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Discussion Starter #1 (Edited)
A TANZANIA-China joint venture for setting up a huge logistics business centre at Kurasini in Dar es Salaam, mainly for Chinese traders in the metropolis and elsewhere, risks not meeting the set deadline. Besides, slow project implementation has raised the originally projected costs from the original Tsh60bn to Tsh94bn today! [/FONT]
Apparently, the plot upon which the project is to be developed is slated to be handed to a Chinese construction company in June this year. But current owners/occupiers of same are yet to be fully-compensated. This is on account of slow flow of funds from the relevant sources!
Local government officials in the area affirm that they are seeking audience with the Ministry of Trade & Industry to push for release of the funds needed to pay to the land occupants so that they can then vacate the area for the project to commence.
Kurasini Ward Councilor Wilfred Kimati could not be reached for comment. But, other sources told Business Times that the leadership was deliberating on the issue of raising the requisite financing with ministry officials. Apparently, Tsh11bn is the magic sum which is being sought.
The plot covers 61 acres, cheek-by-jowl to Dar es Salaam Port, and is suitably located for the establishment of a huge business centre. If and when completed, the facility would offer a common entry point for Chinese imports for Tanzania and the region, an official of the Economic Processing Zones Authority (EPZA) says.
For some time now, importers of Chinese goods have been facing challenges as consumers complain of substandard quality, a drawback which has been hard to control as importers seek cheaper goods from China rather than established brands.
The EPZA Development & Operations Manager, Engineer Kenneth Haule, says brand goods will be imported directly from main Chinese business centres such as Yiwu City and Quanzour to Kurasini warehouses, where whole and retail business operators would be able to readily obtain quality goods.
Project designers expect that the facility will eliminate or minimise the habit of business persons flocking to the Far East to buy in bulk stocks of goods for wholesale and retail sale in Tanzania.
What is important, according to EPZA is that goods will be screened at the port before and after offloading. They would then be moved to logistic warehouses distinct from imports of non-brand goods and substandard products.
The EPZA officials also expect that this method would reduce the need for foreign exchange to procure quality goods, as they would be availed within the country.
This also applies to neighbouring countries like Uganda, Rwanda, Burundi, DRC, Zambia, Malawi – and even the Comoros and Seychelles which could trade directly from the facility in Dar es Salaam!
The port of Dar es Salaam has been facing a driftng away of importers from neighbouring countries due to excessive official bureaucracies, leading to high waiting charges and sluggish performance. It is hoped that when the Logistics Centre project is up and running, the port would then become the focal point of importers again, EPZA officials assert.
Instead of losing foreign exchange, Tanzania stands to benefit, traders from other countries would have their goods shipped through Dar es Salaam port. Also, traders from other countries could come shopping at the Logistics Centre using foreign currency, thereby further boosting the country’s economic growth.
The Centre will provide zones for establishing manufactories for export to countries like China, India, Thailand and Indonesia where beans and similar produce have considerable market uptake, according to the chairman of the Tanzania Private Sector Foundation (TPSF), Reginald Abraham Mengi.
Mengi, chairman of the IPP Group of Companies, has commended the government for creating a good investment environment whereby Tanzania can, working through the EPZA, start moving from its chronic state of dependency to a measure of self-reliance!
Citing the example of the Benjamin Mkapa Special Economic Zone (SEZ), Eng. Haule says the site employs hundreds of local people. Some factories there process mung-beans and related products for export, with average of ten containers shipped to the Far East weekly.
The proposed Centre is expected to accommodate services by various authorities to facilitate the processing of clearance of goods, grouping agencies like TRA, the police, banking services, airline services, residential apartments, tourism services and tourist hotels.
At the moment, such services are scattered all over the city, forcing traders and importers to scurry the streets to find where such services are located!
“The new Centre will improve the business environment, as goods can be collected after being paid for in clearance taxes at one point." officials explain.
“As China trades with most African countries nowadays, it has an interest in ending this story about fake products coming from that country,” a ministerial official noted.
“They (Chinese) will bring brand goods to Dar es Salaam Port, inspected by the respective agencies and moved to warehouses at the Kurasini Centre, with traders purchasing at the Centre and hauling their wares to their respective destinations,” he further said.
"The project is basically set to benefit the local population. With considerable support from the China Government working through EPZA, this will allow foreign and local investors to make fully-processed or semi-processed goods for the world market," the ministerial official added.​
 

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Discussion Starter #3
TANZANIA AND CHINA NEW LOGISTIC CENTER TO CREATE 30,000 JOBS

The establishment of a Tanzania and China logistic centre at Kurasini in Dar es Salaam is tipped to set records for trade volumes between the two countries and to cut the inflow of substandard goods.

According to officials, the envisaged business hub is expected to boost government revenues and create about 30,000 direct and indirect jobs.

The hub will comprise trading centres, wholesale markets, warehouses, exhibition and conference centres.

The 61-acre plot is close to the Dar es Salaam Port and suitable for the establishment of a huge business centre.

Trade volume between the two countries last year was $3.7 billion in favour of China, while Tanzania amassed $600 million.

http://www.google.com/url?sa=t&rct=...jiDGHJEwx1mKreg&bvm=bv.71667212,d.ZWU&cad=rja
 
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Discussion Starter #6
Tanzania to construct Chinese products trading center


DAR ES SALAAM - Tanzania authorities said on Wednesday that construction of the Tanzania-China Logistics Center, a trade hub for high quality Chinese products to the East and Central African markets, will start soon.

