Tanzania: We Are on Track to Reduce Sugar Importation - PM

Prime Minister Kassim Majaliwa has commended the Kagera Sugar Company (KSC) for implementing the directives of President Samia Suluhu Hassan by increasing its production to 110,000 tonnes of sugar from the previous 60,000 tonnes.

The increase in production is part of efforts to ensure adequate supply of sugar in the country, minimising the importation of the sweetener.

The Premier made the statement yesterday when he toured the Kagera Sugar plant in Misenyi District, Kagera region to oversee an ongoing sugarcane plantation expansion project.

He said the factory's initiatives to expand the plantation and increase its investment will help the country to reduce sugar importation.

"This factory also helps in improving the living standard of people in the surrounding areas through employment and other business opportunities that are available," he said.

The Premier also asked the management team of the Kagera Sugar factory to continue supporting the government through its various activities that include sugarcane farming and industrial activities.

Mr Majaliwa also instructed the Misenyi District Commissioner (DC) Colonel Wilson Sakulo to mobilise residents in 13 villages to engage in sugarcane farming for selling the raw materials to the factory for sugar processing.

He expressed the government's commitment to continue supervising and implementing development strategies as indicated in the ruling party's 2020-25 election manifesto as well as the national development plan.

"The government will also continue providing all the needed support to all investors to enable them attain their goals," assured Mr Majaliwa.

In another development, the Prime Minister instructed the Tanzania Revenue Authority (TRA) to continue working according to the law while discharging their responsibilities.

Those who are doing business should also fulfil their legal obligation of paying taxes, TRA should take action to all who cheat on government tax," he instructed.

He also tasked the taxman to trace all businessmen who use names of government leaders to evade paying government tax.

Earlier, Kagera Sugar Board Chairperson Seif Seif said the plant has a target of producing 300,000 tonnes per annum.

"The company has also created a total of 10,000 employment opportunities," he said, commending the government for improving infrastructure, which has significantly helped to ease movement of goods and raw materials.

In June this year, Mr Seif asked for the government's intervention on the high interest rates being charged on loans provided in foreign currencies.

He said the company is looking forward to constructing another factory in Karagwe District to reach the target of producing 300,000 tonnes of sugar annually.

"But this needs financing amounting to 550bn/- to be borrowed from financial institutions, here we need to have relief on the interest rates," Mr Seif told President Samia when she toured the Kagera Sugar (KSC) factory and sugar cane plantation to inspect investment that has been put in place.

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