Samia urges Kariakoo traders to embrace new logistics centre

Dar es Salaam. President Samia Suluhu Hassan has called on traders and business leaders at Kariakoo Market to engage actively with the newly inaugurated East African Commercial Logistics Centre (EACLC), describing the facility as a strategic partner—not a rival—in modernising Tanzania’s trade environment.

Speaking during the official launch of the $110 million centre on Friday, August 1, President Hassan stressed that EACLC is designed to complement traditional trading hubs like Kariakoo by introducing digital systems and international trade standards that promote transparency and reduce tax leakages.

“This centre is not here to replace Kariakoo,” she said. “It is here to introduce modern systems that protect government revenue, promote efficient trade practices, and bring new business models that our traders can learn from and adopt.”

She urged Kariakoo-based traders and their associations to view the new logistics hub as a learning platform, encouraging their integration into EACLC operations to build capacity in modern retail technologies and logistics.

According to the President, such collaboration will strengthen Kariakoo’s competitiveness and its contribution to the national economy.

President Samia also underscored the importance of quality in local manufacturing, saying Tanzania’s global reputation hinges not just on production volume but on adherence to international standards.

“Producing quality goods is key if we want to compete in regional and global markets. It’s also a matter of national pride,” she said.

Highlighting the centre’s role in regional integration, the President encouraged both public and private actors to establish branches in logistics hubs across the country.

Doing so, she noted, would open doors to markets under the African Continental Free Trade Area (AfCFTA), attract more investment, and strengthen Tanzania’s regional trade position.

The Head of State commended the investors behind EACLC for their resilience during the project’s difficult early stages. “When this matter reached me in 2021, I said it should be given the green light. Today, we are seeing large-scale investments far beyond the small stalls we once struggled with.”

Turning to national unity and youth engagement, President Samia invited Tanzanians to attend the opening of the CHAN (African Nations Championship) competition on August 2 at Benjamin Mkapa Stadium. She promised a reward for the youth team if they secure the trophy. “This is a matter of national pride. Let’s fill the stadium and support our team.”

The EACLC Chairperson, Dr Lisa Wang, reiterated the centre’s commitment to empowering Tanzanian entrepreneurs, noting that 93 percent of the businesses operating within the facility are Tanzanian-owned.

She thanked the Chinese Embassy and the Tanzanian government for their support, stressing that the centre is a platform for partnership, not domination.

“We are here to complement—not compete with—local markets,” she said. “Our aim is to share experiences, promote international standards, and create new opportunities for employment and revenue generation.”

So far, the investors have contributed over Sh22 billion in taxes, with the potential to significantly increase this through expanded operations. The centre is projected to reduce the cost of doing business in the region by 30 percent.

Providing an overview of the project, the Director General of the Tanzania Investment and Special Economic Zones Authority (Tiseza), Mr Gilead Teri, said the logistics hub consists of 2,060 modern retail and office units spread across 75,000 square metres at the former Ubungo Bus Terminal site.

He noted that the development is expected to generate over 15,000 formal jobs and more than 50,000 informal employment opportunities, offering a major boost to the local economy.

“This is a transformative investment. It will increase government revenue, boost foreign exchange earnings through transit and re-export trade, and support urban infrastructure and trade growth both regionally and internationally,” said Mr Teri.

He added that the centre is projected to contribute approximately $8.19 million annually in direct government revenue and over $150 million in foreign exchange.

“This is a game-changer—a modern, fully integrated facility that positions Tanzania as a leader in logistics and trade within East Africa.”

According to Tiseza, the agency has registered 503 projects to date, valued at $5.9 billion. Of these, 157 projects are locally owned, while 288 are foreign-owned—underscoring the growing role of domestic investors in driving Tanzania’s industrial transformation.