Bagamoyo port project is back with construction of 190 industries

Geza Ulole

JF-Expert Member
Oct 31, 2009
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Chinese firm set to develop sprawling Tanzania tourist town

October 3, 2017

[https://45f834269e626fd5bc92d3c0-lgqvurlx]

Standing as the first town on the Tanzanian coast where early travelers anchored during their discovery missions and Christian religion expansion in Tanzania and Central Africa, Bagamoyo town is rising up again after a Chinese company set a mega-business project going in the area.

Bagamoyo town, which was established over 1,000 years ago by early Arab travelers to the Eastern African coast and later became a slave trade transit port, was the designated port for Tanzania during the early days of Arab and German administration in Tanzania.

Famous European missionaries and explorers to East Africa, including Dr. David Livingstone and Henry Morton Stanley, among others, kicked-off their trek to the African bush at Bagamoyo,, while the first Arabian settlers chose Bagamoyo as their official residence.

Germans administration chose Bagamoyo as their capital before moving to Dar es Salaam, the present business and commercial capital of Tanzania.

Now, the Special Economic Zone (SEZ) in Bagamoyo, 75 kilometers from Dar es Salaam, is set to be run by China Merchants Holdings International (CMHI).

[https://45f834269e626fd5bc92d3c0-lgqvurlx]

Projects envisaged in the Special Economic Zone area include the development of industrial parks (US$120 million), establishment of tourism parks (US$70 million), free port facilities (US$90 million), a free trade zone (US$70 million), science and technological parks (US$50 million), an international business center (US$70 million), and construction of industrial sheds (US$20 million), CMHI management said.

The Managing Director of China Merchants Holdings International, Dr. Hu Jianhua, said the Bagamoyo project framework agreement was signed on March 24, 2013 to enhance the competitive advantages of the Tanzanian port in the future.

“The ongoing Bagamoyo port project, which is an expansion of CMHI’s overseas port, will never stop,” Dr. Jianhua said.

The Bagamoyo port and its affiliated industrial zone would not only do away with the conflict between old port congestion and new urban development, but would also support Tanzania to become an East African regional leading center for shipping, tourism, and logistics.

Tanzanian Minister for Industries and Trade Mr. Charles Mwijage told eTN that the Bagamoyo mega-business project was going smoothly.

The government had negotiated with prospective investors to compensate residents so as to pave a way for development of business projects, the port, and other economic ventures in the area, Mr. Mwijage said.

When completed, the Bagamoyo port will be capable of attracting and handling international tourist cruise ships.

He said 190 industries have been marked for development within the area to attract other business ventures, including tourist hotels and other tourism services.

The Framework Agreement in relation to this project was signed in Tanzania in 2013 and was witnessed by then Tanzanian President Kikwete and the Chinese President Mr. Xi Jinping as part of the 1.28 trillion shillings infrastructure package deals.

The Bagamoyo project will be developed under tripartite agreement of the government of Tanzania, China Merchants Holdings International (CMHI) from China, and State Government Reserve Fund (SGRF) from Oman.

Under the signed tripartite agreement, the State Government Reserve Fund (SGRF) from Oman will provide funds to facilitate the Bagamoyo EPZA through CMHI which will be running the project.

CMHI said in its report that the Bagamoyo Special Economic Zone (SEZ) is part of its global investments. In Africa, the Chinese company had invested in Kenya, Ethiopia, Togo, Nigeria, and Djibouti.

The delegation from the Sultanate of Oman led by the Minister for Transport and Communication, Sheikh Abdullah Al Saadi, visited Tanzania 2 years ago to witness the laying down of the foundation stone for the SEZ project which occupies 9,800 hectares.

Bagamoyo town was once a most important trading port along the East African Coast and a German East Africa capital. Bagamoyo is home to different cultures including people of Arab descent who coexist in Bagamoyo making the town a peaceful and friendly place for visitors from all over the world.

The town of Bagamoyo was one of the most important trading ports on the East African coast and the penultimate stop of slave and ivory caravans traveling on foot from Lake Tanganyika on their way to Zanzibar.

Missionaries active in abolishing the slave trade made Bagamoyo, whose name means “Lay Down my Heart” in Kiswahili, was a center for early travelers and missionary activities in East and Central Africa.

