Investors Guide For Kigoma Ujiji 2017
Investors Guide For Kigoma Ujiji 2017
Investors Guide For Kigoma Ujiji 2017
KIGOMA UJIJI
2017
Map of Tanzania
Map of Kigoma
TABLE OF CONTENTS
2. International Trade
5. Fishing Industry
a. Commercial Fishing ............................................................................................... 46
b. Fish Farming ............................................................................................................. 47
c. Fish Processing Plant ............................................................................................. 48
7. Tourism
a. Gombe Cultural Tourism Village ...................................................................... 52
b. Vacation Timeshare ............................................................................................... 54
c. Assisted Living Facilities ....................................................................................... 55
d. Hotels and Casinos ................................................................................................ 56
8. Education
a. International Academy ......................................................................................... 59
b. Polytechnic Institute ............................................................................................. 60
9. Healthcare
KARIBU --
I. Welcome remarks from the Mayor
Thank you for taking time to explore opportunities in our bustling Kigoma Ujiji.
Right now, Kigoma is at a very special moment in time where different levels of
government and people are working hard, together and productively to achieve
the most ambitious growth and transformation targets in our history. We setting
out to capture the national and the worlds attentions to our grand ideas of
development and lucrative opportunities for investments.
Our new President HE John Magufuli has ushered a new era of fast tracked
development through industrialization and agriculture revolution. As a
Municipal we have made the choice to seize the moment and build on this
forceful momentum as we set ourselves for continued success.
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INVESTORS GUIDE-KIGOMA
-- KIGOMA UJIJI
We have set out ambitious growth and development targets for near and long
term aimed at bringing positive change to both socio-economic Transformation
and the enabling environment. We are hedging our growth in Trade and reviving
the Oil Palm industry by making Kigoma Ujiji the regional trade hub and the
Palm Oil capital of Africa. We are investing heavily on trade and city infrastructure
to make Kigoma the most important and efficient trade hub of The Great Lakes
Region.
We are targeting a $500 million city economy by 2020, and $1 billion by 2025.
This opens up plenty of investment opportunities for both public and private
sectors. This booklet is just to give you a glimpse of such opportunities.
Karibu!
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KIGOMA OPEN
FOR BUSINESS
INVESTORS GUIDE-KIGOMA
II. KIGOMA: OPEN FOR BUSINESS
KIGOMA UJIJI Municipality is set to undergo rapid Economic Transformation of this century.
The Municipality has set ambitious medium term goals, one of which is to raise the value
of goods and services produced in the Municipality to $500 million by year 2020. This will
afford the people a per capita income of $1800, and a middle income status for the Kigoma
Municipality. This is no small feat, but Kigoma Municipality is ready and open for business.
A Strategic Location
Kigoma Municipality is strategic located in the heart of the Great Lakes region.
Bordering Burundi and Rwanda to the North, DRC to the West and Zambia through
L. Tanganyika to the South, Kigoma Ujiji has always been an important trading port,
cultural center and political capital of East Africa since early 1500s. Connected to
the Indian Ocean port of Dar es Salaam through the Central Railway Line, newly
tarmac highways and airport, Kigoma offers unmatched logistics advantages
compared to other towns and cities in The Great Lakes Region. Kigoma has the
largest and busiest port on L. Tanganyika in terms of capacity and volume. The
majority of Eastern DRC trade in fast moving consumer goods and capital goods
pass through this port.
B Youthful Population
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C Masterplanned Development
Kigoma Ujiji Municipality is a beautiful town of hills, valleys, long gold sandy
beaches, cliffs and lake scenery of mesmerizing charm. Ujiji Old City was at once the
largest and well planned development in the entire German East Africa territory.
Kigoma Municipality has embarked on a project that will see it reclaim its glorious
past through a comprehensive masterplan for a controlled urban development.
Once completed, the masterplan will be the blueprint for economic and social
transformation of the Municipality towards a middle income Metropolitan of the
future where businesses strive, jobs are created and social services are optimized.
D Infrastructure Development
The Government of Tanzania has increased its infrastructure spending in the region
that has seen Kigoma region connected to the rest of the country and region
through world class infrastructure. This has and will open up Kigoma for the much
delayed economic boom.
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2. Highways
Kigoma Ujiji is connected to Dar es Salaam Arusha and Nairobi through a world
class central highway, and to Bujumbura and Kigali through a northern highway. On
completion of Kasulu Nyakanazi stretch of northeast highway, Kigoma will have
uninterrupted access to Mwanza Jinja Kampala and Mwanza Kisumu Nairobi
Mombasa on yet another world class highway. Kigoma is also connected to Zambia
and Malawi through a southern highway passing through Tabora.
