059_G17_InFocus_Tanzania

Global_17

In Focus Tanzania which employs around 80 per cent of the population and contributes 40 per cent to the GDP of around $30 billion, is seriously underdeveloped. Yara International, a Norwegian fertiliser company, has announced that it is to set up a multi-million dollar plant in Tanzania. The country director for Tanzania, Pål Øystein Stormorken, says that the development of the gas sector will be a tremendous boost to fertiliser production. “If we are to set up a fertiliser plant here, it is not going to be for Tanzania alone. We will export our products to other East African countries and the rest of the continent. In other words, it must be a large-scale fertiliser plant. That’s why we have to be satisfi ed with the availability of the basic raw material natural gas,” he added. Nigeria’s Dangote Cement has invested $500 million in a new plant in Mtwara, which, at full capacity, will produce three million tonnes a year. The aim is to satisfy the current supply defi cit, which is slowing down the pace of construction in Tanzania. At full production, cement could be exported to the country’s neighbours. In what is considered a coup over techsavvy Kenya next door, Nordic Computers has announced that it will assemble personal computers in Dar es Salaam. Company director Simon Vestergaard says its computers will not only be of the Tanzania Kenya Uganda Rwanda Burundi DRC Dar es Salaam • Mozambique • Mbeya Malawi Zambia Key data  Population: 46,218,000 (2011)  Ethnicity: Most people are of Bantu origin, with some 120 ethnic groups on the mainland, none of which exceed 10% of the population  Life expectancy: 58 years  Land area: 945, 090 sq km  GDP: US$28.25 billion (2012)  GDP percentage growth: 6.8% pa 2007-11  Primary school enrolment: 98% same or better quality than competing international brands, but that a superior warranty service will give them a key advantage in the market. Another point of pride for Tanzania is that, for the second time in fi ve years, its tourism sector has outperformed Kenya. In 2012, the country earned $1.56 billion from the sector compared to $1.3 billion earned by Kenya. Tanzania has 31,365 hotel rooms compared to Kenya’s 24,354, but the sector is still not as slick as that in Kenya. Plans to reorganise the sector could well make this country, with its wealth of national parks, second only to South Africa in terms of tourism in Sub-Saharan Africa. An expansion of the sector will also generate muchneeded jobs. Although Tanzania started slowly compared to Kenya, it has been catching up and is now keeping up pace step-for-step with its northern neighbour – the tortoise, as in the fable, seems poised to win the regional race. global f i rst quar ter 2014 www.global -br ief ing.org l 59


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