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Maritime Organisation of Eastern, Southern & Northern Africa

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Reforms, Private Investment Recast Dar Maritime Hub

Reforms, Private Investment Recast Dar Maritime Hub

Private-sector participation and sweeping institutional reforms at the Port of Dar es Salaam are rapidly reshaping Tanzania’s maritime sector, making the country a preferred trade gateway for East and Central Africa and delivering major gains in efficiency, revenue, and regional competitiveness.

Speaking on the port reforms, Permanent Secretary in the Ministry of Information and Government Chief Spokesperson Gerson Msigwa said the government’s strategy was to move beyond state-only management and deliberately crowd in global capital and expertise to fast-track efficiency.

“What we are witnessing at the Port of Dar es Salaam is the result of a deliberate policy shift by President Samia Suluhu Hassan to open up critical infrastructure to serious private investment while strengthening public institutions. The objective is simple: make Tanzania the most efficient and reliable logistics hub in this region,” Msigwa said.

At the heart of the transformation is a public–private investment model led by the Tanzania Ports Authority (TPA) in partnership with global terminal operators DP World Dar es Salaam Limited and Tanzania East Africa Gateway Terminal Limited (TEAGTL).

Since signing concession and investment agreements, the two firms have injected over TSh624 billion (USD 245 million) into port equipment, ICT systems, berth rehabilitation, and modern terminal operating platforms—an unprecedented capital commitment in Tanzania’s port history.

By June 2025, DP World had invested Sh214.2 billion (USD 83 million), while TEAGTL committed Sh410.4 billion (USD 162 million), enabling faster cargo handling, improved ship scheduling, and real-time cargo tracking.

These investments are complemented by deep policy and administrative reforms under President Samia Suluhu Hassan, including the Dar es Salaam Maritime Gateway Project (DMGP), rollout of the Tanzania Electronic Single Window System (TeSWS), and upgrades to the Tanzania Customs Integrated System (TANCIS), which together have streamlined customs clearance and reduced bureaucratic delays.

Msigwa said the reforms were aimed at removing long-standing bottlenecks that had previously pushed regional traders to alternative routes.

“For years, delays, paperwork, and congestion were our biggest enemies. Today, with digital systems, coordinated border agencies, and modern terminals, cargo moves faster and costs less. That is why traders from the DRC, Zambia, Rwanda and beyond are increasingly choosing Dar es Salaam,” he said.

The impact is visible in both performance and revenue figures. During the 2024/2025 financial year, Tanzanian ports handled 27.7 million tonnes of cargo, a 17 percent increase, and 16.7 million tonnes between July and December 2025 alone, representing 30 percent growth. Average container vessel turnaround time has dropped from 30 days to just six days, with some ships now cleared within 36–48 hours.

Government revenue has followed the same upward trend. Customs collections rose to Sh12.33 trillion (USD 4.8), up 17 percent, while port-related activities generated hundreds of new jobs, with at least 764 direct positions created through expanded terminal operations.