TANZANIA – Tanzania has reaffirmed its commitment to supporting sugar factory owners in a bid to enhance local production and create a favorable investment climate.
Speaking during a visit to Bagamoyo Sugar Factory, the country’s Minister of Industry and Trade, Selemani Jafo, highlighted the government’s dedication to protecting the industry and fostering its growth.
Jafo emphasized President Samia Suluhu Hassan’s strong commitment to ensuring the stability of sugar factories across Tanzania.
“I oversee this industrial sector, and it is my responsibility to create a conducive environment,” he stated, reaffirming the government’s intention to support factories in overcoming production challenges.
Bagamoyo Sugar Factory currently produces 80,000 tonnes of sugar annually. With planned expansions, this output is expected to increase to 100,000 tonnes.
The expansion will not only boost production but also create 1,500 additional jobs, contributing to the local economy.
Tanzania’s sugar consumption stands at 800,000 tonnes per year, and the government aims to meet this demand domestically by 2027.
Minister Jafo expressed optimism that the country will achieve sugar self-sufficiency within the next few years, ultimately eliminating the need for imports and positioning Tanzania to export surplus sugar to other markets.
In July, the Tanzania Sugar Producers Association (TSPA) announced that local sugar producers had initiated expansion projects aimed at meeting national demand by the end of the 2024-25 fiscal year.
Local production reached 460,200 tonnes in 2023, up from about 300,000 tonnes in 2015, thanks to collaboration between the firms and the government to protect local investment and curb irregular sugar imports.
The TSPA highlighted that a favourable investment climate has enabled local investors to inject more capital into expanding their operations.
Tanzania plans to elevate sugar production from an average of 460,048 tonnes recorded in 2022/2023 to 706,000 tonnes by the conclusion of the 2025/2026 fiscal year.
Sign up to receive our email newsletters with the latest news updates and insights from Africa and the World HERE
