The Tanzanian government is undertaking a sweeping overhaul of the Port of Dar es Salaam to enhance its capacity and efficiency amid a surge in cargo traffic. Transport Minister Makame Mbarawa announced the initiatives this week while presenting the ministry’s budget proposals for the 2026/2027 financial year in Dodoma.

Minister Mbarawa emphasized that the government is implementing firm measures to enhance cargo handling, aiming to solidify Tanzania's status as a premier regional trade and logistics hub.

A central component of the expansion strategy is the integration of the Standard Gauge Railway (SGR) with port operations. The government is advancing the construction of an SGR link to the port and developing the Malindi marshaling yard to facilitate the loading of freight trains.

Notably, the government has completed a new cargo terminal in Morogoro, which will be connected to the SGR network at Morogoro Station. This 68,000-square-meter facility is designed to handle 600 containers per day.

It will serve as a critical logistics node for road cargo destined for regions such as Iringa, Mbeya, Songwe, Ruvuma, and Dodoma, as well as for Land-Linked neighbours including Zambia and Malawi. Mbarawa confirmed that cargo transportation via the SGR from the Malindi area to the Morogoro terminal is scheduled to commence in June 2026.

Simultaneously, the Tanzania Ports Authority (TPA) has begun constructing two new berths in the Malindi area. These additions are expected to boost the port’s cargo-handling capacity by an additional three million tons annually.

"Our port is the heartbeat of the region's economy, and we must ensure it beats stronger," Mbarawa stated. "With these two new berths, we are taking a decisive step to eliminate bottlenecks and accommodate the rapid trade growth we are witnessing."

This project is part of a broader master plan to construct 10 new berths, expanding the port's total capacity from the current 12 berths to 22. Furthermore, the government is expanding the Kurasini port to alleviate container congestion, with the target of handling up to 700,000 containers annually upon completion.

These infrastructure investments are a response to the port's record-breaking performance. According to the latest port authority data, Tanzania handled approximately 27.7 million tons of cargo in the 2024/25 financial year. This represents a robust 17 percent increase compared to the 23.69 million tons recorded in the previous year.

The growth trajectory is accelerating. In the first half of the current fiscal year (July to December 2025), the port processed about 16.7 million tons, a staggering 30 percent year-on-year increase. If this momentum continues, analysts project the Port of Dar es Salaam will surpass 32 million tons by the end of the 2025/26 financial year.

This performance marks a dramatic turnaround from the early 2020s, when the port handled between 17 and 18 million tons annually. The current figures represent cumulative growth of over 50 percent in just a few years.

The surge is attributed to a multi-pronged strategy of infrastructure modernization and policy reform, including the Dar es Salaam Maritime Gateway Project (DMGP), which has deepened berths and upgraded handling equipment.

Additionally, the involvement of private operators through Public-Private Partnerships (PPPs) has improved operational efficiency, leading to faster vessel turnaround times and streamlined customs processes via new digital systems.

Regional demand is also a primary driver. Land-Linked neighbours, including Zambia, the Democratic Republic of Congo (DRC), Rwanda, Burundi, and Uganda, are increasingly routing trade through Tanzania.