Bagamoyo is a quiet village with a few German colonial buildings still standing. In the past, the town of Bagamoyo was one of the most important trading ports on the entire East African coast.

The old port was the stop of slave and ivory caravans that traveled on foot all the way from the rest of East and Central Africa. Once the caravans reached Bagamoyo, the slaves and ivory were shipped by dhows to Zanzibar, where they were then dispatched all over the world.

Bagamoyo town is surrounded by old buildings of the previous generation, and beautiful Arab architecture with thick walls of earth fitted with well-carved doors made of thick African hardwood.

Source: Chinese firm set to develop sprawling Tanzania tourist town - eTurboNews (eTN)

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Tanzania surrenders Bagamoyo port project to Chinese firm

TUESDAY OCTOBER 3 2017

In Summary

Under a three-way partnership signed with Oman and China in 2013, Tanzania was to get an undisclosed shareholding in the project by dint of raising $28 million for compensating landowners who were to be displaced.The Bagamoyo project framework agreement was signed on March 24, 2013 to enhance competition along the EastAfrican coast and supplement the Tanzanian ports of Dar es Salaam and Mtwara.The Bagamoyo port and its affiliate industrial zone is meant to address congestion at the old port and support Tanzania to become East Africa’s leading shipping and logistics centre. The port is located about 75 kilometres from Dar es Salaam and 10 kilometres from Bagamoyo town.

By APOLINARI TAIRO

Financial constraints have forced Tanzania to miss out on ownership of the $10 billion Bagamoyo Port and Special Economic Zone project.

Under a three-way partnership signed with Oman and China in 2013, Tanzania was to get an undisclosed shareholding in the project by dint of raising $28 million for compensating landowners who were to be displaced.

But the government managed to raise only $1.5 million and compensated a few of the 2,180 registered residents of the area earmarked for the project. There are other owners of large tracts who do not reside in the area and are yet to be registered for the compensation.

With investors anxious of losing the business opportunities envisaged from the project, the government is now negotiating with the investment partners for them to fund the compensation of land owners. In turn, the government will forego an equity stake in the project and only benefit from taxes on the land and occupancy by the investors.

Minister for Industries and Trade Charles Mwijage told The EastAfricanthat the discussions with investment partners also revolve around the legal framework to ensure there would be no conflict between them and the Bagamoyo community.

China Merchants Holdings International (CMHI), a port management firm, is understood to be ready to raise money for the compensation. CMHI managing director Hu Jianhua said in a statement two weeks ago that the company would run Bagamoyo as one of its overseas ports.

“We had not abandoned this project. We were waiting to compensate the people whose land was taken for development of various business programmes,” he said.

CMHI said in its report that the Bagamoyo SEZ is part of its global investments. In Africa, the Chinese company has invested in Kenya, Ethiopia, Togo, Nigeria and Djibouti.

READ: AfDB gives Tanzania $1.1 billion for railway, Bagamoyo port

The Bagamoyo project framework agreement was signed on March 24, 2013 to enhance competition along the EastAfrican coast and supplement the Tanzanian ports of Dar es Salaam and Mtwara.

Retired President Jakaya Kikwete touted the project during his term, vowing to construct Tanzania’s biggest port at the former slave harbour with funding from Oman and China.

However, when President John Magufuli came to office in 2015, the project took a backseat as the government prioritised improvements of Dar es Salaam, Mtwara and Tanga ports.

The Bagamoyo port and its affiliate industrial zone is meant to address congestion at the old port and support Tanzania to become East Africa’s leading shipping and logistics centre. The port is located about 75 kilometres from Dar es Salaam and 10 kilometres from Bagamoyo town.

Some 190 industries have been marked for development within the SEZ. When fully developed, the Bagamoyo SEZ will attract about 700 industries to become a strategic investment zone in East Africa.

CMHI said among the projects envisaged in the Zone are industrial parks worth $120 million, a $70 million tourism Park, free port facilities ($ 90 million), free trade zone ($70 million), Science and Technology parks ($ 50 million), International business centre ($70 million) and industrial sheds costing $20 million.

