The Chinese government has selected the East African nation of Tanzania as a new addition to its ambitious One Belt, One road initiative. The plan is modeled along the lines of the traditional silk road, an ancient trade route that spurred Chinese trade with the world. It aims to boost China’s economy by locking down on latent trade and investment opportunities along selected routes and markets. An example of it’s benefits to participating countries is a recent $1.5 billion investment by Shanghai Power into a Pakistan power generation facility. Tanzania joins Kenya as the only African countries the plan involves.
With 2017 GDP growth expected to hit 7.4%, Tanzania is rapidly diversifying its economy away from a socialist core. The nation’s track record as a stable and budding democracy, sizable population and abundant mineral resources positions it has one of the hottest emerging markets globally. It’s favorable alignment as a centre for Chinese investment and regional connectivity position it to become an industrial giant. Leading Tanzanian companies that have benefitted from these favorable economic and political tailwinds include:
METL Group is a leading economic force in Tanzania with major investments and successful operating companies in all key business sectors. The Group employs more than 20,000 people across the country and has interests in trading, agriculture, manufacturing, energy and petroleum, financial services, mobile telephony, infrastructure and real estate, transport and logistics and distribution.
Cello Industries began business activities in June 2004. It is now one of the leading manufacturers of household plastic, thermo-ware and furniture-ware articles in Tanzania. Despite being a new company and having strong competition in the market, they have managed to build market share very quickly. It’s now going regional and expanding across East & Southern Africa.
The company is dedicated to providing the highest quality of personal care products, to satisfy the personal care needs of consumers. It has a wide range of products for specialized applications. With over two decades of experience of processing consumer care products, TPPL is a leading producer of Petroleum Jelly, Hand & Body Creams/Lotions, Talcum Powders, Baby Powders, Hair Oils, Baby Oils, Glycerine, and Snow.
Greater Chinese participation in the Tanzanian economy will be a boon for industries and the nation at large as access to credit, technology transfer and visibility to Chinese investors grows. Examples of Chinese investment into Tanzania’s manufacturing & trade capacity include the Tanzania-China Friendship Textile Mill and the Tazara Railway line linking Tanzania & Zambia.
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