Tanzania has been recognized by Russia for its strategic geographic position on the East African coast, which provides vital access to neighboring landlocked markets. This unique advantage is viewed as an opportunity for Russia to establish Tanzania as a central entry point for its products across Africa. During the ongoing Tanzania-Russia Business and Investment Forum in Dar es Salaam, Russian Minister for Economic Development, Maksim Reshetnikov, highlighted the potential for enhancing logistics in Africa by capitalizing on Tanzania’s advantageous location.
Reshetnikov articulated that, “Tanzania could serve as a single-entry point for our products on the continent, aiding in the further development of the International North-South Transport Corridor.” He also indicated that cooperation could extend to facilitating Tanzania’s exports to the Eurasian Economic Union market, as reported by Sputnik.
The minister underscored the substantial energy potential of both nations, encompassing sectors like mining, peaceful nuclear technology, and renewable energy. He mentioned that their collaborative efforts would also target areas such as tourism, urban development, digitization, healthcare, and agriculture.
In a prior interview with Sputnik during the United Nations General Assembly, Tanzania’s UN envoy, Hussein Kattanga, expressed the nation’s readiness to engage with Moscow continually. The relationship between Tanzania and Russia has strengthened over the years, with discussions about conducting business in their respective currencies.
Tanzania’s ambassador to Russia, Andrey Avetisyan, noted in June that both countries are working actively to enhance bilateral trade using their national currencies. Earlier discussions in February focused on establishing direct flight routes between the two nations.
Furthermore, Tanzanian Minister for Planning and Investment, Professor Kitila Mkumbo, revealed that the robust partnership between Tanzania and Russia is poised to significantly bolster growth in agriculture and tourism, positively impacting the economic development of both nations.
Following a business forum and joint commission meeting, Prof Mkumbo elaborated on five key agreements aimed at improving various social and economic sectors. The meeting involved discussions between himself and Reshetnikov, resulting in the signing of these agreements.
“The key areas we covered include agriculture, particularly fertilizer production; healthcare access to medicines and vaccines; renewable energy, especially gas; education initiatives for teaching Swahili in Russia; and tourism development,” stated Prof Mkumbo. He acknowledged Russia’s growing significance in agriculture and highlighted the opportunity for Tanzania to benefit from this partnership, especially given Russia’s expertise in fertilizer production.
In terms of tourism, the agreements anticipate establishing direct flights from Zanzibar and Dar es Salaam to Moscow, facilitating increased movement of Russian tourists and products into Tanzania. Prof Mkumbo remarked, “This meeting included over 120 business representatives from Russia, and we plan to create direct routes between Moscow, Zanzibar, and Dar es Salaam.”
The meeting also saw attendance from various dignitaries, including the Tanzanian Ambassador to Russia, Fredrick Kibuta, the Russian Ambassador to Tanzania, Andrey Avetisyan, and permanent secretaries from multiple ministries.
Moreover, both ministers agreed on implementing Swahili language courses in Russian universities to strengthen cultural ties and foster greater interest in tourism. Reshetnikov emphasized that these agreements aim to enhance trade relations between the two nations. “Through these agreements, we aim to strengthen trade between Tanzania and Russia,” he noted.
He further expressed Russia’s desire to set up production facilities in Tanzania, aiming to produce goods tailored for local consumption. “Our goal extends beyond supplying fertilizers; we intend to provide products specifically suited to Tanzania’s needs and soil conditions,” he explained.
According to the Bank of Tanzania’s latest annual report, imports from Russia increased significantly, rising from 303.2 billion Tanzanian shillings in 2021/22 to 778.4 billion in 2022/23, while exports saw a slight rise of 0.6%, from 16.5 billion to 16.6 billion Tanzanian shillings.
The two ministers agreed to reconvene for another bilateral meeting in Russia next May. Additionally, a representative from the Russian company Fesco expressed satisfaction with the business discussions, noting the potential for fruitful collaboration given Tanzania’s efficient port infrastructure.
“Dar es Salaam is the most effective port in Africa, and trade between Russia and Tanzania is set to yield mutual benefits,” the representative stated. Russian exports to Tanzania primarily include metals, machinery, and fertilizers, while Tanzania exports coffee, tea, and cashew nuts to Russia.
