POSCO targets mining, energy, agriculture growth
SEOUL: SOUTH Korean conglomerate POSCO International is planning to expand its investments in mining, energy, agriculture and digital technology in Tanzania, with the company announcing plans to establish a representative office in the country to strengthen its long-term presence.
The commitment was made during talks between POSCO executives and a high-level Tanzanian delegation led by Finance Minister, Ambassador Khamis Mussa Omar, and Minister for Communication and Information Technology, Angellah Kairuki, in Seoul.
“We regard Tanzania as one of our top five strategic partners in Africa,” POSCO International Executive Vice-president Jae Sung Lim said.
He said opening a representative office would enable the company to work more closely with local stakeholders and oversee its operations directly, instead of coordinating them through its South African office.
The discussions centred on expanding cooperation in strategic sectors, with the Mahenge graphite project emerging as one of the key priorities.
The company said the project is in its final capital increase phase and is expected to be completed this year.
The two sides also discussed supporting infrastructure needed for the project, including construction of roads linking the mining site to the railway network and procurement of rolling stock to improve transport logistics.
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The infrastructure initiatives are being pursued in collaboration with the Economic Development Cooperation Fund (EDCF) and the Korea Eximbank to strengthen supply chain efficiency.
During the meeting, the Tanzanian delegation highlighted further investment opportunities in the nickel, cobalt and copper value chains, particularly in Dodoma, as part of efforts to promote value addition and industrial development.
The ministers also invited POSCO to explore partnerships in palm oil production, seed manufacturing to reduce import dependency and the emerging carbon trading market.
In the digital economy, the government proposed cooperation in industrial artificial intelligence, robotics and digital analytics to support industrial transformation and expand technology-driven investment.
The meeting ended with both sides agreeing to maintain close communication through diplomatic channels, including the Tanzanian Embassy in Seoul, as they pursue the proposed areas of cooperation.
The planned expansion reflects growing economic cooperation between Tanzania and South Korea, with both sides expressing optimism that the initiatives discussed in Seoul will strengthen long-term investment and support strategic sectors of the economy.
