EAC: How Tanzania is shooting herself in the foot

[NDINDA]

Attn Nairoberry. It is illegal to copy and post my work without my authority. I demand you
withdraw the entire copy. I doubt whether this forum allows anyone to plagiarise any body's intellectual property

wakenya wanajiita wao ni smart africans, educated business minds, sasa huyu nairoberry ina maana hajaelewa kuwa huyu mwandishi ana blog yake, na anahitaji viewers ili blog yake ipande chati na aweze kutanganza biashara za watu ile atengeneze vijisenti? ndio maana mwandishi kaandika kidogo halafu akatoa link, ukitaka kusoma zaidi uende kulee kwenye blog yake na hivyo utakua umeongeza visitors katika blog yake, sasa hili jamaa limeenda kucopy kazi yote na kuiweka hapa hadharani,sasa nani atabonyeza hiyo link tena, ushamdhalilisha mkuu kibusiness hapo, du kazi ipo, ila wakenya nao mmezidi, kila siku mnaandika vitu kibao kuhusu Tanzania, nyie mnalalamika tuuu, Tanzania hiki , Tanzania kile, halafu hata hamuoni aibu, kuna nchi tano, ni nyinyi tu ndio mnaona Tanzania ina matatizo au kwa kuwa mnapenda tu kupaka matope, halafu kuna jitu eti CCTV live animal migration linadiriki kuutangazia umma maana ile ni CCTV ENGLISH inatazamwa dunia nzima linatangaza eti wanyama hawajafika kwa kuwa Tanzania imechoma moto nyasi ili wanyama wasipite waje kenya, du, nyie watu mna roho mbaya na Tanzania kama wauza sumu, nadhani Tanzania inawafanya mkune vichwa au inawaweka matumbo joto kwa vile mambo yanavyozidi kubadilika na sivyo manavyotufikiria kila siku the sleeping giant la miaka ya sabini(eti mwatudharau sisi wajamaa, nyie mapepari toka enzi zile basi ni aiubu sna kua katika hali mliyonayo sasa hivi, mngekua kama south africa labda hata nisingelaumu kelele zenu hizi kuhusu nchi yetu. kama mtu hakupi challenge yoyote na humuoni kama ni mshindani wako katika mambo mengi sidhani kama mngekua mnahaha hivi, IMO


:lol:

 

[chash]

Tanzania has always played the laggard in the integration of the east Africa common Market bloc. Yet she is a beneficiary of the creation of the trading bloc. The expansion of the bloc to include Rwanda and Burundi has pushed Tanzania the investment destination ranks.

The proposed integration of the three trading blocs in Africa into one large FTA will make Tanzania completely irrelevant to Kenyan investors in the manufacturing sector.

Source: East Africa Economic Report: EAC: How Tanzania is shooting herself at the foot

In the event that you have not noticed, Tanzania is very wary of Kenyan investments. They have noticed that many Kenyan firms that initially started to come into Tanzania were actually foreign owned and Tanzania could tap them direct from their source without passing through Kenya. examples. Unilever au what used to be East African Industries, Colgate palmolive, farmers choice, Kenchic, Brooke bond, George Williamson, tour firms like Flamingo, private safaris, hertz, Vehicle dealers like General Motors, CMC, Toyota Kenya Shipping companies like, Mitsui OSK, NYK, Mitchel Cotts, Maerskline, Software firms like microsoft, apple e.t.c all these were stealthily coming into Tanzania on the backs of Kenyans because somehow Kenya had managed to pull their investments into Kenya. So they would have simply registered in Tanzania as branches of Kenya and their profits would have had to pass through Kenya. However, some Tanzania sharp guys saw through the ploy and refused that kind of set up and so the industries had to come and make their branches without having to pass through Kenya. Tanzania is therefore well able to make their own investments as Kenya has done with partnerships directly from developed countries. If you have this line of thought from the word Go! you will come slow and be able to penetrate Tanzania market, but if you think that you will come as if you are a developed nation bringing aid to a third world country you will be hit so hard economically you will go back complaining that Tanzanians are very bad people. Kenya had initially created an impression that they were the headquarter and capital of East African Community and that once an industry was registered in Kenya it could creep into Tanzania without much hindrance. Tanzania has changed this aspect and I believe that they should continue to trip the EAC every now and then until the industries realise that you will penetrate EAC much better and faster if you base in Tanzania. The headquater of EAC is already in Tanzania, Arusha, in case you did not know. My advise to Kenyan fims is come slow and run later.

