Tanzania now turns to Egyptian investors to develop 3 berths at Dar port

Dar es Salaam. The government is actively engaging Egyptian investors to undertake the construction of three additional berths at the Dar es Salaam port, aiming to enhance efficiency at Tanzania's primary maritime hub, which is currently facing challenges due to increased cargo volumes.

The envisaged construction of berths 12, 13, 14 and 15 is part of efforts by the Tanzania Ports Authority (TPA) to create capacity to meet the current boom in ships calling at Tanzania’s main sea gateway.

Tanzania has witnessed a boom in the number of ships that dock at the Dar es Salaam port, fueled by the ongoing implementation of strategic projects and an improvement in mining and other economic activities in neighbouring countries.

The Tanzania Poirts Authority (TPA) director general, Mr Plasduce Mbossa, said recently that apart from constructing berths 12, 13, 14 and 15, the government will also build a Conventional Buoy Mooring (CBM) for petroleum products at the Dar es Salaam port; build a port at Bagamoyo; and build a facility to temporarily store goods for exports and imports at the Kurasini Area in the city.

He did not reveal the actual amount to be invested in the projects but hastened to say that completing a single berth would cost anything between $100 million (Sh260 billion) and $150 million (Sh390 billion).

Speaking about the Egyptian delegation, which led by the minister for Transport, Kamel Al-Wazir, in Dar es Salaam on February 19, the minister for Transport, Prof Mbarawa Makame, said the government has invited them to invest in developing the new berths.

“We have shown them and other interested investors the opportunities available in the construction of berths 13 to 15,” he said.

The meeting between the two parties was a strategic one, meant to strengthen bilateral cooperation between Tanzania and the Arab Republic of Egypt in the transport sector.

He said the government has been implementing a number of projects to modernise the Dar es Salaam port, including upgrading the existing berths.

In October last year, Tanzania and DP World signed the Host Government Agreement (HGA), the lease and operation of berths 4–7, and the joint operation of berths 0–3 between TPA and DP World for commercial and governmental activities.

Earlier this month, the Fair Competition Commission (FCC) issued a public notice that it had received a notification from East Africa Gateway Limited (the acquiring firm), a subsidiary of Indian firm, Adani International Port Holdings Pte Limited (AIPH), to acquire the entire issued ordinary share capital in TICTS.

The Indian firm, which is owned by business magnet Gautam Adani, currently manages four container handling berths (8 to 11) as a service provider at the Dar es Salaam Port on behalf of TPA.

Prof Mbarawa mentioned a number of issues they have agreed on with the Egyptian delegation, including exchanging knowledge between Tanzania and Egypt as well as building the capacity of personnel involved in the transport sector.

He said they also discussed cooperation between the two countries for sustainable development and unlocking new opportunities in the sector.

He noted that they have also highlighted strategic projects that need funding, including Bagamoyo Port, the Single Receiving Terminal at Dar es Salaam Port and the Oil Jet at Tanga Port, among other projects.

“We are also looking for funds for urban railway commuter projects in Dar es Salaam and Dodoma, he said.

He further explained that they are also in talks on a railway line from Tabora to Kigoma, Dar es Salaam to Mwanza, Kaliua to Mpanda, as well as, from Mtwara to Mbamba Bay.

On his part, Mr Al-Waziri, said he is with a delegation from Egypt, including investors and business people from the transport sector.

According to him, Egypt is ready to build relations with African countries, including Tanzania, and most especially in the transport sector, which connects countries as well as being the most important component for the development of any country.

“We are ready to work with Tanzania through sharing experience and building capacity to develop its infrastructure,” he said.

He noted that they decided to start with Tanzania because it connects with many countries, including Uganda, Zambia, the DRC Congo, Malawi, Rwanda, Burundi, Mozambique and Kenya.

According to him, through improved infrastructure that connects countries, Tanzania and Egypt will be able to trade different commodities.

Explaining, he said that to highlight relations between Tanzania and Egypt, a company from Egypt is currently constructing the Julius Nyerere Hydro Power Plant, which is expected to be completed soon and bring enormous development to Tanzanians.