Ports chart a course of progress

China is increasing its presence in Tanzania by taking part in the country's major transport projects.

China Harbour Engineering Co recently signed a contract with Tanzania Ports Authority to expand the main port of Dar Es Salaam.

The project will be financed by the World Bank for a period of 36 months.

The signing of the contract enhances the level of activity by Chinese companies in the East African country.

Under the contract funded by a World Bank loan, CHEC, a subsidiary of the State-run China Communications Construction Co Ltd, will build a roll-on, rolloff terminal and deepen and strengthen seven berths.

The contract includes the creation of a new 30,000 metric ton ro-ro berth to upgrade existing berths, to enhance the overall capacity and service level of the port and boost Dar es Salaam's overally compeitiveness as an important port in the East Africa.

"Deepening and strengthening of the berths will allow big container ships to dock in Dar Es Salaam. This will increase the competitiveness of the port," says Makame Mbarawa, Tanzania's works, transport and communications minister.

The project is expected to enhance trade, both locally and within the East African Community and South African Development Community regions.

TPA director general Deusdedit Kakoko says the contract is part of the port's efforts to increase its annual handling capacity to about 28 million tons by 2020 and prepare the port to welcome bigger container ships.

It is expected that the expansion will increase container throughput to 28 million tons a year by 2020, from around 20 million tons currently.

Dar port provides a gateway for 90 per cent of Tanzania's trade and is also an access route for six countries, the others being Rwanda, Burundi, Uganda, Malawi, and Zambia.

Dar es Salaam is Tanzania's largest commercial city, one of the fastest-growing in Africa, and has redrawn its master plan to try to become a megacity prepared for climate change, and not a city of worsening urban sprawl and flooding.

The plan, which looks ahead to 2036, aims to transform the city of more than 4.5 million people and proposes creation of a metropolitan development authority to oversee planning and major infrastructure development, including transportation and utilities.

China and Tanzania have taken on up to 19 projects, worth billions of dollars. Some of these have been financially backed by the Chinese State-owned Exim Bank.

Three years ago, Tanzania signed a framework deal with China Merchants Holdings (International) Co to build a new port, special economic zone and railway network that could cost more than $10 billion.

One part of the deal involves the construction of the multi-billion-dollar port at Bagamoyo, about 45 kilometers from Dar Es Salaam.

The project is financially backed by China Merchants Holdings (International), China's largest port operator, and Oman's State General Reserve Fund. The Chinese firm will handle much of the construction work.

The port, if completed, will be able to handle megaships-with a container vessel size of 8,000 units - after the first phase is completed, with room for expansion.

The whole project including roads, railways and the economic zone is expected to take 10 years to complete, but it is unclear in how many phases it will be carried out.

Bagamoyo is set to be the largest and most modern port in Africa and will be in operation this year. It will handle 20 times more cargo than Dar es Salaam, which is Tanzania's current major import and export gateway.

Tanzania expects nearly 1,000 major Chinese investors to invest in a special economic zone, including textiles, manufacturing, fishing, mining and agriculture.

Chinese President Xi Jinping announced plans to plough $60 billion into African development projects at a summit in Johannesburg in 2015, saying it would boost agriculture, build roads, ports and railways.

In March this year Tanzania President John Magufuli signed three cooperation agreements with China.

For China Daily