 

[Bukyanagandi]

Kulingana na hizo points umepeana tanzania haina budi kujiunga kikamilifu na kenya na hata uganda na wengine AM; TUWACHE SIASA ZA MOTOMOTO -- ZA NATIONALISTS SHUPAVU/I] - Na iangaliwe Kivingine. Tanzania ikataka kuwekeza ndani ya kenya na tanzania katika kampuni vilele biashara, ni lazima RETURNS ON INVESTMENTS ziwe a key factor. Yaani uwekezaji kwa Uchumi ambao unagenerate faida kutoka sekta mbali mbali. La sivyo you be wasting precious money on bureaucratic pyramid schemes.

.....................investors in Tanzania wasisahau all successfully run economies EA zilipata boost kutoka intra trade activities indirectly iwe ni natural resources / raw materials / man-power /.........etc...etc.

Nakubali kuwa Political instabilty ni phenomena inayoila social fabric ya kenya, lakini kama the "newly re-invented supreme court ya kenya" mahakama bongo lala wanaweza fanya kazi yao bila kuingiza hisia za kupotosha na kupimana nguvu kimieleka na idara zingine za umma serikali na whatever; the investment landscape itakuwa beneficial only to those Tanzanians ambao wanapanga kupata faida.

Well said MKUU.

 

[Wacha1]

Wakati utafika watanzania wataamua Liwalo na liwe hivi mnafikiri ile Tanzania ya miaka ile, Wacha mambo yaive. Tunaona yanayotokea EU.

 

[DAR si LAMU]

The proposed integration of the three trading blocs in Africa into one large FTA will make Tanzania completely irrelevant to Kenyan investors in the manufacturing sector.

...Kwa mtu mwenye ufahamu, atajua nani ni "completely irrelevant" kwa mwenzake.

...Huwa najiuliza, kwanini hivi vichwa vya habari vya namna hii hujirudia mara kwa mara?. Kuna watu wamekosa kazi za kufanya zaidi ya kusema "sizitaki mbichi hizi"?.

 

[Kabaridi]

Where do you get your food? If we Tanzania closing border, you guys will go hunger. Your Economy depend on Tanzania. Ndio maana mnaogopa kuwa iwapo Tanzania ikijitoa EAC Kenya kwisha habari yake

What kenya does by buying food in TZ is surplus buying and also trade between UG and kenya has improved therefore giving Kenya a wide option where to get food. Even if Tanzania were to withdraw from EAC and move to sadc, Do you think SA will buy those substandard non-competitive TZ goods?!. South Africa open shops in tanzania and close shop after a while and this has become trendy not only for south african businessess but investors from other countries trying investements in Tanzania. Their investment landscapes are run by hopeless managers. It is a pity TZ are keen to see their type of politics enter into kenya, which wll be not happen in the near future.

Even countries within SADC that lack competitive edge like those highly bent on their meagre mismanaged income from natural resources, do they have the financial impetus to rely on TZ goods. Just continue concieving political solutions but businesswise You are out of it. TZ is complimented by kenya's financial management and business impetus. Just continue driving that "impecceble hospitality industry of yours so that when investors come to kenya to finish their business, they can come and drop in TZ only for holiday.

NDINDA, those that are interested in marketing their content let them do it in another way. This is a social forum FOR CHRISTS SAKE!! Ideas can be exchanged with some from different quarters looking simmilar.........Let those keen in promoting their content re-write whatever IDEAS they think is being stolen. If Tanzania was clever and realize that income from investments from foreign countries via kenya would not benefit tanzanians, what measures have you as a country taken to create direct foreign invesments whos income would benefit Tanzania directly not indirectly....Absolutely nothing at all.....always on the defensive foot...We even do some processing for you guys for your raw materials to be resold in Tanzania As if that is not enough.