Tanzania's minister for Industry and Trade Abdallah Kigoda said China will finance the project to the tune of $412.5 million. The Tanzanian government has released $33 million to compensate 1,020 residents who will be affected by the project at Kurasini in the commercial capital Dar es Salaam.

"The government has given the money to the Export Processing Zones Authority (EPZA) which will oversee the compensation exercise," the minister told a news conference.

The project is a result of a Sino-Africa cooperation meeting in 2009, and will cover 60.4 hectares in Kurasini covering Shimo la Udongo, Mivinjeni and Kiungani areas.

"We are happy. This signifies a crucial development toward implementation of this important project to our country's development," said Kigoda.

The deputy minister for Industry and Trade Janet Mbene said the project will create more than 25,000 direct employments and 100,000 indirect employments, and will increase the government's tax base.

"The trade hub will also help local residents to buy Chinese products in Tanzania instead of travelling all the way to China, hence cutting down costs," Mbene said.

source : http://www.newsnow.co.uk/A/729460978?-31747:20621
 

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Discussion Starter #11
It looks like it will be Dem massive owing its price tag at $412.5 million (almost equal to BRT phase one cost ).......imagine u av this logistic center on the other-hand the biggest port Africa by far..as well as standard rail gauge on the central corridor.....
 

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Discussion Starter #13
Ta kid,nimekutana na hii kitu mahali,inaonyesha ni project kubwa sana kama hawajokosea kiasi cha fedha za mradi(apprx USD 32bn karibia 53Trillion TZS)

http://constructionreviewonline.com...b-tanzania-china-logistics-centre-start-soon/
nimeona,japo nafikir wamekosea tu.Uandishi wakizembe wametaja iyo pesa kwa kichwa cha habar ukisoma habari yenywewe ndani iyo pesa haipo au haija tajwa tena........haswa ao jamaa wainatwa "contruction review online" siwakuaminika hata kidogo,mara nying huandika hata fununu tu pia sijui hawana mhariri na waandishi wa kukusanyaji wa habari
 

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Discussion Starter #14
China Expands Investment in Tanzania

Tanzania most likely was chosen because of its relative stability and its position as an entry point for landlocked nations in Central Africa, Ms. Brautigam said. The logistics hub will serve as an entry point for Chinese goods unloaded at the port of Dar es Salaam, which competes with the port of Mombasa, Kenya, as the main maritime hub in East Africa.

“Right now a lot of African traders are buying Chinese goods at the Dragon Mart in Dubai — the largest Chinese trading hub outside of China,” she added. The facility is set to nearly double in size to 83 acres, the website of The National, a newspaper in Abu Dhabi, United Arab Emirates, reported in February.

source- The newyork times: http://www.newsnow.co.uk/A/733170660?-31747:20621
 

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Discussion Starter #17
Payout hitches delay logistics centre project​

Dar es Salaam. Construction of a huge business centre that will offer a common entry point for imports from China, will now begin mid next year due to delays to compensate all of the Kurasini residents who will be affected by the scheme.

Earlier, the project was scheduled to start late last year after the government released the second portion of the budget to be compensated to the affected residents.

Some Sh53 billion was released in September 2014 while another Sh45 billion was released during the 2013/2014 financial year to bring the total amount spent on compensations to hundreds of people to be affected by the project to Sh98 billion.

But with delays in compensations, the amount skyrocketed and by June 2015, the estimates were that another Sh3 billion would be required as the last compensation portion while another Sh500 million would be required to clear the area before China brings its $400 million (about Sh860 billion on the prevailing exchange rate) for actual construction. The agreement was that Tanzania should cater for all the compensation requirements while China would fund the actual construction.

But according to the director of planning and development at the Export Processing Zones Authority (EPZA) Lamau Mpolo, the last compensation package plus clearing costs have now reached Sh3.75 billion which Tanzania must source before China comes in.

“We had expected to have received the final payment segment at the beginning of the financial year which would have finalised compensation payments for the 17 remaining people and other costs of demolition including securing the certificate of occupancy from the government,” he told BusinessWeek.

However, with the central government failing to issue the remaining amount, EPZA, which is entrusted with the task of overseeing the project, decided to seek the help of TIB Investment Bank for a possible government-guaranteed loan.

The two institutions (TIB and EPZA) went on to sign a Memorandum of Understanding (MoU) for a Sh3.75 billion loan but despite the bank’s readiness in making the money available to EPZA, the same has not yet been approved by the Ministry of Finance. “We are hoping they will approve the loan soon and enable us to complete the compensation,” he said. He was hopeful that once the loan gets approved, they will be able to complete the compensation process by February, 2016.

Talks about the project began when China expressed a desire to start trade hubs in four African countries during the Sino –African Cooperation meeting held in Cairo which was held in 2009.

Ultimately, Tanzania was chosen as a starting point for the project. Tanzania, East Africa’s second largest economy, has so far compensated about 1,020 Kurasini residents to pave the way for actual construction of a project that will include the construction of a modern trade hub on the 60.4 hectares at Kurasini.

The area will turn Tanzania into a hub of Chinese goods throughout the entire East and Central African region.

The project involves both the government of China which is represented by the Yiwu Pan – African International Investment Corporation and the government of Tanzania represented by EPZA who will jointly run the centre under a Public Private Partnership (PPP) model.
 

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Would moving this project to Bagamoyo be possible? Why create more congestion in dar. Especially in the Kurasini area.
 

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Discussion Starter #19
It may be too late,for that good and wise idea.....i guess they are done with compensation.
 

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I think i should have worded my question better.
I was thinking more from a hypothetical prespective.
If the project would move to some place like bagamoyo what would be the advantages/disadvanges.
 
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