KISUMU 30TH JAN 2008

TANZANIA TO BUILD 13 EPZS TO FACITATE EXPORT TO HER NEIGHBOURS

By Leo Odera Omolo
 
THE Republic of Tanzania has envisaged plan to set up 13 export processing zones ( EPZs) close to border areas to help its business community access markets in neighbouring countries.
 
The new initiative seeks to export locally manufactured goods such as conned fish  and beef, juices, leather items, soft drinks, minerals products, furniture, textiles and garments to the region.
 
The focus, according to a source in Dar es Salaam, will be on Kenya, Malawi, Zambia Mozambique, Burundi, Rwanda, Uganda and the Democratic Republic of Congo (DRC).
 
Although the concepts of duty. free EPZs has not done well in the region with such ventures failing in neighbouring Kenya and Uganda , the Tanzanian government has set a total of 2,000 hectares in its region such coast, Arusha, Kilimanjaro, Morogoro, Mara, Ruvuma, Lindi, Tanga, Mbega, Kagera, Mtwara and Mwanza for the purpose.
 
The Director- General of the Export Processing Zones Authority, Dr. Adel Herm Meru said recently that the projects were expected to attract local investors who normally distance themselves from EPZ project in the belief that they are capital intensive.
 
Dr. Meru said EPZs have emerged as an effective instrument to boost export of locally manufactures products.
 
“ The zones set up as enclaves separated from the domestic Tariff Area by physical barriers, are intended to provide an internationally competitive duty free environment for export production at low cost” he said, adding that the objectives of EPZs are to enhance foreign exchange earnings, develop export-oriented industries and generate employment opportunities.
 
Tanzania has so far licensed 23 forms under EPZ programme eight as developers and 13 as operators. These include reclaimed Appliances African Pride Textile, Tsubas Renewercar Mwananchi Gold Company and Kibo Trader Textiles.
 
Other are Net Health International, Victor Health, African Packing International, Metrec Tanzania, Dist century comprint internal and Nagoya Motors.
 
The country has three major Export processing zones – millennium business parks and Hitadhi EPZ in Dar-es-salaam and A to Z in Arusha town
 
ENDS
 
leooderaomolo@yahoo.com