Tanzania: President Pushes for Domestic Products Use

Moshi — RULING party CCM presidential flag-bearer, Dr John Magufuli has appealed to Tanzanians to inculcate habits of using locally manufactured products, a move he said would improve the country's economy.

President Magufuli made the appeal in Moshi, Kilimanjaro Region, while launching the Kilimanjaro International Leather Industries Company Limited, housed inside the Moshi based Karanga prison premises.

"We face an enormous challenge as a nation, of building our economy through buying locally made products... let's, then start using our products," he insisted.

According to the incumbent President, the presence of the Public Service Social Security Fund (PSSSF) and Prisons Corporation Sole (PCS) jointly formed firm will not only spur the country's economic growth, but also create employment opportunities for locals.

"The establishment of this new leather industry would also encourage and increase production of leather goods in the country and also improve the livelihoods of people working within the leather sector," he added.

The CCM presidential candidate further assured that the government will continue creating an enabling environment for investors and encourage the establishment of such industries.

"The fact that the demand for shoes in the country is 54 million per year, wallets, ladies leather bags, belts and other leather based products, it is clear evidence that more leather industries are needed in the country," he noted.

In the same vein, the President hailed PSSSF for accepting and implementing his directive of investing in more productive investments and that by investing in the new leather industry was a good and valuable start.

He called on the firm's management to make sure they maintain good quality of the products to win over clienteles' trust.

"Statistics show that we use millions of foreign money to import leather goods; if you maintain good quality during manufacturing, then be rest assured of boosting your revenues," he explained.

PSSSF Director General, Mr Hosea Kashimba said the project also involves the renovation of the old Karanga shoe factory, founded by Father of the Nation Mwalimu Julius Nyerere in 1978 at Karanga prison area, as well as the introduction of a new tannery plant.

The PSSSF and PCS had in 2017, teamed up to form the company whose purpose is to invest in establishing a modern Leather Industrial project.

The former owns 86 per cent of the company's shares while the remaining belongs to PCS, through contributing 25 acres of the industry's area.

It is billed to be one of its kinds in Eastern, Central and Southern Africa and is cited as a model of modern leather industries in Tanzania and South Sahara countries.

The project is expected to cost a total of 136bn/- upon completion, which will include land costs, construction of buildings, machinery and manufacturing equipment, customs duties and the working capital according to Mr Kashimba.

The Kilimanjaro International Industries Co. Ltd (KLICL) was formed in 2017 after the joint venture agreement between PPF Pension Fund now PSSSF and Prions Corporation Sole (PCS) with a purpose to invest in establishing the modern leather industrial project.

The company makes and sells different types of high quality leather shoes and leather products designed to best fit customers' needs.

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