3. Ports
Kigoma Port is undergoing major upgrade that will see it retain its status as the largest
and busiest port on L. Tanganyika, connecting Tanzania, Burundi, DRC and Zambia.
Tanzania Ports Authority is also completing an upgrade of cargo and passenger jetty
at Kibirizi and the development of the Katosho Dry Port busy underway. Kigoma
Municipality has also set aside funds to develop Ujiji Jetty to serve the planned
logistics hub development at Ujiji Market. These development will undoubtedly
strengthen Kigoma position as the trade and logistics hub of the Lakes region for a
foreseeable future.
4. Airport
Kigoma airport received upgrades in 2015 that included runway extension and
apron construction. Currently two airlines Air Tanzania and Precision Air provide
scheduled flights at Kigoma airport.
5. Electricity
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E Good Governance
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F Conducive Local Investment Climate
As an LIC LGA, Kigoma has access to Small Industrial Facilitation Fund (SIFF), a $10m
fund with the objective of catalysing investments in local business facilities in
selected value chain and to unlock the flow of investments into the local economy.
The targeted SIFF business facilities can be owned by public entities such as an LGA,
private investors, or through partnership arrangements (e.g., PPP). SIFF provides
funds in three broad categories (i) local businesses (ii) business infrastructure
development and (iii) local business cluster.
The SIFF will provide matching grant funds to support PPPs developing
strategic business facilities. In many cases, the lack of appropriate and fully
functioning business facilities hinders the operations and growth of local
businesses. Examples of the kinds of facilities the SIFF could support include
local business stalls, business sites, market places, cold storage, and business
incubators.
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INVESTORS GUIDE-KIGOMA
(b) Business infrastructure:
While the SIFF will not have large volumes of funds typically required to support
infrastructural projects (e.g., roads, energy and water supply, irrigation), many
of which are expensive and have a long timeframe (e.g., 7-15 years), it will be
able to catalyse other investments into these projects.
The SIFF will provide financial support to specific initiatives that enhance
the performance of local clusters operating in selected value chains.
Local clusters require investments that can enhance the opportunities
for increased investment and participation by local business. This may
involve the removal of legal, regulatory or administrative bottlenecks
and strategic investments to improve the functioning of value chains
(e.g., subsidizing inputs, developing market linkages, promote
new technology, green investments both at producer as well as
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INVESTORS GUIDE-KIGOMA
PRIORITY SECTORS
1. TRADE & LOGISTICS
2. FISHING
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INVESTORS GUIDE-KIGOMA
3. OIL PALM
4. PADDY
5. TOURISM
6. ENERGY
7. SOCIAL TRANSFORMATION
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III. SUMMARY BUSINESS OPPORTUNITIES
1. KIGOMA SPECIAL ECONOMIC ZONE KISEZ
The Government of Tanzania through the Export Processing Zones Authority (EPZA)
has set aside 3000 ha within Kigoma Municipality to develop a world class Special
Economic Zone. The objective being to promote quick and significant investments
in industrial development by attracting Foreign Direct Investments (FDI) and
Domestic investments. The SEZ is designed to act is a magnet for investments in
specially designated areas by providing quality infrastructure, complemented by an
attractive fiscal package, business support services, cluster formation and minimal
regulations. Such incentives include;
b. VAT and Import Duty exemptions on capital goods, raw materials and
construction materials
Bordered to the north with over 10kms of Central Corridor Railway, and 8kms to
Kigoma Port, the Kigoma Special Economic Zone is ideally located for logistics and
industrial development. Kigoma Municipal envisions the SEZ as the new frontier for
infrastructure, real estate, production, economic and social matters in a harmonious
setting where people, investments and technology come together and grow the
economy. Kigoma Municipality jointly with EPZA invites investors to invest in KISEZ
in the following opportunities;
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A
A. Infrastructure development and management
DESCRIPTION
MARKET
INVESTMENT TYPE
ESTIMATED INVESTMENT
USD 30,000,000
LOCATION
CONTACT
Kigoma Special Economic Zone
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A. INFRASTRUCTURE DEVELOPMENT AND
INVESTORS GUIDE-KIGOMA
B
B. Light and heavy industry opportunities
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
USD 20,000,000
LOCATION CONTACT
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INVESTORS GUIDE-KIGOMA
MARKET
INVESTMENT TYPE
CONTACT
ESTIMATED INVESTMENT
Kanyovu Coffee Curing Cooperative Joint
Enterprise Ltd (KCCCJE) USD 10,500,000
P. O Box XXX Kigoma
p. +255 22 292 5058-60
e. kanyovucooperation@gmail.com
LOCATION
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INVESTORS GUIDE-KIGOMA
3. HOT PEPPER PACKAGING
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
USD 4,500,000
LOCATION CONTACT
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INVESTORS GUIDE-KIGOMA
4. MAIZE MILLING
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
USD 9,500,000
CONTACT
LOCATION
Municipal Executive Director
Kigoma Municipal Council Kigoma Special Economic Zone
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INVESTORS GUIDE-KIGOMA
5. TAPIOCA (CASSAVA) FLOUR MILLING
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
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INVESTORS GUIDE-KIGOMA
6. BIOMASS POWER GENERATION
In the process to extract crude palm oil and palm kernel from the fresh fruit bunch (FFB),
considerable amounts of by-products such as fiber, shell, empty fruit bunch (EFB) and palm oil
mill effluent (POME) are also generated. These residues, referred to as Palm Oil Biomass (POB)
are the main energy resources that can be processed and converted to useful energies such as
electricity, steam and heat. A ton of FFB typically produces about 405kg of residues and 650 of
POME. With an annual total processing capacity of 900,000 metric tons of FFB in 2020, oil palm
in Kigoma has potential power generation of approximately 38MW. Opportunity to generate
more power will increase with increased land under oil palm cultivation over the next 15 years.
