Dangote to expand his investments in Tanzania

By Our Correspondent, DAR ES SALAAM

President Samia Hassan of Tanzania met Africa’s richest person and Nigerian Billionaire, Aliko Dangote on Monday May 24 at State House, Dar es Salaam and discussed investment expansion.

Nigerian Billionaire, Aliko Dangote (L) pose for a picture with Tanzania's President Samia Hassan at State house, Dar es Salaam

Speaking after the talks with President Hassan, Dangote who has business interests Tanzania called on other businessmen to invest in the country following the change of governance.

“The business environment has changed dramatically, things have opened up but wherever that I go I will be Tanzania’s ambassador and I will tell people to come and invest here.” He said.

Dangote whose investment in Tanzania is worth $770 million USD (1.761 trillion shillings) with a huge investment in cement manufacturing said he intends to establish a fertilizer factory in the country.

The Dangote’s 3.0Mta plant in Mtwara, about 400km from Dar es Salaam city was commissioned in December 2015 and is the largest cement factory in Tanzania.

With about 500 million tonnes of limestone reserves, enough for 149 years, the plant is capable of producing large amounts of high-quality 32.5 and 42.5 grade cements to meet local market needs at competitive prices, as well as surrounding export markets by sea.

Dangote Cement Plc is Sub-Saharan Africa’s leading cement company, with a production capacity of 48.6 million tonnes per year across ten countries. Together, these operations make it the largest cement producer in Sub-Saharan Africa.

Dangote also owns stakes in publicly-traded salt and sugar manufacturing companies; his refinery project has been under construction since 2016 and is expected to be one of the world's largest oil refineries once complete.

Speaking on what they discussed with President Samia, Dangote said: I promised her that we shall continue investing in Tanzania to create jobs, wealth and prosperity for the people of Tanzania... I think she needs that support, we shall continue to invest in a large scale in Tanzania to support what she is doing, she can only do policies and we shall create the jobs,”

President Hassan commended Dangote for the huge investment in cement production amounting in the southern Tanzania, emphasizing that the government is determined to protect Dangote’s investments as well as other investors’ projects for mutual benefit.

President Hassan has instructed Minister of Trade and Investment, Minister of Investment, and Deputy Minister of Finance and Planning to make sure the challenges facing the Dangote industry are dealt with to make sure it continues with production as desired.

Outlining her stimulus plan before the Parliament in April this year, the President reiterated that investors have been complaining about Tanzania’s unpredictable investment climate, hostile tax collection tactics and bureaucracy, saying the situation would change with her at the helm as Tanzania’s sixth president.

“The sixth phase government will take an uncompromising approach on this, and we will start with the blueprint (for the improvement of Tanzania’s business climate, which was approved in 2018). Issuance of permits and licenses will be streamlined, and so will the process of issuance of land to investors.” - Africa