CEO Roundtable vows to back govt’s industrialization vision

14Apr 2016
Prosper Makene
The Guardian
CEO Roundtable vows to back govt’s industrialization vision

THE CEO Roundtable of Tanzania (CEOrt) has said it will continue to engage in dialogue with government to ensure the private sector is well prepared to support the country’s vision of becoming an industrial state.

Ali Mufuruki

Speaking before the CEOrt roundtable discussion on transforming into an industrial nation on Tuesday, CEOrt chairman Ali Mufuruki said that in support of the government’s industrialization efforts, the Roundtable was keen to continue working in close partnership with the state to ensure alignment of national plans and strategies.

Mufuruki added: “With this in mind, CEOrt invited the director general of Export Processing Zone Authority (EPZA), Col Joseph Simbakalia, to participate in the roundtable discussion with members of the CEO Roundtable and to provide insight on opportunities for private engagements as part of government’s industrialisation plans.”

He noted: “The meeting also provides an opportunity for business leaders to highlight the existing challenges and investigate potential solutions within the business environment which could potentially undermine meaningful private participation and growth.

These challenges include unreliable access to power, an inadequate transport and logistics network and an unfavorable regulatory environment.”

The chairman went further to say that the country’s transformation into an industrialized nation would require a new way of thinking and strong collaboration between the government and private sector.

For his part, Simbakalia called for the private sector to invest in the EPZA to stimulate the country’s economic growth.

Col Simbakalia also said EPZA had so far generated almost about 36,000 employment opportunities to Tanzanians.

“Export Processing Zone Authority has so far generated USD1 billion. With these achievements, we are welcoming the private sector to invest in EPZA,” he said.

He added: “For Tanzania to become a semi-industrialized Middle Income Country by 2025, there must be a corresponding target GDP per capita at USD3,000 and a target Gross GDP USD150 billion for a national population of 50 million inhabitants.”

Simbakalia further revealed the minimum corresponding gross exports value target at 20 per cent of GDP which is USD30 billion from the current base of USD50 billion for economic sustainability.

“The gross GDP of Tanzania must grow 200 per cent in 10 years to reach the target – approximately 12 per cent year-on-year.

Gross annual export receipts must increase 10 times from the current base of USD3.0 billion to reach the target and the trade in value-added products is the only way to attain the Tanzania Development Vision 2025 export targets,” he said.

The retired soldier also said the demand for domestic markets to be supplied with industrial goods provided the basis for a desired pattern of industries to be established.

“The external factors of access to markets, raw materials, finance, industrial skills, technology, and environmental impact considerations provide the conditions and constraints for the industries to be established,” he said.

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