Dodoma to Receive 28 Million USD Investment From China for Sunflower Oil Production

Tanzania’s capital Dodoma is set to receive an investment of 28 million USD in sunflower oil production from the Mainland Group of China.

The project aims to process between 30,000 to 35,000 tonnes of sunflower seeds annually, enhancing local agricultural output.

The facility will produce high-quality sunflower oil and animal feeds from by-products, bolstering agricultural sustainability in the region.

The investment is expected to create 500 permanent jobs and transfer technological expertise to local communities.

Tanzania’s Minister of Agriculture, Hon. Hussein Bashe (Mb) said that the Government will continue to support investors who show interest in investing in increasing the value of the sunflower crop, especially in producing cooking oil.

He said this when he met with representatives from the Mainland Group on June 24, 2024, in Dodoma. “The sunflower crop is one of the strategic crops, so the Government will continue to manage guidelines including laws to protect investors who invest in the production of sunflower oil,” added Minister Bashe. 

For his part, the Mayor of Hunan province in China, Mr. Xiewei Fieng has thanked the Government of Tanzania for inviting Mainland Group to invest in a sunflower oil factory in Veyula, Dodoma region.  

According to the Tanzania Investment Centre (TIC), despite the robust increase in sunflower seed production, Tanzania’s edible oil processing capacity remains inadequate compared to current demand, estimated at 300,000–400,000 tons annually.

A significant portion of this demand is fulfilled by imported edible oils, constituting 60% of all types and ranging from 55% to 70% specifically for sunflower oil.

The Government of Tanzania aims to diminish the country’s reliance on imported edible oils by enhancing domestic oilseed production and expanding downstream oil processing capabilities.