How Tanzania will benefit from Sh926bn port project

How Tanzania will benefit from Sh926bn port project

Mon Jul 03, 2017

 

The project is expected to enhance trade, both locally and within the East African Community (EAC) and South African Development Community (SADC) regions.

The $421 million (Sh926.2 billion) project will entail, among other activities, the widening and deepening of berths number one to 11 and construction of a new multipurpose berth at Gerezani Creek. The work will also involve the widening and deepening of the entrance channel and turning basin and improving rail linkages and platforms at the port.

The Dar es Salaam Maritime Gateway Project (DSMGP) launched by President John Magufuli yesterday is expected to boost the economy by significantly increasing Dar es Salaam Port’s capacity.The project is expected to enhance trade, both locally and within the East African Community (EAC) and South African Development Community (SADC) regions. The $421 million (Sh926.2 billion) project will entail, among other activities, the widening and deepening of berths number one to 11 and construction of a new multipurpose berth at Gerezani Creek. The work will also involve the widening and deepening of the entrance channel and turning basin and improving rail linkages and platforms at the port. The huge investment will see waiting time at berths slashed from an average of 80 hours to 30 hours, thus reducing the amount charged for delay of consignments at the port. The project is being funded by the World Bank, which has provided a $345 million concessionary loan and $12 million grant.The government, through the Tanzania Ports Authority (TPA), has injected $63 million and the United Kingdom has provided a $12 million grant through the Department of International Development (DFID). 

Trade Mark East Africa (TMEA) has pledged to improve the operational efficiency of the port through rehabilitation of access roads and demolition and relocation of sheds, taking the total value of the project to over $480 million. The DSMGP will be implemented in 28 months.</p></div><div><p>President Magufuli said yesterday that the project was important for Tanzania’s development because Dar es Salaam was the country’s economic centre through which 90 per cent of imports passed through, including goods destined for the landlocked neighbouring countries of Rwanda, Burundi, Zambia Democratic Republic of Congo, Uganda, Zambia and Malawi. 

“The expansion and modernisation will increase the volume of cargo passing through the port, thereby improving the government’s capacity to implement development projects and provide social services to the people. I commend the ministry (of works, transport and communication) and TPA for overseeing the commencement of this project,” he said.

Dr Magufuli added that super-sized ships could not dock at the port due to its relatively shallow depth, leading to delays that inconvenienced people using the facility.</p></div><div><p>World Bank country director Bella Bird said the bank and DFID would continue to work with the government in capacity building programmes tailored for institutions such as Bandari College, Dar Maritime Institute and the College of Engineering and Technology at the University of Dar es Salaam.

SOURCE: DAILY NEWS

 

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