Rice husk is the most prolific agricultural residue in rice producing countries around the world.
It is one of the major by-products from the rice milling process and constitutes about 20%
of paddy by weight. Rice husk, which consists mainly of lingo-cellulose and silica has great
potential as an energy source. Rice husk can be used for power generation through either the
steam or gasification route.
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INVESTORS GUIDE-KIGOMA
The cultivation of rice results in two major types
of residues Straw and Husk having attractive
potential in terms of energy. 1 ton of Rice paddy
produces 290 kg Rice Straw with 2400 kcal/
kg calorific value and potential to produce up
to 100 kWh of electricity. Likewise, 1 ton of Rice
Paddy produces 220 kg Rice Husk, with 3000 kcal/
kg calorific value and equivalent to 400 570
kWh of electricity. The Luiche Delta with annual
production of 36,000 MT has the potential to
produce 2.5MW 3.0MW of power, enough to run
the rice and mill and associates infrastructures.
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
CONTACT
USD 30m USD 40m Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
LOCATION
p. +255 28 280 2535
Kigoma Special Economic Zone e. hussein.juma@ymail.com
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INVESTORS GUIDE-KIGOMA
2. INTERNATIONAL TRADE
Kigoma is the largest and the busiest trading hub on Lake Tanganyika shores connecting the
Great Lakes Region with the world. An important western node of the Central Corridor a
hotbed for regional and international trade Kigoma is at the epicenter of fastest growing
regional trade corridor and infrastructure development spending. With the ongoing and
accelerated upgrade of the Central Railway into a standard gauge railway connecting DRC,
Rwanda, Burundi, Uganda to the Port of Dar es Salaam, Kigoma is positioned to take its rightful,
and historical, place as the largest trading hub in the Great Lakes Region, serving Zambia, DRC,
Burundi, Uganda and Rwanda. Fast moving consumer goods, food, capital goods, petroleum,
aid and people find their way into the region through Kigoma Municipality, while natural
resources (minerals and fisheries) and agricultural products find their way to world through
the Port of Dar es Salaam.
Kigoma Municipality is constructing what is to be the largest modern trade hub in the East &
Central Africa over the historic Ujiji Town. Developed jointly with and managed by a Chinese
trading giant, Ling Hang Group Shanghai, the Ujiji Logistics Hub will become a one-stop
wholesale hub for Chinese products to the countries of the Great Lakes Region. Traders will
no longer need to travel to China to import Chinese products, saving time and money. On
completion, the Hub will provide over 3000 wholesale outlets, warehousing space, and new
cargo port at Ujiji.
DESCRIPTION
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INVESTORS GUIDE-KIGOMA
MARKET
INVESTMENT TYPE
Logistics Support
ESTIMATED INVESTMENT
LOCATION
CONTACT
MS. CATHY WANG
LING HANG Group Shanghai
p. +255 74 323 3333
e. cathy@lhwxy.com
w. www.linghanggroup.com
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PSPF is developing a large modern shopping gateway in the heart of Kigoma Municipality.
Developed to take advantage of fast growing urban population and lifestyle tourists from
Eastern DRC, Burundi and Rwanda, The Great Lakes Gateway Market will house more than
100 wholesale and retail outlets, financial services, conference facilities, entertainment and
food outlets. Planned for 2019 opening, The Gateway is primed to increase visitors from the
neighboring countries.
DESCRIPTION
1. Wholesale and retail opportunities
2. Clearing and Forwarding Services
3. Banking and financial services
4. Entertainment and Food services
5. Conference Facilities
MARKET
Wholesale traders and retail shoppers of Eastern DRC, Burundi, Rwanda and the Central and
Lakes regions of Tanzania. The region highly populated and fast urbanizing.