Source: Dar surrenders Bagamoyo port project to Chinese

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MY TAKE
Kuna kila dalili uchaguzi wa October 26 utaipeleka Kenya kwenye PEV kama ya 2007 esp. ukizingatia mabadiliko ya sheria za Uchaguzi yanayofanyika sasa na madhara yake hapo baadae. Kama hio likitokea maana yake a lapse of government activities for a year n so. Anyone here knows what that means to the economy of Kenya. Yangu mie macho..
 
...niko siti ya mbele hapa nasubiri,
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kama kawaida ushindani ushindani ushindani × infinity
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Lamu Port Vs Bagamoyo Port
 
I dont trust these people, forgive me God!

All the projects they are talking about could very well - something is telling me - be a trojan horse to access inland ivory. When the Chinese come calling in Africa take care of your elephants and rhinos. The Tanzania ministry of natural resources and tourism should look beyond the dust raised when these far east friends start knocking at Bagamoyo doors.
 
I dont trust these people, forgive me God!
All the projects they are talking about could very well - something is telling me - be a trojan horse to access inland ivory.When the chinese come calling in Africa take care of your elephants and rhinos.The Tanzania ministry of natural resources and tourism should look beyond the dust raised when these far east friends start knocking at Bagamoyo doors.
Stop being shallow minded the deal is compatible with Magufuli's industrialization agenda. Mind u Mtwara, Dar, Mwanza, Kigoma n Tanga ports r all under expansion together with new SGR for central corridor. So we lose nothing if Chinese n Omani private companies decide to build their own port!
 
Stop being shallow minded the deal is compatible with Magufuli's industrialization agenda. Mind u Mtwara, Dar, Mwanza, Kigoma n Tanga ports r all under expansion together with new SGR for central corridor. So we lose nothing if Chinese n Omani private companies decide to build their own port!
Mungu ibariki Tanzania pamoja na watu wake,ilikuwa inauma kuona mradi huu wa kimataifa unakufa kifo cha mende na jiwe la msingi lilishawekwa na mstaafu Kikwete.
 
acha tushindane tu, hawa jamaa hawataki kabisa kuona Tanzania ikiwashinda

Na tutashindana tu, ila mfahamu nini maana ya Ukenya, hii picha hapa chini itakupa uelewa fulani...

1124346
 
Huku wapi.... duh! ila huyo Mkwere alikua na nia ya kuifunika Afrika Mashariki, jamaa alikua ameona mbali, anyway imebaki stori.
 

What is at stake as China's foreign minister begins Africa tour?​









AU Commission chair Moussa Faki Mahamat with China's foreign minister Wang Yi - Copyright © africanews
Mark Schiefelbein/Copyright 2018 The Associated Press. All rights reserved.
By Rédaction Africanews
Last updated: 05/01 - 15:04

CHINA-AFRICA RELATIONS

Chinese foreign minister Wang Yi started his five-nation tour in Africa on Monday, which will take him to Nigeria, the Democratic Republic of the Congo, Botswana, Tanzania and Seychelles in line with the ministry's 30-year diplomatic tradition of paying new year visits to Africa, said Chinese Foreign Ministry spokesperson Hua Chunying at a press briefing.

Chinese foreign ministers have chosen Africa for their first overseas visit each year since 1991.

"China and Africa's friendship had withstood the pandemic and risen to a new height in 2020. The Extraordinary China-Africa Summit on Solidarity against COVID-19 jointly held by president Xi Jinping and the African leaders has set the example for global anti-epidemic cooperation. 2020 marked the 20th anniversary of the Forum on China-Africa Cooperation (FOCAC)", said Hua.

Wang finds a continent desperate for Covid-19 vaccines, medical supplies and debt relief.

With the Chinese economy having taken a hit from the pandemic, there's concern in African capitals that lending will dry up or decrease significantly.

What explains the choice of countries Wang Yi is visiting?​

Nigeria​

Wang will fly to Abuja first for a meeting with President Muhammadu Buhari. While China does not buy a lot of Nigerian oil, it has lent the country a sizeable chunk of money for infrastructure building.

In months following the outbreak of Covid-19, Nigeria has seen an increase in anti-China sentiment.

After reports that Africans in Guangzhou had been discriminated against, African envoys in a joint letter to Beijing demanded an explanation for the maltreatment of Africans in China.

The speaker of Nigeria's parliament then summoned China's envoy to Abuja and berated him publicly.

