In 2022, Uganda introduced a modularised curriculum for Technical and Vocational Education and Training (TVET) to advance Competence-Based Education and Training (CBET). This study examined trainers’ readiness to implement modularised CBET at Regil Vocational Training Institute (VTI). Specifically, it: (i) assessed the adequacy of human resources, infrastructure, and instructional materials; (ii) explored trainers’ competence and familiarity with the CBET curriculum and pedagogy; and (iii) evaluated readiness to apply CBET-aligned assessment practices. Using a qualitative action research design, data was collected from three focus group discussions with 19 trainers, key informant interviews, and structured learning-environment observations. Thematic analysis, following Braun and Clarke’s (2006) framework, guided interpretation. The findings show that although trainers met formal qualification requirements and demonstrated general awareness of modularised CBET, substantial gaps persisted in CBET-specific pedagogy, assessment literacy, ICT-supported instruction, and curriculum interpretation. Infrastructural limitations, including inadequate workshops, obsolete equipment, and minimal digital facilities, further constrained implementation. Assessment practices were inconsistently aligned to CBET principles, reflecting conceptual confusion and institutional misalignment between instructional and assessment regimes. Whereas previous studies have emphasised mainly trainer deficits, this study shows that CBET readiness in Uganda is primarily a systemic institutional capability issue. This issue is rooted in incompatible assessment regimes, insufficient digital and physical infrastructure, and weak organisational support structures. By combining Curriculum Implementation Theory and Institutional Theory within an action research design, the study offers a multi-level explanation for why modularised CBET reforms often fail to transition from policy to practice within TVET institutions. The study implies that improving CBET readiness requires strengthening not only trainer competence but also institutional systems, assessment structures, and organisational alignment. This highlights CBET readiness as an institutional ecosystem challenge rather than a trainer-level deficit.