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How Dar es Salaam Port is ready to revolutionise Zambia’s exports and outpace regional competitors

What you need to know:

  • TPA isn’t just another player in the region. It’s the mastermind. Imagine 20-foot containers, once costing $240 to get through the port, now slipping by at $90.

Last week, on one of a cool, crisp September morning in Beijing — the kind of day locals call “golden,” where the skies are vividly blue and the air feels electric with potential, President Samia Suluhu Hassan of Tanzania, alongside Xi Jinping and Hakainde Hichilema, witness the signing of a monumental $1 billion agreement to revive the legendary Tazara Railway The agreement marks a turning point not just for the railway, but for the Tanzania Ports Authority (TPA), a rising giant in East African trade.

This isn't just nostalgia; it’s about leveraging Tanzania’s key ports—Dar es Salaam and Tanga—into global gateways, with President Dr Samia Suluhu Hassan at the helm of this transformation. In this discussion, the TPA Director General, Mr Plasduce Mbossa delves into the benefits that the agreement will have on Tanzania’s ports. Read on:

Question: Why does this agreement matter to TPA?

This isn’t just a nostalgic trip down memory lane. TPA is the architect of a new future for Tanzania. The once-sluggish port of Dar es Salaam has been revamped, retooled, and transformed into a logistics machine.

It’s no longer just facilitating trade—it’s driving it. TPA is gunning for a monopoly over regional trade corridors. 70 percent of Zambia’s Copperbelt exports already flow through Dar es Salaam, and it’s not just about copper anymore. Agricultural exports—maize, wheat, and cotton—are streaming through too, making the port indispensable.

“Our efforts in expanding capacity and improving efficiency have attracted significant cargo from neighboring countries. We’re not just a port; we’re the region’s logistics hub, and Zambia plays a critical role in that vision.”

But why Tazara specifically?

Back in the 70s, the Tazara railway was built as a beacon of African unity, linking Zambia’s Copperbelt to Tanzania’s coast. It was bold, revolutionary—and it crumbled. The railway decayed, leaving Zambia’s minerals trickling slowly down dusty roads, barely making it to the coast.

President Samia Suluhu Hassan, President Xi Jinping and their Zambian counterpart Hakainde Hichilema bear witness to the signing of a Memorandum of Understanding (MoU) for TAZARA rail maintenance at the Great Hall of the People, Beijing, China on September 4th, 2024.

But with $1 billion from China now breathing life back into Tazara, this grand railway is being revived. It will once again link Zambia’s mining heart to the world, via Dar es Salaam Port.

This revival is critical for TPA’s long game. With the Dar es Salaam Maritime Gateway Project, a $440 million facelift for the port, TPA is positioning itself for a future where it handles 30 million tons of cargo annually by 2030.

Zambia is playing a key role in this plan, doubling its trade volume with the port to 2 million tons in 2022, and in 2023/2024, Zambia moved 2,248,505 metric tons through Dar es Salaam, a 14 percent increase from 2022/2023.

It seems like a ruthless strategy at play here. What should Tanzanians expect?

Make no mistake: TPA isn’t just a cog in the machine—it’s the mastermind behind Tanzania’s growing grip on regional trade. With President Dr Samia Suluhu Hassan driving the vision, Prof Makame Mbarawa, the no-nonsense Minister of Transport, is executing the plan. Key to these efforts is a 30-year concession with DP World.

In light of the Tazara Railway deal, Mr Mbossa, enthusiastically welcomed the development, stating, “This agreement aligns perfectly with our long-term strategy to boost capacity and efficiency at our ports.

We’ve been attracting significant cargo from across the region, but with this revived railway, we’re not just a port—we’re evolving into the region’s key logistics hub. Zambia, as a critical trade partner, is integral to this vision, and we’re ready to take things to the next level.”

Prof Mbarawa, who spearheaded the DP World deal, has consistently pushed for port modernization, emphasizing that the new investment will cut transit costs by nearly half and position Tanzania as the ultimate gateway to Southern Africa.

He is on record as having told the Parliament that: “This investment is critical for improving efficiency, attracting more ships, and ultimately making Dar es Salaam a competitive global port”.

TPA isn’t just another player in the region. It’s the mastermind. Imagine 20-foot containers, once costing $240 to get through the port, now slipping by at $90.

That’s 62.5 percent off. And for the heavy hitters—the 40-foot containers—the price drop is even more jaw-dropping, from $420 down to $180. It’s a dismemberment of costs. On the export side, it’s just as aggressive: 20-foot boxes that once cost $160 now move for $75, while 40-footers drop from $280 to $150. Mombasa, the once-dominant regional player, is feeling the heat.

TPA has outmaneuvered its competitors by luring Zambian exporters with faster service, lower costs, and better deals. But this is more than just a spreadsheet exercise—it’s survival.

For Zambian exporters, these cuts are a lifeline in the ruthless global market. Every dollar saved on tariffs is a dollar straight to the bottom line.

Profit margins swell, production ramps up, and suddenly Zambian goods—copper, maize, cobalt—are looking a lot more attractive to international buyers. Forget Beira and South Africa; Dar es Salaam just became the golden highway to the world.

This strategic initiative shows our ability to drive large-scale infrastructure development by partnering with strategic players. It’s not just about growth; it’s about transforming Tanzania into a logistics hub for Southern Africa.

With all these efforts, could now rightly say Dar Port is the lifeline of Zambia’s economy?

For Zambia, Dar es Salaam isn’t just a port—it’s the artery that keeps its economy alive. The Copperbelt, churning out 720,000 tons of copper annually, relies on TPA’s efficiency to reach global markets. Without TPA, Zambia’s copper would be stranded in Ndola, crawling along congested roads, or rotting in warehouses. The Tazara railway and Dar es Salaam’s modernized port are the linchpins that keep Zambia’s goods moving efficiently.

The alternative routes—through Beira in Mozambique or Durban in South Africa—are plagued with issues. Beira is notorious for congestion, inadequate infrastructure, and weather disruptions like cyclones.

Meanwhile, South African ports, overwhelmed by domestic demand and suffering from Transnet’s unreliable rail service, cause frequent delays that only disrupt Zambia’s export flow. But Dar es Salaam, with its efficient integration of Tazara, is free from those constraints.

Also, for Zambia, Dar es Salaam isn’t the only Tanzanian port providing critical access to global markets—Tanga Port has become an essential outlet as well, particularly for petroleum exports.

Over the past five years, Zambia has exported a total of 132,883 metric tons of petroleum through Tanga, with volumes climbing sharply in 2023/24 to 57,306 tons, more than double the previous year.

This increasing reliance on Tanzanian ports, combined with the efficiency improvements at Dar es Salaam, is critical for Zambia’s export-driven economy.

So in short, the future belongs to TPA?

What’s next? TPA knows the stakes are high. The revitalized Tazara is the engine, but Dar es Salaam Port is the driver. By 2030, when the port hits its 30 million ton target, Mombasa will be left in the dust. TPA will have transformed Dar es Salaam into the undisputed gateway to Southern Africa.

This is the future of African trade, and TPA is steering the ship. Zambia’s riches, one ton at a time, are flowing out to the world, faster, cheaper, and more efficiently than ever before.

The ghosts of the past are long gone, replaced by a freight train roaring toward the future. TPA isn’t just running a port—it’s shaping the future of trade in East Africa.

And if you listen closely, you’ll hear it: the whisper of power in the wind, carried by the freight that never stops.