At the end of April, Nigeria’s House of Representatives passed a motion targeting Chinese immigrants and businesses in the country before another representative, Ben Igbakpa tabled a motion calling for a review of Chinese lending to the country since 2000 with a view to cancel those deemed costly.

Wang's visit is seen as a way to patch up relations with Abuja which have faced serious strain in 2020.

But there is also some good news to smile about. Nigeria in December began operations for the Lagos-Ibadan railway built by China Civil Engineering Construction Corporation (CCEC).

Tanzania​

President John Magufuli has just won re-election. His victory was criticized by the West. Beijing has sensed an opportunity to forge even closer ties with the east African country.

China could also be looking to restart talks on the Bagamoyo port deal which have stalled for a long time.

Negotiations between the two sides broke down in 2019 after failure to agree on the terms.

Democratic Republic of Congo​

The Democratic Republic of Congo (DRC) is by far the world's largest producer of cobalt, accounting for roughly 60 percent of global production, according to the International Monetary Fund (IMF).

Cobalt is a critical element used to make batteries for electric vehicles.

President Felix Tshisekedi's government enjoys closer ties with Washington.

Wang's visit to Kinshasa could be looking to facilitate the entry of more Chinese firms into the country's mines, which are increasingly the subject of strategic competition between China and the United States in central Africa.

Botswana​

President Mokgweetsi Masisi has been friendlier to China and less controversial compared to his predecessor Ian Khama.

In southern Africa, South Africa is Beijing's biggest ally. Wang's visit to landlocked Botswana is to show that Beijing cares about Pretoria's smaller neighbors as well.

Seychelles​

As India's influence grows globally, countries such as the Seychelles and Mauritius have increasingly fallen in New Delhi's orbit.

China is looking to cut away at Delhi's influence in Victoria with Wang Yi's visit.

Wang's visit comes just days before a new government sets up in Washington. There's concern that US-China rivalry in Africa will only escalate.

 
China / Diplomacy

China sends Africa a signal that Belt and Road Initiative is still open for business

  • Foreign Minister Wang Yi’s tour of the continent saw Botswana and the Democratic Republic of Congo joining the multibillion-dollar project
  • Beijing was keen to use the trip to signal it is still willing to fund infrastructure projects and rebuild strained relationships



Jevans Nyabiage
Published: 9:00pm, 10 Jan, 2021

Tanzania has revived its interest in joint infrastructure projects with China. Photo: Xinhua

Tanzania has revived its interest in joint infrastructure projects with China. Photo: Xinhua

China’s Foreign Minister Wang Yi used his recent visit to Africa to signal that Beijing was still willing to fund infrastructure projects under the Belt and Road Initiative despite fears that the multibillion-dollar scheme faces budget cuts.

During last week’s tour, which ranged from the islands of the Seychelles to the continent’s most populous country Nigeria, Wang also signalled that China was ready to help boost Africa’s industrial capacity and expand trade.

“China is prepared to help Africa increase its infrastructure, trade and financial connectivity,” he told a briefing in Tanzania on Friday.

He also signalled that Beijing was ready to step up its military and security cooperation with Africa and work towards a political settlement of conflicts, saying: “China is prepared to help Africa enhance peacekeeping and counterterrorism capacity, in a joint effort to build a secure Africa.”

https://www.scmp.com/news/china/dip...hat-chinas-belt-and-road-initiative-all-about

Analysts said the visit, which also took in the Democratic Republic of Congo and Botswana, was intended to cement China’s diplomatic and economic influence on the continent and repair frayed relations with some countries.

The Chinese foreign ministry said on Sunday that Wang will follow the tour by visiting Myanmar, Indonesia, Brunei and the Philippines this week.

Yun Sun, director of the China programme at the Stimson Centre in Washington, said it had become a tradition for Chinese foreign ministers to start the year with a trip to Africa, and this year offered a chance to ease tensions caused by growing concerns over debt and the discrimination some African nationals suffered in the southern city of Guangzhouat the height of the Covid-19 outbreak last year.


“Given the suspicion that China’s economic engagement with Africa will decrease, I am not surprised that China wants the trip to ramp up the image of engagement, of China’s active involvement and unchanged interests,” Sun said.

