TANZANIA – The Sixth Phase Government of Tanzania, led by President Samia Suluhu Hassan Tanzanian government has inaugurated the Mkulazi sugar factory to help the nation meet its demand for sugar.
Realized through a collaborative effort between the National Social Security Fund (NSSF) and the Prison Corporation Service (SHIMA) the factory is also expected to significantly improve the economic fortunes of Tanzania.
“Having completed rigorous testing and commissioning, the factory is scheduled to commence at the end of December, marking a pivotal moment for Tanzania,” said Cyprian Luhemeja, the Permanent Secretary in the Prime Minister’s Office.
Luhemeja emphasized that the construction of the factory represents a significant step forward for the nation.
He lauded the National Social Security Fund’s role in this endeavour, highlighting the creation of 11,000 new direct jobs as a testament to the positive impact on employment.
The Mkulazi factory, in its initial phase, is projected to have a production capacity of 50,000 metric tonnes of sugar, with plans to escalate this figure to 75,000 metric tonnes per year.
The government sees this development as a revolutionary initiative, reflecting favourable policies that encourage the fund to invest in productive sectors, thereby fostering economic development.
The Tanzanian government’s commitment to addressing the sugar shortage crisis is evident in its ongoing efforts. Earlier this year, plans were unveiled to construct mini-processing facilities for sweetener production within the country.
Prof Frederick Kahimba, the director general of Temdo, highlighted the necessity of small-scale processors to complement existing large-scale plants in meeting the domestic demand for sugar.
Presently, the country relies on four main factories – Kagera Sugar Ltd, Kilombero Sugar, Mtibwa Sugar Estates Ltd, and TPC Ltd – which collectively produce approximately 370,000 tonnes of sugar annually. However, this falls short of the domestic demand of around 670,000 tonnes.
The Tanzanian government, led by the ruling political party, has set an ambitious target to become self-sufficient by producing 700,000 tonnes of sugar by 2025.
The commitment to the sugar industry’s growth is further underscored by recent announcements, such as TPC’s plan to invest $45 million in constructing a molasses plant.
This strategic move aims to strengthen the sugar value chain in Tanzania, aligning with the overarching goal of achieving self-sufficiency and addressing the sugar shortage by 2025.
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