The Tanzanian government has announced plans to stop importing steel following a major expansion in local production. With a thriving steel industry now exceeding domestic demand, Tanzania is positioning itself as a leading producer in the region.
During a visit to Lodhia Industries in Mkuranga District, Coast Region, Minister of State in the President’s Office (Planning and Investment), Prof. Kitila Mkumbo, described this development as a transformative step for the country’s industrialisation efforts.
“Tanzania now has 19 major steel industries capable of meeting local needs,” Prof. Mkumbo stated. “With a combined production capacity of 1.2 million tonnes, far exceeding the domestic demand of 600,000 tonnes, we no longer need to rely on imports.”
The minister reaffirmed the government’s commitment to fostering an investment-friendly environment that supports local industries. He emphasised that while Tanzania has the capacity to export steel, priority will be given to local consumption and economic development.
Lodhia Industries’ Chief Executive Officer, Mr. Manoj Gopi, highlighted his company’s $100 million investment as a testament to the sector’s potential. He noted that the company employs 2,370 workers and exports steel to neighboring countries, including Rwanda, Burundi, and the Democratic Republic of Congo.
Chair of Dar es Salaam’s Members of Parliament, Ms. Mariam Kisangi, underscored the importance of government-investor collaboration in boosting industrial growth. “Investors are crucial to our economic progress, and we will continue working together to create policies that support investment,” she said.
The growth of Tanzania’s steel sector has already created thousands of jobs and is expected to drive further economic expansion, particularly in infrastructure development.
Tanzania Investment Centre’s Director of Investment Facilitation, Mr. James Maziku, credited the industry’s rapid development to the government’s strategic policies. “This progress strengthens our trade relations in the region and showcases Tanzania as a competitive player in the steel industry,” he remarked.