Chinese investors eye manufacturing sector in Tanzania

Over 100 Chinese investors will invest in the country’s manufacturing sector backed up by China Africa Development Fund (CADFund).

Deputy Permanent Secretary at Prime Minister’s Office, Ms Regina Kikuli and Tanzania Investment Centre (TIC) Executive Director, Ms Juliet Kariuki, said in Dar es Salaam yesterday that China signed an agreement with Tanzania during last year’s visit of President Jakaya Kikwete to the Asian nation.

“Industrialisation was one of the issues agreed upon by President Kikwete and his Chinese counterpart during his visit last year.

The CADFund is an investment fund of the Chinese government which focuses on Africa,” said Ms Kikuli who officiated a China Tanzania Industrial Development and Poverty Reduction meeting in Dar es Salaam yesterday.

She pointed out that as the country prepares its next Five Year Development Plan with focus on industrialisation, China’s support is of paramount importance.

Ms Kikuli noted that growth of the manufacturing sector is an important milestone towards job creation and poverty reduction, pointing out that the Asian nation has proved that industrial and agricultural growth are vital to wean millions of people from poverty.

“This cooperation will also enable us to boost our bilateral trade which has grown by 56 per cent in the past decade,” the Deputy Permanent Secretary at PMO’s said. Earlier, TIC’s Executive Director, Ms Kairuki pointed out that CADFund will not only assist with funding of the private investments in industries, but also help the centre identify genuine Chinese investors.

“This is the first group of Chinese investors that CADFund is introducing to us so that they can find local partners and invest in industries,” Ms Kariuki said.

Ms Kairuki urged the private sector and public institutions such as National Development Corporation (NDC), Export Processing Zones Authority (EPZA) to exploit the opportunity provided by the CADFund, which has potential to transform the local manufacturing and agriculture sectors.

“As government we are providing a conducive environment by putting in place investment friendly policies and laws,” Kairuki pointed out.

Speaking during the meeting, Vice- President of CADFund, Yang Aiwu and Deputy Director of International Poverty Reduction Centre, Tan Weiping pledged Chinese government’s commitment to work with local partners in boosting industrial growth to tame poverty.

“We are more than willing to invest more in Tanzania because of the sustained economic growth and population increase,” Mr Aiwu said. 

He emphasised that CADFund is entirely dedicated to help growth of Africa’s industrial sector as a means of ending poverty especially in rural areas where agriculture is a major occupation.

On his part, Mr Weiping pointed out that China has a lot of experience in taming poverty through industrial and agriculture development.

“China has invested a lot in manufacturing and agriculture sectors which have assisted to reduce the number of people living in poverty,” Weiping said as he promised to make sure that such expertise will be transferred to Tanzania and other African countries.

The two days meeting which brought together over 200 people including government officials, Confederation of Tanzania Industries, Tanzania National Business Council and Tanzania Private Sector Foundation ends today.
Source: Daily News, reported by Finnigani wa Simbeye, from Dar es Salaam, Tanzania
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