Tanzania Transport Sector Report

The Tanzania transport sector plays a crucial role in the growth of the Tanzanian economy; it facilitates domestic and international trade, contributes to national integration, and provides access to jobs, health, education and other essential facilities.

The transport system’s effectiveness, appropriateness and adequacy contribute a great deal to the successful implementation of socioeconomic activities, the lowering of domestic production costs through timely delivery, and the enhancement of the economies of scale in the production process and creating economic opportunities.

The economic opportunities include: ease of market access, strengthening of competition, promotion of trade and export, tourism and foreign investment contribution to government revenue and generation of a large number of employment opportunities.

In the past five years, the transport sector in Tanzania has helped to integrate market- strengthening competition, increase access to farming techniques, promote trade, tourism, and foreign investment, and has contributed to the government revenue.

The Tanzania transport sector’s growth and performance have continued to improve due to both government efforts and private sector investment

in road rehabilitation, expansion of telecommunications services, modernization of port services, and improvement in marine, railway and air transport services.

This growth, however, should have been ahead of the overall economic performance (with a GDP growth of 6.9% in 2005 and an expected 7.9% by 2008), in order to avoid a situation where it could obstruct other sectors which demand transport services.

Development of transport corridors has been one of the main strategies adopted by the Government of Tanzania to facilitate trade.

Tanzania serves as a transit country for the import and export of Malawi, Zambia, DR Congo, Burundi, Rwanda and Uganda, using the port of Dar es Salaam.

Currently, the transport system consists of roads, railways, air, water and pipeline modes.

In this report on infrastructure development in Tanzania, the last two are not included.

Tanzania has implemented a number of transport development and maintenance programs and reforms aimed at enhancing the provision of an efficient, cost-effective and safe transport system in the country.

The focus of government is to attract as many private investors as possible during the implementation of the Transport Sector Investment Programme, through public private partnerships (PPPs) in areas where the private sector can easily invest alone or in partnership with the public sector.

Different forms of Public Private Partnerships are being considered, along with the transport modal investments that will be encouraged.

Last Updated on Wednesday, 21 April 2010 08:59

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