Kigoma gears up for regional trade boom

KIGOMA: KIGOMA is set to become Tanzania’s gateway to Central Africa as the Tabora–Kigoma Standard Gauge Railway (SGR) and four new cargo vessels transform the region into a major trade, logistics and investment hub, analysts have said.

The 506-kilometre electrified railway, valued at 2.7 billion US dollars (about 6.23tri/-), will link Tabora and Kigoma, strengthening the region’s position as a strategic commercial gateway serving the Great Lakes Region and Central Africa.

The railway, together with the newly launched cargo vessels on Lake Tanganyika, is expected to enhance the movement of goods, lower transport costs and expand market access, positioning Kigoma as a key international trade hub connecting Tanzania with eastern Democratic Republic of Congo (DRC), Burundi, Rwanda and other neighbouring countries.

With the SGR extending to Kigoma, Tanzanian goods are expected to reach regional markets faster, more reliably and at lower cost, enhancing the country’s competitiveness in regional trade.

President Dr Samia Suluhu Hassan on Monday laid the foundation stone for the Tabora-Kigoma SGR project and launched four cargo vessels, each capable of carrying up to 2,000 tonnes of cargo per trip.

Speaking to the Daily News yesterday, Economist Mr Gilbert Mwabeza of Marian University said the integrated rail and lake transport system will connect the Port of Dar es Salaam directly to Kigoma Port, where cargo will be shipped across Lake Tanganyika to eastern DRC, Burundi and other neighbouring countries.

“This seamless transport corridor is expected to position Kigoma as Tanzania’s main trade gateway to Central Africa. I believe the region is poised to become one of Tanzania’s most strategic economic centres over the next 10 to 20 years, provided the government’s plans are implemented effectively,” he said.

Mr Mwabeza said the multimodal transport infrastructure linking Kigoma with Tabora and neighbouring countries positions the region as a strong Special Economic Zone (SEZ), capable of attracting both local and foreign investment.

“These infrastructures are expected to attract shipping companies, warehouses, industries and financial services to the area, reduce transport costs and stimulate the growth of agriculture- and fisheriesrelated industries, which are already key economic sectors in Kigoma,” he said.

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He added that lower transport costs will make it easier to process and export agricultural produce, fish and other locally produced goods, increasing the value of Kigoma’s natural resources, creating jobs and expanding business opportunities.

Mr Mwabeza also said the SGR will boost tourism by improving access to Lake Tanganyika and internationally renowned attractions, including Gombe and Mahale national parks.

Economic analyst Ms Beatrice Chacha of Saint Augustine University of Tanzania (SAUT) said the combined impact of the SGR, expansion of Kigoma Port and the introduction of the four cargo vessels goes beyond improving transport, as the investments will create jobs and open new markets for farmers and traders.

“The improved logistics infrastructure will make it easier for traders in Kigoma to access markets,” she said.

Ms Chacha added that the projects are expected to stimulate entrepreneurship by expanding market opportunities, enabling more people to establish businesses and increase their incomes.

Residents welcomed the project, describing it as a long-awaited investment that will accelerate economic growth and improve regional connectivity.

A Kigoma resident, Mr Melickzedick Nicodemus, said completion of the railway will bring fresh momentum to the region despite the existence of the metre-gauge railway.

“We are very grateful because when this railway reaches Kigoma it will motivate us and bring significant development. The work is progressing well and we are eagerly waiting for its completion,” he said.

Another resident, Mr Ahmad Rajab, commended the government’s commitment to implementing the SGR project, saying residents have long anticipated the arrival of the modern railway.

“We have been eagerly waiting for this project because we have seen it operating in other parts of the country. We also want to enjoy its benefits here in Kigoma,” he said.

Kasulu Urban Member of Parliament Professor Joyce Ndalichako described the SGR project as a historic milestone, saying Kigoma has not been left behind in the country’s development agenda.

She said once the entire SGR network is completed, travel between Kigoma and Dar es Salaam will take about eight hours, providing passengers with faster, safer and more comfortable transport.