Tanzania's Bagamoyo SEZ Draws $1.57bn in Manufacturing Projects
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Six industrial projects worth a combined $1.567 billion are under construction at Tanzania's Bagamoyo Special Economic Zone, part of a drive to turn the area into a major manufacturing hub.
Tanzania is advancing the Bagamoyo Eco-Maritime City (BEMC) as part of a strategy to build integrated value chains and move beyond the export of raw materials to the production of finished and semi-finished goods, with six industrial projects worth a combined US$1.567 billion (over TSh4 trillion) under construction.
Speaking during a working tour of the Special Economic Zone (SEZ) in Coast Region, the Minister of State in the President's Office (Planning and Investment), Professor Kitila Mkumbo, said BEMC was central to implementing the Fourth Five-Year Development Plan under Dira 2050. About 9,800 hectares have been allocated for its development, including 887 hectares for the planned port.
“Our ambition is to make Bagamoyo a major manufacturing hub that drives value addition, creates jobs and connects Tanzania to global markets,” Prof Mkumbo said, adding that the industrial zone would host factories processing goods for domestic and international markets.
During the tour, Prof Mkumbo inspected six projects, including Sinovest Industry Limited, Aasel Steel Mill and Hongwang Tanzania. The six projects have a combined investment value of about US$1.567 billion and are expected to create 15,675 jobs.
Sinovest is investing more than TSh100 billion in a textile factory expected to create up to 10,000 jobs by 2028, with 80 per cent of production targeted for export. Hongwang Tanzania plans to invest about US$1.5 billion on 500 hectares.
The planned industries cover textiles and clothing, steel, packaging, pharmaceuticals, cosmetics, construction materials, agro-processing and vehicle assembly, while the wider city will include port, tourism, financial, residential and technology facilities. Tanzania Investment and Special Economic Zones Authority Director General Gilead Teri attributed the growing investment activity at the Bagamoyo SEZ to government efforts to create an attractive business environment.