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Tanzania Launches New SEZ Drive to Attract Global Investors

by Radarr Africa
Tanzania Launches New SEZ Drive to Attract Global Investors

Tanzania has kicked off a major investment campaign aimed at transforming the country into one of Africa’s leading industrial and investment hubs. Speaking during the launch in Dar es Salaam, Prof. Kitila Mkumbo, Minister of State for Planning and Investment in the President’s Office, said the initiative is part of the government’s broader vision to align Special Economic Zones (SEZs) with national development corridors and key infrastructure projects.

“SEZs are not just locations—they are the cornerstone of our national economic growth strategy,” Prof. Mkumbo said, stressing that the effort reflects an unwavering commitment to building a strong industrial economy. He pointed to the central role of the Tanzania Investment and Special Economic Zones Authority (TISEZA) in implementing the plan.

Five major SEZs have been identified for the current investment promotion drive: Nala SEZ in Dodoma (607 hectares), Kwala SEZ in the Coast Region (40.5 hectares), Buzwagi SEZ in Shinyanga (1,333 hectares), Bagamoyo eco-maritime city SEZ Phase I (151 hectares), and the Benjamin William Mkapa SEZ in Dar es Salaam, which is undergoing expansion over 13,000 square metres. Prof. Mkumbo explained that these sites were chosen to ensure balanced industrial growth across different regions.

Tanzania’s journey with SEZs began in 2006 with the creation of the Export Processing Zones Authority under the “mini-tiger plan” (2004–2020). Since then, 34 SEZs have been initiated—17 by the central government, two by parastatals such as the National Social Security Fund (NSSF) and Tanzania Ports Authority (TPA), four by local governments, and 11 by the private sector. In addition, more than 200 stand-alone export processing zones have been registered nationwide.

However, challenges remain. High land lease costs, inadequate infrastructure, and various tax and regulatory barriers have hindered some projects. To address these issues, the government rolled out SEZ development and management guidelines in September 2024 to streamline operations, cut red tape, and boost investor confidence.

The investment packages for SEZs include up to 10 years of corporate income tax exemption, simplified regulatory procedures, and access to essential infrastructure. Prof. Mkumbo said the incentives will reduce operational costs and allow investors to tap into domestic, regional, and global markets. The government expects the SEZ strategy to create thousands of jobs, especially for young people, increase exports, and reduce dependency on imports.

Calling on both local and international investors to participate, Prof. Mkumbo stressed that industrialisation is a shared responsibility. “The government is improving investment conditions, but we also need capital, technology, and expertise to build the Tanzania we envision,” he said.

With the campaign now launched, TISEZA will lead an aggressive promotion drive both locally and abroad, featuring investor forums, business summits, and targeted promotional tours. These events will showcase the potential of Tanzania’s SEZs and encourage strategic partnerships.

Gilead Teri, TISEZA’s Director General, said the authority is ready to support investors and ensure smooth implementation of SEZ projects. “We are targeting sectors such as pharmaceuticals, wool, packaging, electronics, agriculture, and value addition, among other industries,” he noted.

The government hopes this renewed push will position Tanzania as a competitive manufacturing hub, attract sustainable foreign direct investment, and strengthen the country’s role in regional and global trade.

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