Tanzania investment policy reforms start paying off: TIC

Dar es Salaam. Six strategic investors are set to invest a total of $1.1 billion during the coming few years as the government ups its investment promotion drive, propelled by pro-business and economic diplomacy policies.

This comes as Tanzania Investment Centre (TIC) also prides itself for raising the number of investment projects by 14.6 percent during the financial year 2021/22.

Briefing journalists yesterday TIC acting executive director John Mnali said a total of 274 projects were registered in the country during the 2021/22 financial year, up from 234 during the preceding fiscal year.

“The projects registered during the 2021/22 financial year are expected to create 43,927 jobs compared to 36,470 jobs that were created by the projects that we registered the preceding year,” he said.

The strategic projects - that will attract $1.1 billion worth of investments - will create 28,710 direct employment include: a fertilizer production project, sugarcane cultivation, sugar production, production of gypsum powder, gypsum board production and Taifa Gas which will be processing and producing cooking gas.

Meanwhile, TIC named five strategic projects out of those that were registered during the 2021/22 financial year.

The five projects worth $368 million, according to Mnali, have special importance in Tanzania’s economic development endeavors.

They include a $202 million sugarcane production project by Mufindi Paper Mill which will be implemented at Kasulu, Kigoma; a $3 million avocado processing project to be implemented by AvoaAfrica in Njombe Region and establishment of industrial parks in the coastal region.

The list also includes: a $150 million industrial cluster to be set up at Kwala in the Coast Region and which is currently at the implementation phase as well as a $12 million industrial park to be implemented at Kamaka in the same region.

“The Kamaka Project will create 7,000 jobs directly through the establishment of 71 factories at the park,” Mr Mnali said.

On the other hand, the $202 million sugarcane project, TIC says, will create 9,000 direct jobs and will have a capacity of processing and produce 5,000 tonnes of sugarcane per day while the avocado one (project) is expected to create 150 jobs and process 2,300 tonnes of the crop annually.

While the $150 million industrial park protect is expected to create 1,000 jobs, the natural gas project – which will be implemented by Taqa Arabia Tanzania Limited - and is expected to create 160 jobs.

“The company will build 12 conversion centres in Dar es Salaam where private, passenger, and heavy duty vehicles will be converted to use natural gas.

“Two big centres will be completed between April and June, this year, and the project will have an annual production capacity of 700,000 kilogrammes,” he explained.

Mr Mnali said the registered projects will bring impact in terms of bringing foreign currency and boost government revenues as 75 percent income comes from foreign investors who pay taxes.

He stressed that to continue attracting local and foreign investors TIC has this fiscal year planned to improve registration systems to increase the number of projects registered at the center.

“We will keep improving and strengthening services offered at One Stop Facilitation Centre to achieve investment. To progress with strategies of Projecting Monitoring and Evaluation, to encourage local and foreign investment through seminars and conferences,” he said.

According to him, they will continue to create awareness to wananchi on several issues through social, mainstream media, solve investment challenges, conduct various research to enable discover new investment opportunities.

He said that TIC will continue collaborating with Tanzania embassies to advertise Tanzania in order to attract foreign investors.