TPA eyes efficiency to cater for rising cargo volumes

Tanzania Ports Authority (TPA) eyes to boost further its operational efficiency and provide cost-effective port services to cater for the rising cargo volumes.

The TPA Director General, Plasduce Mbossa said on Thursday that huge investment made by the government had improved operational efficiency of the country’s ports which created a huge demand for port services from the neighbouring countries.

“A lot is being done by the sixth phase government on port infrastructure investments including installation of modern cargo handling facilities….

“With these, we have witnessed rising cargo volumes and strong demand for our port services from land-linked countries,” he said.

He said to stay at the heart of competition with regional and global ports, the improvement of operational efficiency is of no compromise.

“Where port efficiency is low, revenues will go down and the cost of goods handled goes up,” Mr Mbossa said.

For example, he said after improving infrastructures in Tanga and Mtwara ports cargo volumes have gone up.

He said the increased cargo volumes, changes in cargo types and vessel fleets are some of the challenges facing the country’s ports.

To address these challenges there is a need for more investments in port infrastructures to enhance port capacity and efficiency which will boost revenue and lower the cost of goods and services.

He said the contribution of ports to the economy is huge including revenues as well as the cost of goods and services in the country.

He mentioned Zambia and DRC as the leading markets for the Tanzanian ports. Also, cargoes for Rwanda and Uganda are still on the higher side.

He said due to the ongoing improvement and modernisation, TPA forecasts cargo handling through Dar, Tanga and Mtwara ports to rise to 27.5 million tonnes by 2024/25 against the projections of 26.1 million tonnes.

According to the TPA boss, there is the possibility of reaching this target before the time due to rising demand from land-linked countries and increased cargo volumes.

He said it was this line of thinking that called for the need to invest in new ports particularly the Bagamoyo port in Coast Region, Chongoleani in Tanga and Kisiwa Mgao in Mtwara.

“Therefore it is necessary that we invest in modernising our ports to contain and capitalise on the huge demand for port services from the neighbouring countries,” he said.