 

[KALABASH]

Mku Mzalendo80
Kumbe tuko wengi tunaowashangaa hawa Wakenya. Kila kukicha kwao ni Tanzania Tanzania. Na hilo gazeti la East African ndiyo usiseme. Ingawa linachapiwa huko Nairoberry karibu kila toleo lake front page huwa ni kuhusu Tanzania. ndiyo maana nimeacha kulisoma. Sasa ikiwa Tanzania " inajipiga mguuni kama lilivyoandika basi na Wakenya nao waanze kipiga bunduki mguuni ikiwa wanaona wivu.

 

[chash]

... If Tanzania was clever and realize that income from investments from foreign countries via kenya would not benefit tanzanians, what measures have you as a country taken to create direct foreign invesments whos income would benefit Tanzania directly not indirectly....Absolutely nothing at all.....always on the defensive foot...We even do some processing for you guys for your raw materials to be resold in Tanzania As if that is not enough.[/QUOTE]

Mkuu, although sikubaliani na Mzalendo80. I can prove you wrong on the red part above.
If by chance you were born in the early eighties (which I doubt) and you happened to come to Tanzania for a visit, the scenario you would have met is that 90% of all the stuff in shops was coming from Kenya. At the border almost all movement of goods was from Kenya to Tanzania. The only thing I remember used to go to Kenya from Tanzania was mitumba clothes and timber. That was then. Now tell me anything, anything that is coming from Kenya to Tanzania apart from Oxygen from BOC gasses and farmers choice sausages. The other is heavy equipment imported through Mombasa port to gold mining industry of Tanzania and they do this to take advantage of the heavier road tonnage allowed on Kenya roads. Very occasionally a few jua kali traders may bring a truckload of potatoes when they are off season in Tanzania. Go to the border and find out how many trucks are carrying goods to Kenya and how many trucks to Tanzania. At namanga, holili(taveta) and horo horo (lunga lunga) border post for every 100 Tanzania trucks that pass through the border only between 1-5 kenyan trucks will pass. Heading towards Kenya they will be loaded and coming back they are empty. (I know that abt 50% of the Tanzanian trucks are owned by Kenyans!!! so they can smuggle as much as possible from Tanzania -especially foodstuffs, like sugar, maize, beans but this is ok as it is money earned)Go to all the stalls in Nairobi that are selling clothes and ask them where they are getting their stocks. Tanzania. Only shoes and handbags are coming from Uganda. Big importers of clothes in Kenya are at Eastleigh. Somalis...and they import directly from China, korea, malaysia and singapore. I would be gratefull if you can enlighten me of 3 products that I can bring from Kenya to Tanzania apart from what ave mentioned above and a few other mostly in transit items. Every industry that is there in Kenya is also in Tanzania. Name one which is not. The major sad difference is that the Kenyan goods are manufactured by Foreign owned firms in Kenya and in Tanzania they are made by Tanzanian owned industries. I know it pains a lot that Tanzania no longer needs Big Brother Kenya anymore but it is the sad truth. If Kenyans can accept this fact and show maximum respect, am sure integration will be much faster, but you keep dreaming of the good old days and continue to bury your heads in the sand like ostriches. Furthermore direct foreign investments are not a problem as they have nothing to choose Kenya over Tanzania. Furthermore there is no normal FDI's that would choose Kenya over Tanzania especially in Industry. In services I can agree.

 

[Rufiji]

So, if a company from Kenya can't compete in Tanzania then Tanzania government is to blame. You people can't cease to amaze me.

 

[Nyani Ngabu]

So, if a company from Kenya can't compete in Tanzania then Tanzania government is to blame. You people can't cease to amaze me.

