Chinese ambassador to Tanzania, Mr Lu Youqing, and President John Magufuli
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He further assured that the strong relations with China would see Tanzania’s industrial sector’s contribution to Gross Domestic Product (GDP) rise to 15 per cent by 2020 from the current 8 per cent.
Dar es Salaam. The Chinese ambassador to Tanzania, Mr Lu Youqing, has called on the government not to fear about the cooperation between his country and Tanzania.
Mr Youqing noted over the weekend that through the strengthened cooperation between the two countries, Tanzania would realise its goal of becoming industrialised country.
He further assured that the strong relations with China would see Tanzania’s industrial sector’s contribution to Gross Domestic Product (GDP) rise to 15 per cent by 2020 from the current 8 per cent.
He was speaking in Dar es Salaam during a meeting which brought together top officials from the government and the Economic and Commercial Representation of the People of China in Tanzania. The meeting was a follow-up on China-Tanzania industry transfer and cooperation.
“I have confidence in Tanzania over the industrial cooperation with us due to its good geographical location, stability and economic growth over the past 10 years,” he said.
He noted that the poor infrastructure was one of the major challenges as Tanzania look towards to industrialisation.
Permanent Secretary in the ministry of Industries, Trade and Investment, Adelhelm Meru, said the ministry is currently focusing on improving business environment.
“Our aim is to create conducive environment for business competitiveness and minimizing dead weight costs associated with bureaucratic controls and slow processes,” he said.
He acknowledged that with support from China, the country will be able to emulate the development path of the Chinese industrialisation modalities and strategies.
He said the ministry is undertaking necessary reforms to reduce bureaucracy and to put in place an industry-friendly tax regime.
Although growth of manufacturing has outpaced economic growth over the past decade, relative to international norms and its ambitious plans to achieve middle income status, Tanzania suffers from a ‘manufacturing deficit’ at its current level of per capita income.