INVESTMENT TYPE
Wholesale and retail trade
Facility Management CONTACT
Logistics Support Regional Manager PSPF
Lumumba Plaza 1st Floor Lumumba Street
ESTIMATED INVESTMENT P.O. Box 117 Kigoma
USD 5,000 USD 1,000,000 p. +255 28 280 2077
e. kigoma@pspf-tz.org
LOCATION w. www.pspf-tz-org
Mwanga Area, Kigoma
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INVESTORS GUIDE-KIGOMA
Palm oil is one of the worlds most produced oils and accounting for more than 50%
of edible consumed oils worldwide. Global Crude Palm Oil (CPO) demand shows an
increasing trend as a growing global population gives rise to increased consumption
of palm-oil based products. Palm oil is cheap, production efficient and highly stable
oil used in a wide variety of products such as food, cosmetics, hygiene and as a source
of bio-fuel.
In Tanzania, palm oil accounts for the largest (in volume and value) of all oil imports
and exports. Tanzania imports over US$ 400m of crude palm every year, and export
over US$ 18m of refined palm oil and products to east, central and southern Africa.
Aware of the national and global opportunity, Kigoma Municipality has embarked on
an ambitious 5 year plan to plant over 3 million palm trees. Kigoma is the best region
to grow oil palm in Tanzania due to its geography and climate. Currently, crude palm
oil production in Kigoma region stands at around 10,000 metric tons per annum. With
the new drive, Kigoma municipality intends to increase production to over 80,000MT
of crude palm oil by 2020. Kigoma Municipality aims to become the Palm Capital of
Africa by 2030, with palm trees making the landscape of its farm and urban landscape.
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In times of strong global demand, investing in the palm oil business in Kigoma is very
lucrative. The following are some of the reasons why you should invest in Oil Palm in
Kigoma.
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DESCRIPTION
With renewed efforts to increase the population of palm trees in Kigoma in order to meet
increasing global demands for vegetable oils, there is a clear and urgent need to improve
and increase the quality and availability of planting materials. In order to accelerate and
capture the maximum yield potential of a selected genotype, oil palm needs to either
be vegetatively propagated through tissue culture or through the production of clonal
seeds, using clonal parents with good specific combining ability. Kigoma is the origin of
high quality ortets currently propagated in Malaysia and Indonesia, and as such, there are
plenty of high quality ortets available for propagation.
In line with increased production capacity, the Biotech center will also be center for
excellence in agronomic practices and inputs such as soil science, tailored fertilizer
regimes necessary for clones to express their genetic potential, and research and
development for upstream palm oil products.
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INVESTORS GUIDE-KIGOMA
MARKET
INVESTMENT TYPE
ESTIMATED INVESTMENT
$750,000 $1,500,000
LOCATION
CONTACT
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INVESTORS GUIDE-KIGOMA
DESCRIPTION
Kigoma Municipality has identified more than 50,000 ha of suitable land for Oil Palm
cultivation within the region. Kigoma municipality has identified oil palm as strategic
sector and is mobilizing resources to develop the necessary infrastructure to make
investing in oil palm easy and attractive. All smallholder farmers with more than 143
tress (1 ha) of oil palm will be linked to the Municipal Social security Scheme through
their Oil Palm Cooperatives. The Municipal is making each inch of available private and
land planted with oil palm in order to turn Kigoma Municipal a truly Oil Palm Capital
of Africa.
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INVESTORS GUIDE-KIGOMA
MARKET
The demand fundamentals for CPO are looking strong while supply is hitting
bottlenecks in Malaysia and Indonesia after moratorium in clearing forests. The market
for CPO has been on an upward trend for years, d expected to stay above $600 per
metric ton for a foreseeable future. Investing in MPE guarantees stress free lucrative
returns for 25 years. The demand for refined palm oil and associated products is also
rapidly increasing in the region.
INVESTMENT TYPE
CONTACT
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INVESTORS GUIDE-KIGOMA
B
2. PALM ESTATES FOR LEASE
DESCRIPTION
Opportunities are also available for Managed Palm Estates (MPE). Individuals and companies
will be able to invest in as low as 0.5 ha of managed oil palm estates. Under the MPE arrangement,
the management company will be responsible for allocating the land, land preparation
and planting, farm maintenance, harvesting of fresh fruits bunches, processing and selling
of crude palm oil on behalf of the investor. The investor will be responsible in covering the
investment costs as prescribed in the investment agreement. This arrangement is best suited
for the busy out of region investors interested in participating in oil palm investments. Besides
high financial returns, investors will be directly responsible for creating hundreds of jobs and
contributing to the growth and development of people of Kigoma.