Should be 'then the Tanzanian government'

 

[Kabaridi]

Mkuu, although sikubaliani na Mzalendo80. I can prove you wrong on the red part above.
If by chance you were born in the early eighties (which I doubt) and you happened to come to Tanzania for a visit, the scenario you would have met is that 90% of all the stuff in shops was coming from Kenya. At the border almost all movement of goods was from Kenya to Tanzania. The only thing I remember used to go to Kenya from Tanzania was mitumba clothes and timber. That was then. Now tell me anything, anything that is coming from Kenya to Tanzania apart from Oxygen from BOC gasses and farmers choice sausages. The other is heavy equipment imported through Mombasa port to gold mining industry of Tanzania and they do this to take advantage of the heavier road tonnage allowed on Kenya roads. Very occasionally a few jua kali traders may bring a truckload of potatoes when they are off season in Tanzania. Go to the border and find out how many trucks are carrying goods to Kenya and how many trucks to Tanzania. At namanga, holili(taveta) and horo horo (lunga lunga) border post for every 100 Tanzania trucks that pass through the border only between 1-5 kenyan trucks will pass. Heading towards Kenya they will be loaded and coming back they are empty. (I know that abt 50% of the Tanzanian trucks are owned by Kenyans!!! so they can smuggle as much as possible from Tanzania -especially foodstuffs, like sugar, maize, beans but this is ok as it is money earned)Go to all the stalls in Nairobi that are selling clothes and ask them where they are getting their stocks. Tanzania. Only shoes and handbags are coming from Uganda. Big importers of clothes in Kenya are at Eastleigh. Somalis...and they import directly from China, korea, malaysia and singapore. I would be gratefull if you can enlighten me of 3 products that I can bring from Kenya to Tanzania apart from what ave mentioned above and a few other mostly in transit items. Every industry that is there in Kenya is also in Tanzania. Name one which is not. The major sad difference is that the Kenyan goods are manufactured by Foreign owned firms in Kenya and in Tanzania they are made by Tanzanian owned industries. I know it pains a lot that Tanzania no longer needs Big Brother Kenya anymore but it is the sad truth. If Kenyans can accept this fact and show maximum respect, am sure integration will be much faster, but you keep dreaming of the good old days and continue to bury your heads in the sand like ostriches. Furthermore direct foreign investments are not a problem as they have nothing to choose Kenya over Tanzania. Furthermore there is no normal FDI's that would choose Kenya over Tanzania especially in Industry. In services I can agree.[/QUOTE]

Firstly chash I am Kenyan..................and then Maybe what FDI probably would choose Tz over kenya is the cheap semi-skilled labour market, partly the scenario that has made CHINA rise economically. Infrustructure remains a challenge in TZ and I must say that Kenya has somehow managed to improve that sector. kenya corruption practises are becoming a thing of the past. If you can check Transparency international. Now it's Tz and Uganda that are ranked poorly in the corruption report index. And by that it means the Kenya's landscape for investments will attract investors from the local scene to the international scene to come to kenya to invest but the media has chosen to give some of these improvements a blind eye. You are talking of shoes and handbags, well that will somehow improve the lives of the common man and I do not deny that some revenue can stream from such business. Tanzania has chosen to APE europe post world war and america pre-world war by slapping, increasing tarrifs. That is usually to undermine intergration. Then you will hear a tanzanian asking why can't kenya do the same. The question will remain how many tanzanians cross kenya in comparison to Kenya crossing tanzania? Kenyans flock tanzania more often to get goods like shoes handbags and other stuff. Tz has remained a hotspot for the sale and smuggling cheap sugar, maize, beans, and rice imports from IRAN!... a factor that is killing the competitiveness of kenyan trade. It is funny that there is a new clique of tz businessmen there that have decided to use underhand trade techniques...to block trade in EA under the glare of authorities.

If Tanzania is reducing its overeliance to kenya in terms of production of goods, that is good news and the good old days are gone. However, the challenge remains EFFECIENCY of getting finished products from processing of raw materials. With the energy required to produce finished raw materials, is the output from raw materials worth the power energy consumption?.......... What is the cost of energy?................. Are there constant power black outs?......... This and other question is what Investors are asking day-by-day apart from the lucrative cheap labour. That is why foreign investors may opt and be confortable in kenya. If Tz had improved such incentivies, maybe that suspicion against kenya would not be a factor. You would have been playing in a different ball-game. The task is up to you to increase your competitiveness and not creating every blockade. I do not deny TZ is blessed with raw materials for their industries. But those other factors should also be considered. Tanzanians Like self-depriciating themselves, that is why they say kenyans are arrogant....I have never bought and will never buy that Idea.

