TFRA to use 46th DITF as avenue to promote investment opportunities

22Jun 2022
By Guardian Reporter
Manyara
The Guardian
TFRA to use 46th DITF as avenue to promote investment opportunities

​​​​​​​TANZANIA Fertilizer Regulatory Authority (TFRA) is next expected to take part in this year’s Dar es Salaam International Trade Fair (DITF) aiming to showcase its activities and investment opportunities in the fertiliser sector.

Minjingu fertiliser factory in Manyara region

The 46th DITF’s showcasing event is themed: “Tanzania: Your Best Destination for Business and Investment”.

TFRA Executive Director, Dr Stephan Ngailo said the DITF scheduled for June 28 to July 13, 2022 will give the authority an avenue to inform the public on what it has been offering in the industry’s value chain.

At the trade fair, TFRA will also inform prospective investors on potential areas that need investment on fertiliser and associated investments, said Dr Ngailo.

In Tanzania, there is currently one fertilizer manufacturing factory, three fertilizer supplements manufacturing factories and sixteen small scale manufacturers producing liquid fertilizers known as foliar fertilizers.

Despite the presence of a single fertilizer factory in the country—Minjingu Fertilizer Factory there are major investment projects underway including Investment by ITRACOM Fertilizer Company.

ITRACOM investor from Burundi is investing in a Phosphate and Manure Fertilizer Factory in Nala industrial area in Dodoma region where he has been allocated an area of 21 hectares. The project will cost US$180 million.

“Construction of the factory is underway and is expected to be completed in July, 2022. It will be able to produce 600,000 metric tonnes of fertilizer and fertilizer supplements amounting to 300,000 metric tonnes per year. When completed, the investment will provide 3,000 direct and indirect jobs in the fertilizer business chain,” he said.

On Minjingu fertilizer factory expansion, Dr Ngailo said the existing Minjingu Company fertilizer factory with a capacity of 100,000 metric tonnes of fertilizer is in the process of expansion to increase the production capacity of fertilizer to 300,000 metric tons per year. The expansion will involve creation of about 500 jobs.

He said Kinondoni municipality has invested in the construction of a 6.5 acre natural fertilizer plant—Mabwepande Composite Manure. He said the plant will rely on organic waste from 12 major and 24 small market areas located in Dar es Salaam.

“The production capacity of the factory is 55,000 tonnes per year. Mechanical construction and installation has been completed and trial runs of the plant have been carried out. The project will boost the council’s revenue, preserve the environment, provide employment and contribute to the growth of the economy at large,” he added.

Dr Ngailo noted that ROKOSAN Company from Slovakia has expressed interest in investing in an organic fertilizer factory through its subsidiary Company REAVIA.

This project, he said, will involve importation of fertilizers in the first phase and construction of a fertilizer factory to produce natural fertilizers from local raw materials (chicken feathers, cow hooves, etc.) in the second phase and assist livestock keepers in the country by purchasing their animal waste.

According to him, the investment is expected to cost Euros 21.9 million and will recruit 150 people to work in the factory and raw material collectors. Upon completion, the factory will employ 1000 people and will be able to produce 20 million liters of fertilizer per year.

TFRA’s Acting Director for Domestic Manufacturing and Bulk Procurement, Joseph Charos said Tanzania is a country suitable for investment in fertilizer and fertilizer supplements manufacturing because farmers use between 400,000 and 500,000 metric tonnes of fertilizer and fertilizer supplements per year.

More than 90 per cent of the fertilizer used in the country is imported.

He said: “Tanzania is surrounded by landlocked countries with high fertilizer use (Malawi, Zambia, DRC, Burundi and Rwanda) but have no fertilizer manufacturing industries. These countries rely on Tanzania to get fertilizers,” he said, adding with a good network of railways, roads and waterways, Tanzania can smoothly transport fertilizer to any destination.

Statistics on fertilizer importation in the region

He also stated that there are all kinds of raw materials (Nitrogen, Phosphates and Potassium) for manufacturing of all kinds of fertilizers. He said the raw materials are sufficient for the next 100 years and that there are a good number of professionals who can be employed in the fertilizer industry.

Charos noted that Tanzania has research institutes that conduct research and experiments on suitability of fertilizers based on specific soil and crop requirements.

He also attributed the existing tax system in the country saying it facilitates investment in the fertilizer and fertilizer supplements manufacturing because most levies that were annoying to investors have been scrapped.

TFRA Acting Manager for Production, Promotion and Environment, Stephenson Ngoda revealed that Tanzania is surrounded by landlocked countries that depend on access to fertilizer through the port of Dar es Salaam.

Investment in the country's fertilizer manufacturing industries will facilitate access to fertilizer for domestic use and to serve the market in the neighbouring countries, he said.

Ngoda said: “Anyone who needs to invest in a fertilizer or fertilizer supplement manufacturing plant is required to follow legal procedures by submitting an application to TFRA.

He also said: “All TFRA services except inspection are available through the Fertilizer Information System (FIS) accessible via http://fis.tfra.go.tz.”

TFRA is a state-owned entity under the Ministry of Agriculture established by the Fertilizer Act of 2009, Fertilizer Regulations of 2011 and Fertilizer (Bulk Procurement) Regulations of 2017.

Its main role is to control the quality and trade of fertilizer and fertilizer supplements (FFS) in the entire value chain including manufacturing, storage, imports, distribution and export.

The Authority also has a responsibility of promoting investment in fertilizer domestic manufacturing to ensure farmers’ timely access to fertilizer at affordable prices and minimize dependence on imported fertilizer.

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