MARKET
The demand fundamentals for CPO are looking strong while supply is hitting bottlenecks in
Malaysia and Indonesia. The market for CPO has been on an upward trend for years, d expected
to stay above $600 per metric ton for a foreseeable future. Investing in MPE guarantees stress
free lucrative returns for 25 years.
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INVESTORS GUIDE-KIGOMA
INVESTMENT TYPE
ESTIMATED INVESTMENT
LOCATION
Kigoma
CONTACT
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INVESTORS GUIDE-KIGOMA
C
3. PALM OIL MILLING
DESCRIPTION
MARKET
INVESTMENT TYPE
1. Greenfield
2. BOT with Farmers Cooperatives
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INVESTORS GUIDE-KIGOMA
4. LUICHE DELTA PADDY PROJECT
Luiche Delta is another high priority investment area for Kigoma Municipality. Located ideally
within the Municipality, the Luiche Delta is supplied with flood from Luiche River which
originates in Kasulu District and intercepts the catchment area of about 2,334 square kilometers
with its distributaries flowing southwards and eventually entering Lake Tanganyika. The river
creates behind it, an enormous fertile Luiche delta which has more than 3,000 ha of arable
land suitable for a large scale modern irrigated paddy cultivation. Currently the Government
of Tanzania is working with the Kuwait Government in developing irrigation infrastructures of
the delta. The project is projected to raise paddy production output to 11.2 MT/ha per annum
once full operational, an equivalent of over 33,000 metric tons per annum of paddy output
from the delta by 2018.
Rice is increasingly becoming an important part of diet for the people of the Great Lakes Region.
Rice consumption has experienced a growth of 58% over the last 5 years, due to increased
urbanization, middle class growth and an expanded retail market and regional trade. Tanzania,
the largest rice grower, has so far failed to capture an increasing share of growing domestic
and regional demand. Currently the deficit is supplied by imports from Pakistan and India. The
Luiche Delta project is timely to address the growing demand and as such will create business
opportunities for investors of all sizes and appetite across the paddy crop value chain.
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A
1. PADDY FARMING
DESCRIPTION
Phase I of the Luiche Delta project will unlock and make available 3000 ha of modern irrigated
farmland plots. These farming plots will be allocated to 3000 households that are linked to
the Municipal Social Security Scheme through their Outgrower Cooperatives. Initial capital
for agricultural inputs will be provided by the Municipal Social Security Scheme as soft loans
to be recouped in prescribed installments. The entire scheme will be serviced with world class
irrigation infrastructure, extension services, agronomic inputs, and world class processing
facilities installed at site.
MARKET
Serving the fast growing regional market of The Great Lakes Eastern DRC, Zambia, Burundi,
Rwanda, Uganda and Lake Zone in Tanzania with a population of over 100m and growing.
Currently there is a deficit of over 1m MT of rice per annum in the region. When fully operational,
Luiche Delta scheme will produce over 36,000 metric tons of rice, with farm gate value of USD
11m.
INVESTMENT TYPE
Unit Scheme
ESTIMATED INVESTMENT
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INVESTORS GUIDE-KIGOMA
B
2. PADDY PROCESSING AND STORAGE COMPLEX
DESCRIPTION
When fully operational in 2018, The Luiche Delta paddy project will produce more than 36,000
metric tons of paddy with farm gate value of over USD 11m. This present an opportunity
to invest in a rice processing plant to dry, mill and package rice cultivated in the Delta. The
processing plant will have an annual milling capacity of 40,000 MT and a combined storage
capacity of 20,000 MT in both warehouse and silos. The plant will produce white milled rice to
be sold to local and regional markets through retailers and wholesalers, as well as generating
by-products including husk-based charcoal, rice bran and poultry feed.
MARKET
Serving the fast growing regional markets of The Great Lakes Eastern DRC, Zambia, Burundi,
Rwanda, Uganda and Lake Zone in Tanzania with a population of over 100m and growing.
Currently there is a deficit of over 1m MT of rice per annum in the region.
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
USD 15m
CONTACT
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INVESTORS GUIDE-KIGOMA
5. FISHING INDUSTRY
Fishing is one of the main economic activities dominating the economy of Kigoma
Ujiji Municipality. The species abundantly caught are Sardines (Dagaa) and Lates
(Migebuka) as well as some aquarium species. Kigoma Ujiji Municipality considers
Fisheries as a fundamental sector of the municipal economy. It targets to raise total
production output to $100m worth of fish products a year by 2020. Opportunities
also exist in fish processing (filleting and fishmeal production), as well as fisheries-
support infrastructure (refrigerated transport, cold storage, etc.). The sector
expects to be one of the leading jobs creators in the municipality.To achieve these
targets, Kigoma Municipality is providing enabling environment as follows:
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Reduce the costs of fishing by fishermen through
introduction of boats machines that use electric
power from solar battery. At the moment
fishermen spends around USD 150 each day for
diesel alone. In Kigoma fishing happens 15 days
a month. With solar powered boats engines the
fisherman will be able to save more than USD
25,000 a year.