 

[Mwanahisa]

Kazi ya kichwa sio kufuga nywele, ni kufikiri tena kufikiri sawia! Ngoja tumalizane na Malawi kwanza kuhusu gesi yetu na mafuta ziwa Nyasa, na nyie malizeni kuiba mafuta ya Wasudani hapo Lamu kwanza, maana kisiwa cha Migingo kimewashinda sasa mnasema tunazuia pofo kuvuka kuja maasai mara bado hamjatapatapa kifo cha maji sio mchezo.

 

[JokaKuu]

..ndugu zangu kutoka Kenya, dont try to hoard everything in the community.

..we are supposed to cooperate with one another, and compete with the outside world.

..I think Kenya should move on to service industry, and leave manufacturing to Tanzania.

..wa-Tanzania na sisi tuna kazi kubwa kurekebisha education system, infrastructure, energy sector etc etc kiasi kwamba we can fully take advantage of the opportunities that r available in the community.

 

[KVM]

It is a pity that the author of the article sees Tanzania differently and thinks that it is doomed. I believe that Tanzania is still going strong and some guys are wary. We may not have what Kenyans want us to have such as flash malls and supermarkets and very efficient services. But I am sure we will get there. It is the customers who will demand all those especially now that the middle class is growing very fast.

As to the indifference of Tanzanians to Kenyan goods, investments, etc. I think both parties have contributed to this. Kenyans have got the attitude that Tanzanians have nothing and know nothing. Tanzania is supposed to be a market for Kenyan goods, intellectuals, and all types of stuff. I visited the Uchumi supermarkets in July 2011 when it setup in Tanzania (Nyerere Road). I wanted to buy some drinks - beers, wines, etc. That supermarket had stocked only Kenyan beer. I called the manager and expressed my disappointment. This is what I also saw in Kenya in March 2010 when I stayed in Jacaranda Hotel,Westlands. There is a nearby Shopping Mall. The supermarket at the mall had an array of fridges fully stocked with drinks. I had to hunt for a Tanzanian beer, and at last I saw some warm Serengeti Lager in two crates. You may wonder, what has this got to do with what we are discussing here. It is the attitude of Kenyans that they are the ones who are supposed to sell but not to buy from others.

When Kenyans started entering Tanzania in hordes some had good intentions some not. Tanzanians can remember very well the spate of bank robberies which were masterminded by Kenyans. It is true that these bad people were not sent by Kenya as a country nor could they be controlled by the other Kenyans but all the same they made Tanzanians think differently about Kenyans. They damaged the image of Kenya

It is true that Tanzanians have lagged behind Kenyans in the area of education but for sure it wont be long before this problem is taken care of. Tanzania is an important country for Kenya and its economy will continue to grow. Tanzania will need Kenya but Kenya also needs Tanzania. There are those in Kenya who want to see Tanzania change the way they would like it, especially in issues such as land. Tanzanians know very well that liberalizing land ownership will be to its disadvantage as no Tanzanian will be able to own land in Kenya. Land issues in Kenya are very complicated. Up to this point Kenya has not managed to fully resettle those who were rendered landless in the past political unrests - I might be wrong on this.

As to whether Tanzania is struggling to attract foreign direct investment as suggested by the author the official statistics do not seem to say so. It is still doing very well inspite of water and power problems.

 

[eliakeem]

Tanzania has always played the laggard in the integration of the east Africa common Market bloc. Yet she is a beneficiary of the creation of the trading bloc. The expansion of the bloc to include Rwanda and Burundi has pushed Tanzania the investment destination ranks.

The proposed integration of the three trading blocs in Africa into one large FTA will make Tanzania completely irrelevant to Kenyan investors in the manufacturing sector.

Source: East Africa Economic Report: EAC: How Tanzania is shooting herself at the foot

Hicho kinasikika kuwa kilio cha kuomba msaada......Poleni Mwathai na wakenya wote.

 

[mwathai]

It is a pity that the author of the article sees Tanzania differently and thinks that it is doomed. I believe that Tanzania is still going strong and some guys are wary. We may not have what Kenyans want us to have such as flash malls and supermarkets and very efficient services. But I am sure we will get there. It is the customers who will demand all those especially now that the middle class is growing very fast.

