1 December 2012

Tanzania: Sweet Ending to Sugar Blues

SUGAR importation will ease following plans for the construction of two sugar plants with a production capacity of 300,000 tonnes per year in the Southern Agricultural Growth Corridor of Tanzania (SAGCOT).

SAGCOT Chief Executive Officer (CEO), Mr Geofrey Kirenga, told reporters mid this week that Gwata village, where the plants would be built, will be fully involved in order for them to benefit from the investment.

"The area receives adequate rainfall and has rivers that do not dry hence it is ideal for the sugar cane and rice growing," said Mr Kirenga after a tour with investors to inspect the potential area for the investment in Coast Region.

The projects will be jointly carried out by the Tanzania Investment Centre (TIC) as investors while Tanzania Zambia Railway Authority (TAZARA) will provide transport for cargo to and from the sugar plantations.

TIC Executive Director Mr Raymond Mbilinyi said the public should not be worried about the land and that the area to be invested will remain to be owned by TIC to control any land misuse. "The investment is a win-win situation whereby the public will be involved in the investment and no one will be evicted from the land," he said.

Tazara General Manager, Mr Abdallah Shekimweri, said the investment would provide Tazara with an opportunity to expand its income by transporting sugar to Dar es Salaam, saying the company is ready to offer the services.

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