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INVESTORS GUIDE-KIGOMA
A COMMERCIAL FISHING
1.
DESCRIPTION
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
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INVESTORS GUIDE-KIGOMA
B
7. FISH FARMING
DESCRIPTION
MARKET
INVESTMENT TYPE
ESTIMATED INVESTMENT
USD 5000 USD 1,000,000
CONTACT
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INVESTORS GUIDE-KIGOMA
C
8. FISH PROCESSING PLANT
DESCRIPTION
MARKET
Increasing demand for fresh water fish in the region and overseas coupled with dwindling
Nile perch supplies from L. Victoria offers an attractive market for underutilized L. Tanganyika
species. Tanzania exports with more than 50% market share in EU of N. Perch fillets dropped
from highs of 25,000MT in 2007 to below 12,000Mt in 2014, causing a price hike in European
supermarkets.
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
USD 3,000,000
LOCATION
Katonga and Kibirizi Townships
Kigoma Special Economic Zone
CONTACT
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INVESTORS GUIDE-KIGOMA
Tanzania and DRC have just agreed on joint exploration and development of hydrocarbons
in Lake Tanganyika following talks between presidents John Magufuli and Joseph Kabila.
This follows a recent announcement by the Tanzania Petroleum Development Corporation
(TPDC) that it has completed acquiring high resolution gravity and magnetic data to map the
geology of the frameworks subsurface in Lake Tanganyika North Block using Airborne Gravity
Gradiometry Survey (AGGS).
A EXPLORATION
1.
Lake Tanganyika North and South Blocks have attracted attention from energy companies
interested in undertaking hydrocarbons exploration. Australias Beach Energy currently holds
100% of the Lake Tanganyika South Production Sharing Agreement (LTS PSA) and remain
the only operator following an exit of its joint venture partner Woodside Energy. TPDC is still
negotiating terms of the Lake Tanganyika North PSA (LTN PSA) with UAEs Ras al Khaimah Gas
(Rakgas) after negotiations with Total SA fell through.
INVESTMENT TYPE
Joint Venture
CONTACT
LOCATION Managing Director TPDC
Kigoma Ujiji Benjamin W. Mkapa Towers
P.O Box 2774 Dar es Salaam
p. +255 22 220 0103/4
e. info@tpdc-tz.com
w. www.tpdc-tz.com
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INVESTORS GUIDE-KIGOMA
With the renewed interests on Lake Tanganyika hydrocarbons, activities are expected to pick
up fast starting early 2017. This offers a range of investment opportunities in hydrocarbons
exploration supporting services both technical and non-technical. Kigoma Ujiji Municipal is
readying itself to provide the best supporting environment for all new players planning to
invest in exploration supporting services.
CONTACT
Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com
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INVESTORS GUIDE-KIGOMA
Kigoma is not your typical safari tour stopover. Kigoma is set apart characterized by the
hospitality of its beautiful people, exceptional natural attractions, rich historic heritage, rich
artistic and cultural life, and a truly safe and secure heaven on the shores of Lake Tanganyika.
Kigoma is home award winning Afropop artistes in Africa (Diamond) and world class soccer
players. Located on the eastern shores of Lake Tanganyika, Kigoma is surrounded by rugged
mountains and forests that make it a pleasing and beautiful location. The town makes a good
overland base for visits and chimpanzee safaris to both Gombe Stream National Park and
Mahale Mountains National Park, the wildlife rich game reserve of Moyowosi, beautiful golden
sand beaches along Lake Tanganyika and the Livingstone Memorial Monument. Kigoma is
endowed with pleasant weather and beaches that has attracted European visitors from early
colonial days.
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INVESTORS GUIDE-KIGOMA
TOURISM
A
1. GOMBE CULTURAL TOURIM VILLAGE
DESCRIPTION
Gombe Cultural Tourism Village is a world class cultural tourism village designed to depict the
lifestyles, artefacts, and activities of indigenous lake communities. The village is ideally located
on the banks of Gombe stream, and a walking distance into the Gombe Stream National Park,
where Jane Goodall is still work with the chimpanzees.