The Abuja light rail project in Nigeria was built with Chinese assistance. Photo: Xinhua

The Abuja light rail project in Nigeria was built with Chinese assistance. Photo: Xinhua

Ovigwe Eguegu, a policy analyst at the Beijing-based consultancy Development Reimagined, said Beijing was keen to show that China-Africa cooperation has not been derailed by Covid-19.

He said Chinese leaders have made 99 visits to the continent since 2007, adding: “The key will be for African leaders to seize the opportunities for engagement, and steer China to work together with African countries to achieve both national and continental goals.”

During the visit to Nigeria, a major importer of Chinese products, Wang discussed the procurement of Chinese-made Covid-19 vaccines and signed a memorandum of understanding establishing an intergovernmental committee to coordinate cooperation on a wide range of issues.
The two countries are also discussing the possibility of a direct flight route between Nigeria and China.

The tour also resulted in both the Democratic Republic of Congo and Botswana agreeing to join the Belt and Road Initiative.

https://www.scmp.com/news/china/dip...onfident-message-its-belt-and-road-initiative

In return, the DRC saw interest-free loans worth US$28 million that matured in 2020 being cancelledand also received US$17 million in financial support. Wang also promised that Beijing would fund infrastructure projects, mostly in DRC’s energy and mining industry, where Chinese companies have already invested more than US$10 billion in the past decade.

The country is the largest cobalt producer in the world, accounting for about 60 per cent of total production.

Eguegu said the DRC and Botswana signing up was “great for momentum and shows African countries believe in the potential of the initiative. And with the global economic recovery under way, BRI activities are likely to resume”.

Chinese Foreign Minister Wang Yi and his Botswana counterpart Lemogang Kwape at a signing ceremony for a memorandum of understanding on the Belt and Road Initiative. Photo: Xinhua

Chinese Foreign Minister Wang Yi and his Botswana counterpart Lemogang Kwape at a signing ceremony for a memorandum of understanding on the Belt and Road Initiative. Photo: Xinhua

Tim Zajontz, a research fellow in the African Governance and Space project at the University of Edinburgh, said it was “a diplomatic success for Beijing and serves Chinese efforts to counteract growing public perceptions that the initiative might lose momentum”.

He continued: “With the membership of the Belt and Road Initiative in Africa growing now to 46 countries, the Chinese government can plausibly maintain its narrative that it is successfully steering a new era of globalisation.”

He said Botswana will be of secondary importance to the project due to its geographical location and its relatively small population, but the decision to join still had symbolic value to Beijing.

“Gaborone had been one of the last fierce China sceptics on the continent under former President [Ian] Khama,” Zajontz said.

If China’s coronavirus vaccines work, which countries will get them and for how much?


If China’s coronavirus vaccines work, which countries will get them and for how much?​

He added that Beijing “could now reap the fruits of Beijing’s intensified political and economic engagements with Botswana since coming into office of President [Mokgweetsi] Masisi”.

Recently, Wang said that Beijing had signed debt service suspension agreements with 12 African countries and provided waivers on matured interest-free loans for 15 African countries.

Zajontz, who is also a research fellow in the Centre for International and Comparative Politics at Stellenbosch University in South Africa, said the cancellation of debts served as a signal towards other African debtors that China remains an accommodating creditor.


But he warned it will remain a politically sensitive issue for the foreseeable future with critics warning that countries are running up unsustainable debts to fund infrastructure projects.

“The Chinese government will face the increasingly difficult task of maintaining the image of a benevolent development financier for the Global South, whilst simultaneously cashing in on its loan-debt investments along the belt and the road,” Zajontz said.

In Tanzania, Chinese firms won a US$1.3 billion contract to build a major rail link while in the Seychelles Wang said Beijing will cooperate on seafood farming, marine scientific research and shipping, as well as encouraging more Chinese tourists to visit.

Zajontz said Wang’s visit to Tanzania confirmed Beijing’s keen interest in rebuilding its relationship with the country after a number of planned initiatives ran into trouble during an anti-corruption drive.

He said the rail link would take on increasing strategic importance after a similar project in Kenya stalled and there “seems to be movement on the Tanzanian side” regarding plans to build a mega-port and special economic zone in Bagamoyo.

 
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