As to the indifference of Tanzanians to Kenyan goods, investments, etc. I think both parties have contributed to this. Kenyans have got the attitude that Tanzanians have nothing and know nothing. Tanzania is supposed to be a market for Kenyan goods, intellectuals, and all types of stuff. I visited the Uchumi supermarkets in July 2011 when it setup in Tanzania (Nyerere Road). I wanted to buy some drinks - beers, wines, etc. That supermarket had stocked only Kenyan beer. I called the manager and expressed my disappointment. This is what I also saw in Kenya in March 2010 when I stayed in Jacaranda Hotel,Westlands. There is a nearby Shopping Mall. The supermarket at the mall had an array of fridges fully stocked with drinks. I had to hunt for a Tanzanian beer, and at last I saw some warm Serengeti Lager in two crates. You may wonder, what has this got to do with what we are discussing here. It is the attitude of Kenyans that they are the ones who are supposed to sell but not to buy from others.

When Kenyans started entering Tanzania in hordes some had good intentions some not. Tanzanians can remember very well the spate of bank robberies which were masterminded by Kenyans. It is true that these bad people were not sent by Kenya as a country nor could they be controlled by the other Kenyans but all the same they made Tanzanians think differently about Kenyans. They damaged the image of Kenya

It is true that Tanzanians have lagged behind Kenyans in the area of education but for sure it wont be long before this problem is taken care of. Tanzania is an important country for Kenya and its economy will continue to grow. Tanzania will need Kenya but Kenya also needs Tanzania. There are those in Kenya who want to see Tanzania change the way they would like it, especially in issues such as land. Tanzanians know very well that liberalizing land ownership will be to its disadvantage as no Tanzanian will be able to own land in Kenya. Land issues in Kenya are very complicated. Up to this point Kenya has not managed to fully resettle those who were rendered landless in the past political unrests - I might be wrong on this.

As to whether Tanzania is struggling to attract foreign direct investment as suggested by the author the official statistics do not seem to say so. It is still doing very well inspite of water and power problems.

This is the only Tanzania so far who has written sense. I need only tell him this about the beer issue. he is describing a marketing problem. Most manufacturers in Tanzania have difficulties, some of them self imposed, at venturing out.
In fact a manager in a South Africa supermarket once told me that Tanzanian Manufacturers do not understand the Concept of a super market. When they deliver their supplies, they want to be paid upfront. Supermarkets are mainly outlets where manufacturers are only paid what is sold. Merchandisers only rent space in the super market to sell and pay a commission. So if you walk to uchumi and you do not find Serengeti Beer, call the plant ans ask them to rent a fridge in Uchumi so that you buy from the. But Tanzania Breweries may want to sale to bars that COD. That is a old and outdated system.
Many Kenyan manufacturers set up shop in Tanzania in the 1990s and 2000s because of frustration with the Moi regime. Since Moi was replaced, the country's economy has been on a growth trajectory. in Kenya the market for manufacturers is within a 400KM radius. So with good roads and a growing economy, most lost the incentive to invest in Tanzania.
The other reason for those that remain was; they gunned for the SADC market, which has proven elusive hence the incentive to stay longer in Tanzania is removed.
Now my worry is in 2017, SADC, EACM and COMESA will form a bigger FTA. F or every country that joins the FTA with EAC, Tanzania is pushed down the ranks in terms of importance ans economic partner.
That is our worry because we cannot afford to live with a poor neighbour next door. projection indicate that even though grows at lower pace than Tanzania, by 2016, its GDP will be twice that of Tanzania. of course these projection excluded LNG and OIl as economic factors in both countries. Therefore the difference could be narrowed down or even widened.
I must admit that some Kenyans, including some that write on this forum have a bad attitude just like some Tanzanians are. Bad sweeping our weaknesses under the carpet will not help any one. Neither does bragging over our achievements, real or imagined. The most important thing is to take a step back frfom our attitudes and do some soul searching. Then act Accordingly.