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INVESTORS GUIDE-KIGOMA
MARKET
INVESTMENT TYPE
Brownfield
ESTIMATED INVESTMENT
USD 7m
LOCATION
Mwamgongo Village
CONTACT
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INVESTORS GUIDE-KIGOMA
B
2. VACATION TIMESHARE HOMES
DESCRIPTION
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
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C
3. ASSISTED LIVING FACILITIES
MARKET
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DESCRIPTION
Kigoma is the shopping and lifestyle destination for Eastern DRC and Burundi businessmen
as well as middle and upper class residents. With the developments of Ujiji City and The Great
Lakes Gateway Market, the number of visitors is poised to rise dramatically. An opportunity to
develop a world class lakeside resort and casino to cater for the growing visitors and Chinese
population in the region.
MARKET
CONTACT
ESTIMATED INVESTMENT
Municipal Executive Director
Kigoma Municipal Council USD 12,000,000
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INVESTORS GUIDE-KIGOMA
8. EDUCATION
Education Sector in Tanzania has greatly developed over the last few years resulting from
investments in the sector by both public and private sectors. The emerging middle class has
also contributed to the increase in expenditure on education as they are able to spend more
on the education. The number of private schools at all levels as well as training institutions
have also increased making the education sector attractive for private investment.
The number of world class schools, colleges and universities in The Great Lakes region with
its 100m+ population is notably minimal. The growing middle class still send kids to Arusha,
Nairobi and Dar es Salaam. The burgeoning youth bulge of the lake zone is superiorly
underserved with both technical and college education.
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INVESTORS GUIDE-KIGOMA
Due to its geographical, climatic and population advantages, Kigoma offers the following
investment opportunities:
2. Polytechnic Institutes
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INVESTORS GUIDE-KIGOMA
DESCRIPTION
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
CONTACT
LOCATION
Municipal Executive Director
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INVESTORS GUIDE-KIGOMA
DESCRIPTION
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
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INVESTORS GUIDE-KIGOMA
East African
countries rank the
highest in medical
tourism to India
to seek medical
treatment every
year.
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INVESTORS GUIDE-KIGOMA
9. HEALTHCARE
Latest reports indicate that the East African countries rank the highest
in in medical tourism to India with hundreds of thousand patients
travelling to India to seek medical treatment every year. The majority
of the African patients seek treatment abroad for mainly medical
ailments that have not been diagnosed accurately in their country
of origin or for severe medical conditions, for which locally there is
inadequate expertise and lack of high technology facilities.
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INVESTORS GUIDE-KIGOMA
DESCRIPTION
Kigoma Ujiji Municipality is looking for partners to join its innovative poverty
alleviating project as matching partners in The Municipal Social Security Scheme
experimentation. Around 60% of Tanzanians claim that they cannot afford insurance
premiums (FSD, 2012). Evidence from developing countries provides in-depth analysis
of how poor people struggle in managing different kinds of risks. Given the linkage
between household savings and the vulnerability of these savings to healthcare
expenditure shocks, Kigoma-Ujiji Municipality proposes a universal Municipal Social
Security Scheme to encourage the poor to save while protecting their savings from one
of the most significant shocks that poor households face, namely, catastrophic health
expenditure and providing them with access to credits to run economical activities.
The matching contribution during the study period aims to incentivize poor people to
participate and save through a social security scheme. Also, by joining a large pooling
scheme, households are able to spread the risk across a much larger pool than would
otherwise be able to. Therefore, a goal of this pilot is to figure out the design details for
a scheme that can help poor people manage risks and save using the existing social
security system. The existing social security system in Tanzania provides short-term
benefits like health coverage and access to credits. The proposed concept can leverage
on this system to help people save for the future while accessing other services such as
health insurance and micro credit.
Savers will be required to save 50% of the required minimum monthly contributions to
Social Security Fund and the other 50% is paid directly to each persons account at the
fund. People will be allowed flexibility in sending their savings and even amounts. As
per old age pension rules, members will not be allowed to withdraw their contributions.
Instead, members (and their dependents) will have access to health insurance cover
and credits lines through their member associations like SACCOS, Trade Unions and
Farmers and Fishermen Cooperatives throughout their membership period.
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INVESTORS GUIDE-KIGOMA
B FINANCIAL SERVICES
MARKET DESCRIPTION
Over 100,000 households in Kigoma-
Ujiji Municipal. Kigoma Ujiji and Region is largely underserved
by financial institutions. Despite being a
INVESTMENT TYPE very important trade hub, Kigoma is still
Matching Fund largely unbanked. Currently, there are only
three banks operating from Kigoma Ujiji,
ESTIMATED INVESTMENT two Microlenders and no Forex Bureau.
USD 15,000,000 Over 5 years (US$3m Opportunities are plenty in financial services
per year)
commercial banks, microfinance lenders, forex
bureaus and insurance underwriters.
