ltd and now the factory is fully owned by the small holders.

In the year 2000, the smallholders paid for the 100,000 shares on offer and thereby became legitimate owners of the factory, which marked the end of privatization, and management reverted to the Board of Directors elected at the Annual General Assembly of the shareholders (tea farmers).

The company has a total of 800 registered out-grower farmers who provide the current level of tea production. 518 bonafide, 503 shareholders, 15 hirers MGTFL hires directly a total of 459 people employees who work directly in the company tea production areas. Mpanga Growers Tea factory is source of income to 800 families in Kabarole and Kyenjojo Districts. The number of people whose lively hoods depend on this Factory is more than 4700 people on assumption that an average family in Uganda Comprises of six people and including the employees of the Tea factory.