DAR ES SALAAM, Aug 21 (NNN-DAILYNEWS) — The US government, through its agency for international development (USAID), has invested 8.3 million US dollars (equivalent to 21.6bn/-) in several Tanzanian firms to boost trade, improve food security and strengthen Tanzania’s competitiveness in the export arena through the African Growth and Opportunity Act (AGOA).
This was revealed by the USAID Mission Director for Tanzania, Craig Hart, at the showcase event of the USAID Africa Trade and Investment (ATI) Activity.
The event held in Dar es Salaam, was officiated by the Minister for Industry and Trade, Dr Selemani Jafo.
According to the USAID Mission Director for Tanzania, nine local firms will receive grants under the USAID Africa Trade and Investment Project, including BioBuu, Biotan Limited, Central Park Bees, Minjingu Mines and Fertiliser Limited, Mount Meru Millers, Red Earth Limited, Sabayi Investments Limited, Tanzania Tooku Garments Co. Ltd and Thirdman (Upendo Honey).
“Today, we celebrate USAID partnerships with nine companies across key sectors, including honey, cashew and garments. These partnerships are expected to generate 2,000 jobs, drive 42.5 million US dollars (110.5bn/-) in new exports, and boost Tanzania’s role as a regional economic hub,” Hart said.
He added: “We’re paving the way for Tanzania to become a regional breadbasket, energy exporter and youth-driven innovation hub and through AGOA, we are helping Tanzanian firms find markets in America.”
He said AGOA is a key part of US economic policy with Africa, offering eligible sub-Saharan countries duty-free access to the US market for over 1,800 products.
“To highlight a few of the expected results stemming from these new partnerships; Tanzania is well-positioned to expand its honey production as it is currently Africa’s second-largest honey producer and the top supplier to the EU,” he said.
He added that Third Man Limited (Upendo Honey) is expected to increase honey exports by 767 per cent, while Central Park Bees is expected to increase production by 33 per cent.
However, to address challenges with access to fertiliser, USAID partner Minjingu Mines will boost fertiliser output by 50 per cent while adding 20 million US dollars (52bn/-) in additional domestic sales over two years.
For his part, Dr Jafo expressed the government’s commitment to ensure the ATI project benefits the majority across the country by creating a friendly climate for the project to operate smoothly.
“As we celebrate our achievements today through the ATI Project, we feel there is still significant work to be done to fully exploit the trade and investment potentials we have in the country,” he added.
The minister said there is a need to continue to develop and enhance our production and supply capacity to meet market demand.
“We need to diversify our export basket by expanding beyond traditional sectors to include value-added products with higher margins to ensure consistent product quality and timely delivery,” Dr Jafo stressed. — NNN-DAILYNEWS
