Govt backs Mkinga SEZ project

THE government has launched Mkinga Special Economic Zone in Tanga, pledging to continue supporting local and foreign investors to take advantage of the high tech industrial development to boost the country’s exports.

“The Mkinga Special Economic Zone is a great deal of employment opportunities as they will benefit more Tanzanians in line with the government’s policies that are keen on raising its people’s welfare,” said the Deputy Minister for Investment, Industry and Trade Exaud Kigahe at the launching event recently.

He said Mkinga Special Economic Zone has a number of opportunities that need to be explored by foreign and local investors for the greater interest of the country.

He added, “We as government our prime task is to create conducive environment through which the investors can feel comfortable to put in their capital,”

On his part, the Export Processing Zone Authority (EPZA) Director General, Charles Itembe said Mkinga Special Economic Zone was registered by EPZA and obtained developer licence to design, construct and manage its own industrial park in which various industries and business activities will be located.

“I commend Mkinga Special Economic Zone for their commitment and what they are showing the world today that this project can be done through the private sector initiative,”

“We expect that this project will be one of special economic zone in the country owned by the private companies but focusing on the same government vision of creating environment to attracting private sector investors in the development of infrastructures and attract more industries and add up in the stock of investments in our country,”

He said Mkinga Special Economic Zone has a private arrangement with the Egyptian company which is modern and advanced in the design and development of ultra-modern special economic zones.

“So we have this privilege to attract Egyptian developers in the special economic zone in Tanzania and we are quite aware that Egypt is far ahead in terms of attraction of foreign capital and that is very key to having Egyptians in our docket within our special economic zone,”

To show how they are serious, they have already acquired over 3,000 acres of land of which they have promised that they will develop in five phases in which 50 acres will be developed in each phase at the cost of 50 million US dollars (over 115bn/-).

This is because investment in infrastructures has been always been very big. And so far the company has received a commitment of 20 investors already.

The company has already made arrangement with investors from Bulgaria, Egypt, India, England, Poland and other countries like Brazil where these countries have gone far in pushing industrialisation agenda.

On incentives, EPZA provide to developers like Mkinga Special Economic Zone namely fiscal and non-fiscal incentives in the form of tax exemptions like corporate tax for 10 years, VAT on utilities, local government levies for 10 years, import duty on raw materials and capital goods, construction materials.

On his side the Director of Mkinga Special Economic Zone Ally Kassim said they are privileged to have government support in their project.

He said the project will use technology from different countries such as China, Bulgaria, Poland, Saudi Arabia and United Arab Emirate.


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