Zanzibar to spend $400 million on transformation of port infrastructure

What you need to know:

  • Currently, Zanzibar does not receive cargo ships directly from abroad. Most shipments first dock at Mombasa in Kenya or Dar es Salaam, where goods are offloaded, reloaded onto smaller vessels, and then transported to Zanzibar—a process that has long caused delays and frustration for traders.

 Unguja. Zanzibar is set to spend over $400 million (Sh1 trillion) on port infrastructure, a move expected to revolutionize trade on the islands and enable direct receipt of international cargo ships.

Currently, Zanzibar does not receive cargo ships directly from abroad. Most shipments first dock at Mombasa in Kenya or Dar es Salaam, where goods are offloaded, reloaded onto smaller vessels, and then transported to Zanzibar—a process that has long caused delays and frustration for traders.

Speaking on August 26, 2025, Zanzibar Ports Corporation (ZPC) Director General Akif Ali Khamis said the changes are already underway, and within three years, Zanzibar will be a major commercial hub capable of accommodating large international vessels.

Ports undergoing construction or upgrades include Fumba, Shumba, Mkoani, Mangapwani, and Malindi, along with a new dry port at Maruhubi.

“This will be transformative. Fumba Port will handle the bulk of imports into Zanzibar, while Mangapwani will serve cargo bound for neighboring countries such as Kenya, Mozambique, Comoros, mainland Tanzania, Madagascar, and Seychelles,” Akif said.

Currently, Zanzibar relies on Tanga Port for fuel and gas imports. However, a local company is building infrastructure at Mangapwani to handle oil and gas shipments directly. The system is nearly complete and undergoing initial testing.

“The products to be offloaded include kerosene, edible oil, jet fuel, gas, petrol, and diesel. Vessels of any size carrying liquid cargo will be able to dock, cutting import costs by around 20 percent,” Akif explained.

He emphasized that the port sector is undergoing a major shift. “These upgrades will allow Zanzibar to engage in high-level trade and enable local businesses to partner with international companies, positioning the islands as a commercial hub.”

Mangapwani Port will feature a one-kilometer berth where international cargo can be offloaded, stored, and redistributed to nearby ports efficiently.

As part of the plan, over $50 million (Sh125 billion) is earmarked to build an international shipyard at Mangapwani. For the first time, Zanzibar will have the capacity to construct and maintain vessels locally.

Despite having more than 70 locally registered vessels, Zanzibar currently has no shipyard, forcing shipowners to send vessels to Kenya for maintenance. The new shipyard is expected to resolve this longstanding issue.

Some shipowners predict that local maintenance facilities will reduce costs and encourage more vessel ownership, as repairs will be quicker and more accessible.

“This is a positive development. Cargo traffic will grow because traders will have confidence in importing goods and handling repairs promptly,” said Haji Issa Ali.

The expansion of both passenger and cargo ports is opening new trade opportunities for Zanzibar.

At Fumba Port, dredging is underway to deepen the harbor, which, once completed, will handle 250,000 containers per year. Currently, upgrades allow the port to handle 12,000 containers at a time.

Once fully operational, Fumba Port will be able to receive cargo directly from China, Dubai, Turkey, and the United Kingdom.

Ahmed Suleiman Nassor, Secretary General of the Zanzibar Customs Agents Association, said the reforms have improved efficiency at Malindi Port and that the introduction of the Inland Container Depot (ICD) has reduced congestion and delays.

“At Mangapwani, cement and gas are now being offloaded efficiently. Fumba has facilitated both container imports and exports. This year alone, 5,239 containers have been received and 3,281 exported,” Nassor said.

“In the past, this was a major challenge, but now progress is clear. The government should fast-track completion of these projects to fully resolve remaining issues.”