 

[Mtumishi Wetu]

Tanzania has always played the laggard in the integration of the east Africa common Market bloc. Yet she is a beneficiary of the creation of the trading bloc. The expansion of the bloc to include Rwanda and Burundi has pushed Tanzania the investment destination ranks.

The proposed integration of the three trading blocs in Africa into one large FTA will make Tanzania completely irrelevant to Kenyan investors in the manufacturing sector.

Source: East Africa Economic Report: EAC: How Tanzania is shooting herself at the foot

Kama jirani au rafiki yako amekataa jambo fulani kwa nini wewe umganganie na hilo jambo??? Tanzania hawataki aridhi yao iwe sehemu ya katiba ya EAC kwa nini nyinyi mnganganie swala la aridhi???
Why cant we invest on other business ventures instead of land issues?? Kenya being our neighbors there is no way we can run away from each other be it community or else, lets learn to leave together as friends avoid land issues!!

 

[chash]

Firstly chash I am Kenyan..................and then Maybe what FDI probably would choose Tz over kenya is the cheap semi-skilled labour market, partly the scenario that has made CHINA rise economically.

True. Tanzania founding father Mw. Nyerere had aimed to follow after Russia, china and India but when they went broke he was left with nowhere to turn to. He opted to resign rather than follow the west. Now we can see that he was right all along. The west is collapsing while these countries are doing great.

Infrustructure remains a challenge in TZ and I must say that Kenya has somehow managed to improve that sector.

Both Tanzania and Kenya are doing good on infrastructure. Every one is happy. Only that Tanzania is much bigger and needs more roads and more financing in order to cover the whole country.

kenya corruption practises are becoming a thing of the past. If you can check Transparency international. Now it's Tz and Uganda that are ranked poorly in the corruption report index.

Not True. Kenyan corruption has just become state of the art. Now they eat through tenders and huge contracts. It is very difficult to prove such corruption. Tanzania can not even come near the corruption which is there in Kenya. Check the wealth of Kenyan leaders and Tanzania leaders. The kenyans are all bilionares, where do they get their money? easy. check the multi-billion scandals in Kenya appearing in newspapers every day.The whole world has seen the impunity of Kenyan leaders.Two of the most commonly reported corrupt states in Africa are Kenya and Nigeria see here http://www.royalafricansociety.org/ras-guides/817.html

And by that it means the Kenya's landscape for investments will attract investors from the local scene to the international scene to come to kenya to invest but the media has chosen to give some of these improvements a blind eye.
Never ever. Tribal wars have already started loooong before the elections. Just the other day over 50 people were killed in Tana. When the elections come it will will be worse.Which investor in his right mind can invest in Kenya? 48 villagers killed in revenge attack- News|nation.co.ke
Not to mention gurunetis being tossed everywhere by al shabab.

You are talking of shoes and handbags, well that will somehow improve the lives of the common man and I do not deny that some revenue can stream from such business. Tanzania has chosen to APE europe post world war and america pre-world war by slapping, increasing tarrifs. That is usually to undermine intergration.

This is the game that is always going on between the US and China even now instead of going to fight like Kenya went to fight with alshabab.

Then you will hear a tanzanian asking why can't kenya do the same. The question will remain how many tanzanians cross kenya in comparison to Kenya crossing tanzania? Kenyans flock tanzania more often to get goods like shoes handbags and other stuff. Tz has remained a hotspot for the sale and smuggling cheap sugar, maize, beans, and rice imports from IRAN!...

If tanzania does not import this things what will the Kenyans come and smuggle? You remember last year the Kenyans came and carried all the sugar to Kenya. Tanzania should import alot and wait for the smugglers to come and buy. Otherwise Tanzania will experience food shortage. Even now maize is coming to Kenya everyday. What is the use of the police chasing after smugglers all the time just import it and give them what they want.

a factor that is killing the competitiveness of kenyan trade. It is funny that there is a new clique of tz businessmen there that have decided to use underhand trade techniques...to block trade in EA under the glare of authorities.

a businessman's success depends on his abililty to play with the law and exeisting opportunities to the limit so that he can get profit.

