Unguja. The Revolutionary Government of Zanzibar (RGZ) has explained its decision to dissolve the Zanzibar Fishing Corporation (Zafico), citing the company’s failure to perform its duties to the expected standard.
The main reasons for the move include prolonged losses and reliance on government subsidies to sustain its operations instead of operating commercially.
Responding to a question from Fuoni Representative Juma Hassan Thabit (CCM) on Monday, September 14, 2026, in the House of Representatives, Deputy Minister for Blue Economy and Fisheries Mboja Ramadhan Mshenga said Zafico had failed to improve efficiency in developing fishing infrastructure and strengthening the marine product value chain.
In his principal question, the representative sought to know why the company had been dissolved and who would take over its responsibilities, given its role in developing the fisheries sector.
"Despite being established with major goals, the company lacked sustainable commercial activities that would have enabled it to fully contribute to the output of the fisheries sector," said Deputy Minister Mshenga.
Zafico was established under the Companies Act No. 15 of 2013 to contribute to the development of Zanzibar’s fisheries sector.
Its core responsibilities included increasing the production of fish, sardines and other marine products.
"Also, to develop commercial fishing and support the development of fishermen and the construction and development of essential fishing infrastructure," he added.
Following Zafico’s dissolution, the Deputy Minister said the government had introduced a new arrangement under which policy and sector development functions, including infrastructure development and support for fishermen, would be managed directly by the Ministry of Blue Economy and Fisheries.
He said the government was also taking steps to establish the Fisheries Development and Marine Conservation Authority, which would have a broader mandate to manage and develop fishing activities and ensure sustainable conservation of Zanzibar’s marine resources.
Regarding commercial activities, he said the government aimed to attract capital and technology, create employment and increase the value of fishery products, while encouraging greater private-sector participation in investment, production, processing and markets.
"The intention is to increase efficiency and competitiveness in this sector, thereby reducing dependency and the operational burden of commercial activities," he said.
