TANZANIA Private Sector Foundation (TPSF) has invited more foreign investors to grab the untapped opportunities in the industrial sector as there are already the necessary infrastructures in place.
The TPSF Executive Director, Mr Godfrey Simbeye made the remarks in Dar es Salaam yesterday during the opening ceremony of a-twoday India-East Africa Business Forum and Exhibition.
“The country’s vision is one that creates a political, economic and social framework for investors’ participation on investment and trade in the country. This is a clear testimony that Tanzania is really a destination of choice,” he said.
He added, “Apart from the country’s peace and political stability, there are untapped abundant natural resources and arable land. India is a global economy and her interests in Africa can only grow,” He said that according to the African economic Outlook (AEO) report, in 2018 the services sector in Tanzania was the main contributor (63.3 per cent) with private investment being main demand- side contributor (63.9 per cent).
The external sector stymied economic growth as the current account deficit increased due to a higher volume of imports in 2018 than in the previous year.
The increase was due to largely increased imports of transports equipment, building and construction materials, industrial raw materials, and petroleum products for large public investment projects, including the Standard Gauge Railway (SGR).
The Deputy Permanent Secretary in the Ministry of Industry and Trade, Dr Edwin Mhede said that the business forum was one of the trade and investment promotion windows between Tanzania and India.
“I would therefore urge the India-East Africa business Forum to actively involve itself in ensuring that the positive industrial climate in Tanzania is spread across all the trade and business community to invest in Tanzania,” he said.
The India High Commissioner in Tanzania, Mr Sandeep Arya said that India is well known, highly regarded and welcomed in Tanzania, ad India products and services enjoyed a good recognition and acceptance in the market. He further said that India is the largest trading partner of Tanzania comprising of 16 per cent of its trade as reaffirmed by the 2018 official data released recently by Tanzania Revenue authority (TRA).
Tanzania Investment centre listed India as the fourth of fifth largest investor with 400 investment ventures. Part from Tata, Airel, three Indian banks, an insurance venture, number of automobile companies, a large number of mid-size Indian companies have manufacturing and trading operation in Tanzania, said the High Commissioner.
“In terms of trade, there are several fields in which Indian products have further lot of potential in grow-chemicals for agri and industrial use, engineering items-construction equipment, steel, auto-parts, electrical goods, machinery for processing, packaging and labeling, consumer products among others,” he said.