Tanzania to Begin Construction of $10 Billion Bagamoyo Port After a Decade of Delays

Tanzania to Begin Construction of $10 Billion Bagamoyo Port After a Decade of Delays

Tanzania Launches Bagamoyo Port Project to Boost Trade and Regional Maritime Capacity

Tanzania is set to begin construction of a new port in the country’s east this December, ending more than a decade of delays caused by government objections to the initial contract terms with foreign developers.

The Bagamoyo port, part of a larger special economic zone initiative that includes industrial parks as well as rail and road connections, is located about 75 km (47 miles) north of Dar es Salaam, the nation’s commercial hub.

Government spokesperson Gerson Msigwa confirmed that the port will eventually feature 28 berths, with construction starting initially on 14. Machinery for the project is reportedly en route, although further details were not disclosed.

The port is designed to reach a depth of 20 meters, enabling it to accommodate larger vessels than any other port in East Africa.

Tanzania signed a framework agreement in 2013 with China Merchants Holdings International and Oman’s State General Reserve Fund, but implementation was stalled after the government deemed the terms unfavorable.

Since taking office in 2021, President Samia Suluhu Hassan has overseen renegotiations to revive the $10 billion project, marking a significant step toward enhancing the country’s trade capacity and regional maritime influence.

The development comes as Tanzania works to recover from economic challenges following a contentious election widely criticized for violence and irregularities.

Post-election tensions have already impacted trade, with reports of Kenyan businesses facing increasing obstacles in dealings with Tanzania.