LOCATION
Kigoma-Ujiji Municipal
MARKET
CONTACT LOCATION
Municipal Executive Director Kigoma Ujiji
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com
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1. INTERNATIONAL SUPER SPECIALTY HOSPITAL INVESTORS GUIDE-KIGOMA
DESCRIPTION
MARKET
INVESTMENT TYPE
Greenfield
ESTIMATED INVESTMENT
USD 25,000,000
LOCATION
Ujiji Beach, Downtown Kigoma
CONTACT
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INVESTORS GUIDE-KIGOMA
11. SPORTS AND PERFOMING ARTS
A
1. KAWAWA SPORTS ACADEMY
DESCRIPTION
MARKET
INVESTMENT TYPE
ESTIMATED INVESTMENT
CONTACT
USD 3,000,000 USD 10,000,000
Municipal Executive Director
Kigoma Municipal Council
LOCATION
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
Ujiji Township.
e. hussein.juma@ymail.com
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INVESTORS GUIDE-KIGOMA
B
2. MWAMI RUYAGWA YOUTH CENTER
DESCRIPTION
MARKET
INVESTMENT TYPE
ESTIMATED INVESTMENT
USD 3,000,000
CONTACT
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INVESTORS GUIDE-KIGOMA
C
3. GUNGU ACADEMY FOR PERFORMING ARTS
DESCRIPTION
MARKET
INVESTMENT TYPE
ESTIMATED INVESTMENT
CONTACT
USD 3,000,000
Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA LOCATION
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INVESTORS GUIDE-KIGOMA
1. Starting a Business
Investors who wish to apply for incentives and are not yet incorporated may create
a company through the one stop shop atTanzania Investment Centre(TIC) provided
that their investment projects are worth at least 500,000 USD for foreigners and
100,000 USD for Tanzanian Nationals.
4. Business License
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INVESTORS GUIDE-KIGOMA
Certificate of Registration:
An individual may opt to register the business name to the agency commissioned
by Ministry of Trade and Industry known as Business Registration and Licensing
Authority (BRELA). The registered name can be obtained before or after application
for TIN. The registered business name shall be indicated on the TIN certificate
together with an individuals name showing the owners name trading as (T/A).
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INVESTORS GUIDE-KIGOMA
The limited company shall apply for TIN certificate by filling TIN application forms
as follows:
For non-citizen directors are required to fulfill all immigration procedure and
obtaining business permit from the Immigration Department working under
Ministry of Home Affairs.
Partnership
In applying for TIN the partnership firm shall apply for its certificate by submitting
the copy of certificate of registration obtained from BRELA. Each individual partner
shall apply for TIN, in case any partner has already issued with TIN certificate for
other purpose he/she cannot make another application. The same TIN will be used.
Trust
A trust has to register for the firm at BRELA and acquire the certificate of registration
which shows the names and addresses of trustees. Each trustee shall apply for TIN,
in case any trustee has already been issued with TIN certificate for other purpose he/
she cannot make another application. The same TIN will be used.
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INVESTORS GUIDE-KIGOMA
Charitable organization:
An entity will be recognized as charitable organization for tax purposes after been
issued with a ruling by the Commissioner. The applicant has to acquire all necessary
documents from the Ministry of Home Affairs.
You will be required to declare the estimated income or turnover for the provision
tax assessment for the particular year. At the TRA office the tax officer may interview
you and record your business and personal particulars.
Registration for VAT is mandatory to every person upon attaining the registration
threshold of 100 million in the period of twelve months and above or 50 million
in period of six months ending at the end of the previous months. This condition
applies to all types of registration except for professional service providers.
Application for VAT registration can be done online or by filling form ITX245.02.E
Application for Registration for VAT. Upon registration, a taxpayer shall be issued
with a Certificate of Registration stating the name and principal place of business of
the taxable person, the date on which the registration takes effect and his Taxpayer
Identification Number and his VAT registration number.
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INVESTORS GUIDE-KIGOMA
Income Taxes
Withholding taxes are payable within seven (7) days after the end of calendar month
Self-assessed tax is payable on the date of filling the final return of income
( 6 months after the end of the year of income )
Jeopardy assessed tax is payable on the date specified on the notice of assessment
Adjusted assessed tax is payable within 30 days from the date of assessment
Customs taxes
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INVESTORS GUIDE-KIGOMA
6. Banking
EXIM BANK
NHC BUILDING, LUMUMBA ROAD
P.O BOX 1060 KIGOMA
p. +255 28 280 2194/5
w. www. eximbank-tz.com
NBC BANK
LUMUMBA ROAD
P.O BOX 75 KIGOMA
p. +255 28 280 2210
e. kigoma@nbctz.com
w. www.nbctz.com
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CONTACTS
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