Over 40 French companies to invest in Tanzania

Dar es Salaam. Some 40 French companies plan to develop their production base in Tanzania with a view to improving the balance of trade between the two countries, the government said yesterday.  
The companies deal in energy, construction, aviation, infrastructure system, finance, tourism, health, agro-food to water treatment, to mention but a few.  Officiating the Tanzania-France Business Forum, the Investment, Industry and Trade minister, Dr Ashatu Kijaji, said the volume of trade between Tanzania and France, stood at $81.1 million (about Sh186.5 billion) last year.   
Tanzania’s exports to France stood at $17.7 million (about Sh40.7 billion) while imports stood at $63.4 million (about Sh145.8 billion), which Dr Kijaji attributed to a tendency of exporting raw materials by the east African nation. While Tanzania’s major exports to France are tobacco, beans, avocados, fish, cotton, vegetables raw hides and skins, on the other hands the major imports from France are airplanes spare parts, aircraft engines, industrial sugar, laboratory reagents, vaccines for veterinary medicine and animal feeds machinery.  Dr Kijaji said developing production base in the country will promote value addition, transfer of technology and creation of strong partnership.
“We are encouraged with the approach of several French companies which have shown interests to develop their production base here in the country,” she noted.  A delegation of 40 companies are in the country since Sunday and expected to leave on Thursday.
Dr Kijaji assured them of conducive business environment, saying Tanzania was offering a well-balanced and competitive package of fiscal trade incentives especially in the priority sectors such as manufacturing, agriculture, tourism, petroleum, gas and mining.  “For all these sectors, except petroleum and gas, acquisition of all capital goods are zero rated for import duty purposes and Value Added thereon deferred,” she said.
Official data have it that, Tanzania has registered a total of 38 investment projects worth $101.65 million (about Sh233.8 billion) from France.
The projects will employ 2,377 people.  Ambassador of France to Tanzania Nabil Hajlaoui reiterated the France’s commitment to cementing trade and economic ties with Tanzania.
He said the embassy would do whatever it took to help Tanzanian companies to build partnership with investors from France.  “Small, medium to large French companies are ready for partnership. Over 40 companies are here today to explore investment opportunities,” said Ambassador Hajlaoui.
Adding: “This shows that there is potential here in Tanzania and French companies are ready to grab the same (opportunities).”
The vice chairperson of the Africa committee of the largest employer federation in France, Mr Gerard Wolf said the delegation was here to share views meant to boost long-term partnership with their Tanzanian counterparts.
“We are here not only to boost business, but also train Tanzanians. This is our key focus,” said Mr Wolf.
“We think this time is now to bolster our relations on a win-win situation.”
Ambassador of Tanzania to France Samwel Shelukindo said the visit paid by the delegation of 40 French companies in the country is a result of a successful tour of President Samia Suluhu Hassan of France in February this year.
While in France, the Head of State met with the French president Emmanuel Macron and business community, with boosting trade between the two countries topping the agenda of their meetings.