Chinese Embassy supports Bagamoyo port project construction -Mingjian
27
Apr 2022
Getrude Mbago
Features
The Guardian
Chinese Embassy supports Bagamoyo port project construction -Mingjian
THE Chinese Embassy has expressed its determination to participate and benefit from the construction of Bagamoyo port in Coast Region which the sixth phase government has shown commitment to implement it.
Mooted in 2013, construction of the $10bn (22.3trillion) Bagamoyo port has been hit by several issues thus leading to its commencement delays.
Chinese ambassador to Tanzania Chen Mingjian said in an interview recently that China was already engaging in implementation of various mega investment projects to support the country’s efforts including attaining its industrialisation agenda.
“I am very glad to see that the government of Tanzania has made significant progress in improving the investment climate. President Samia Suluhu Hassan promised reforms to improve the business climate as soon as she took office in March 2021, and identified attracting foreign investment as a key priority,” she said.
She said currently, Chinese enterprises are participating in the construction of two strategic flagship projects, Lot Five of the Central Standard Gauge Railway and the Julius Nyerere Hydropower Project (JNHPP).
“We also expect that relevant Tanzanian authorities and potential Chinese investors could have further discussion and make substantial progress on the restart of the Bagamoyo port project,” ambassador Mingjian said.
She said: “We hope that relevant parties in China and Tanzania will join hands and work together, adhere to high standards and high-quality requirements, to build model projects of pragmatic cooperation between China and Tanzania, and further deepen our friendship in the new era,” she stated.
The envoy said since the 1970s, Chinese enterprises have been participating in the construction of almost all the major strategic projects in Tanzania, such as the Tanzania-Zambia Railway, which set up a monument to China-Tanzania and China-Africa friendship.
At present, President Samia Suluhu Hassan is leading Tanzania towards greater economic and social development. Our two countries are working closely to implement the Belt and Road Initiative (BRI). We will inherit and carry forward our traditional friendship, supporting leading Chinese companies to participate in major projects under the BRI.
“I have learned that the Tanzanian government would make amendments to the Investment Policy and Investment Promotion legislation. The relevant authorities have managed to reduce the cost and time of doing business such as the simplification of tax and labor procedures,’ she said.
She further expressed hope as the government is working on the establishment of Tanzania Electronic Investment Window (TelW), which means investors will acquire all permits through one single stop. “I believe that the improvements above would attract more international investors to Tanzania,” she said.
According to the data of the Tanzania Investment Center (TIC), China is Tanzania’s largest source of foreign investment. Chinese investors have established hundreds of projects in various sectors, including transportation, manufacturing, mining, tourism, agriculture, fishing, agro-processing and many others.
Chinese investment projects have created approximately 150,000 direct local jobs in total, generated considerable revenues and foreign reserves for Tanzania. The Chinese Embassy is willing to publicize the improvements in the investment environment in Tanzania so as to encourage more Chinese companies to start business and make investments in this country.
In 2013, the government signed a framework agreement with China Merchants Holdings International (CMHI) and Oman’s State General Reserve Fund to build the port and a special economic zone as part of efforts to transform Tanzania into a trade and logistics hub in the region.
But the fifth phase administration of the late John Magufuli dismissed the project, saying it had tough and ‘exploitative’ conditions.
However, chairing the Tanzania National Business Council in Dar es Salaam last year, President Samia Suluhu Hassan said the Bagamoyo Port project should be implemented for the benefit of the country.
When fully developed, the Bagamoyo Special Economic Zone will attract about 700 industries to become a strategic investment zone in East Africa.
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 Chinese Embassy has expressed its determination to participate and benefit from the construction of Bagamoyo port in Coast Region which the sixth phase government has shown commitment to implement it.
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