If Tanzania is reducing its overeliance to kenya in terms of production of goods, that is good news and the good old days are gone.

aha! with this type of thinking integration will be smooth

However, the challenge remains EFFECIENCY of getting finished products from processing of raw materials. With the energy required to produce finished raw materials, is the output from raw materials worth the power energy consumption?.......... What is the cost of energy?................. Are there constant power black outs?......... This and other question is what Investors are asking day-by-day apart from the lucrative cheap labour. That is why foreign investors may opt and be confortable in kenya.

Tanzania has more power than Kenya. Kenya has signed some agreements to connect their power from Tanzania. see here Kenya to connect to Southern Africa Power Pool by 2015 | Business Today News
About foreign investors they will not come to Kenya. Who wants to be killed by tribal savage clashes or al shabab grenades.

If Tz had improved such incentivies, maybe that suspicion against kenya would not be a factor. You would have been playing in a different ball-game. The task is up to you to increase your competitiveness and not creating every blockade. I do not deny TZ is blessed with raw materials for their industries. But those other factors should also be considered. Tanzanians Like self-depriciating themselves, that is why they say kenyans are arrogant....I have never bought and will never buy that Idea.

Kenyans may not be arrogant it is just that their language seems very rude. It is not their fault they were born that way. Kenyans have a problem with communication which makes them sound rude. It will take a visitor sometime to get used to this.

 

[chash]

This is the only Tanzania so far who has written sense. I need only tell him this about the beer issue. he is describing a marketing problem. Most manufacturers in Tanzania have difficulties, some of them self imposed, at venturing out.
In fact a manager in a South Africa supermarket once told me that Tanzanian Manufacturers do not understand the Concept of a super market. When they deliver their supplies, they want to be paid upfront. Supermarkets are mainly outlets where manufacturers are only paid what is sold. Merchandisers only rent space in the super market to sell and pay a commission. So if you walk to uchumi and you do not find Serengeti Beer, call the plant ans ask them to rent a fridge in Uchumi so that you buy from the. But Tanzania Breweries may want to sale to bars that COD. That is a old and outdated system.
Many Kenyan manufacturers set up shop in Tanzania in the 1990s and 2000s because of frustration with the Moi regime. Since Moi was replaced, the country's economy has been on a growth trajectory. in Kenya the market for manufacturers is within a 400KM radius. So with good roads and a growing economy, most lost the incentive to invest in Tanzania.
The other reason for those that remain was; they gunned for the SADC market, which has proven elusive hence the incentive to stay longer in Tanzania is removed.
Now my worry is in 2017, SADC, EACM and COMESA will form a bigger FTA. F or every country that joins the FTA with EAC, Tanzania is pushed down the ranks in terms of importance ans economic partner.
That is our worry because we cannot afford to live with a poor neighbour next door. projection indicate that even though grows at lower pace than Tanzania, by 2016, its GDP will be twice that of Tanzania. of course these projection excluded LNG and OIl as economic factors in both countries. Therefore the difference could be narrowed down or even widened.
I must admit that some Kenyans, including some that write on this forum have a bad attitude just like some Tanzanians are. Bad sweeping our weaknesses under the carpet will not help any one. Neither does bragging over our achievements, real or imagined. The most important thing is to take a step back frfom our attitudes and do some soul searching. Then act Accordingly.

Hapo in red nazidi kukataa. Out of 180 countries in the world. Kenya is 28th poorest and Tanzania is 22nd poorest. see http://en.wikipedia.org/wiki/List_of_countries_by_GDP_(PPP)_per_capita what is the difference? None can boast over the other. The two countries should agree to teamwork and race against other nations and not to look down upon each other. They should look at strength in cooperation, but how do you cooperate with someone who looks down on you? What do you mean with the statement in red? Is Kenya a rich nation?

 

[KVM]

Hapo in red nazidi kukataa. Out of 180 countries in the world. Kenya is 28th poorest and Tanzania is 22nd poorest. see List of countries by GDP (PPP) per capita - Wikipedia, the free encyclopedia what is the difference? None can boast over the other. The two countries should agree to teamwork and race against other nations and not to look down upon each other. They should look at strength in cooperation, but how do you cooperate with someone who looks down on you? What do you mean with the statement in red? Is Kenya a rich nation?

It is the case of pot calling the kettle black