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Tanzania government will halt importation of Power transformers

By Florence Mugarula


In a bid to promote local industries and ensure proper use of taxpayers' funds, the government is looking forward to halt importation of power transformers from abroad.

Vice-President Samia Suluhu Hassan said yesterday that there are local industries that manufacture durable and high quality transformers and that there would be no need for the government to spend foreign currency in importing products that are produced in the country.


Ms Hassan was speaking during the President's Manufacturer of the Year Award, which took place yesterday. She said the government has already stopped the importation of electric cables and instead they are being supplied by local industries.

"The Rural Energy Agency (REA) was importing cables for electrifying rural areas. However, it came to our attention that there are local companies that produce quality cables, therefore, the government has ordered REA to purchase cables from local companies," she said. She added that the government is committed to support the private sector and make sure they contribute to the country's economic growth.


The VP said the government has already ordered all military and security organs to purchase uniforms and other required materials from local industries. "We are doing this because we want to protect our local industries and make sure they grow, we are no longer importing military uniforms from abroad," she said. According to Ms Hassan, strong private sector will help to provide employment to Tanzanians and contribute largely to the growth of the country's economy in general.


On the challenges that were raised by members of Confederation of Tanzania Industries (CTI), the VP said the government has already formed a team under the Ministry of Industry, Trade and Investment to analyse the situation and present the report to the government for implementation.


"In the past one year, we have analysed the situation, we will give the directives that will help us and make it easier to boost growth of industries and businesses in general," she said. On tax payment, the Vice- President said the government is aware of bureaucracies and regulatory bodies, which left business less timed and money for their productive activities.


"We are aware of this challenge, we are working on it," she said. The Vice-President added that the government is also working hard to improve infrastructure by building a new Standard Gauge Railway, improve ports and construct new ones.


She said that all those efforts aim at improving transportation of goods and materials and thus boost growth of industries and businesses in the country. Commenting on the supply of coal, the Vice-President assured CTI that the government has already ordered the investor to improve coal production so as to meet market demand.


She said starting next week, the investor will double production. Moreover, the Vice-President said the government invites more investors in the area so that there could be reliable and enough production of coal.


"Our aim is to ensure there is enough coal for our industries, we invite companies to invest in the area so that there could be sufficient production," she said. Earlier, CTI Vice- Chairman, Mr Shabbir Zavery said investors face various challenges including changes of policies, which affect production and businesses in general.


"We are asking the government to support our efforts by reducing the number of regulatory authorities so that we can realise profit in our businesses," he said.

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