DAR ES SALAAM, May 21 (NNN-DAILYNEWS) — TANZANIA has launched an initiative to improve its fertilizer production capabilities through a partnership with PT ESSA Industries Indonesia Tbk and the Tanzania Petroleum Development Corporation (TPDC).
The two organizations have signed a Memorandum of Understanding (MoU) worth 1.4bn/- US dollars.
The project envisions the establishment of a plant capable of producing one million tons of fertilizer so as to meet the growing fertilizer demand in the country and reducing reliance on fertilizer imports.
The Tanzania Fertiliser Company (TFC) Business Director Lameck Mborega, stated that this partnership will be beneficial, as the government will no longer have to use foreign currency to import fertilizer.
“Last year, we spent over 150m/- US dollars to import fertilizers, “therefore through the MOU will enable the Tanzanian government to have its fertilizer production company,’’ he added.
He also emphasised that with local production, fertilizer distribution will be easier, as Tanzania will no longer need to wait for three months for ships to deliver fertilizer, which is often expensive and burdensome for the final consumer, the farmer.
The Director of Planning and Investment at TPDC, Derick Moshi mentioned that the corporation expects to participate as an investor and confirmed that the use of gas from existing wells will make the fertilizer production feasible.
This collaboration is part of broader efforts to strengthen economic ties between Indonesia and Tanzania, following a state visit by President Samia Suluhu Hassan to Indonesia in January 2024, which aimed to encourage Indonesian companies to invest in Tanzania.
The establishment of this fertilizer plant is expected to boost Tanzania’s agricultural productivity and position the country as a regional leader in fertilizer production and distribution. — NNN-DAILYNEWS
