9 January 2016

Tanzania: Fate of Bagamoyo Port Clarified

Dar es Salaam — The government has said the processes for the construction of the Bagamoyo Port will not be halted and will continue.

Reacting to reports about the suspension of the construction of the $10 billion (Sh22 trillion) port the, ministry of Works, Transport and Communications said in a statement issued yesterday that the construction of the port will start in July of this year upon conclusion of financing negotiations with key partners.

According to the statement availed to this paper, the government was currently in discussions with China Merchant Holding International (CMHI) and Oman which are expected to be concluded by March, this year.

It said the governments of Tanzania, Oman and China signed a Memorandum of Understanding for the implementation of the Bagamoyo Port project, October 16, and last year.

"The Government of the United Republic of Tanzania in December, 2015 compensated a total of 2,183 Bagamoyo residents Sh45.65 billion [to pave way for the project]. A joint working team, comprising technical people from the United Republic of Tanzania, China and Oman is preparing technical and commercial contracts for the implementation of the Port of Bagamoyo," the statement further added.

The Bagamoyo project will occupy 800 hectares and another 1,700 hectares of Portside Industrial Zone, which will be developed. The new port, to be the largest in African, will be able to handle 20 times more cargo than the Dar Port.


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