Private sector wooed to invest in industries

 

WITH improved investing environment, the private sector has been encouraged to invest in the industrial sector in the country.

The call was made yesterday by the Permanent Secretary in the Ministry of Industry, Trade and Investment, Dr Adelhelm Meru, when installing a foundation stone for a packaging industry set to start production in January 2017. 

 

The packing industry; Global Packaging Ltd, wholly owned by a local Tanzania, is set to begin production early next year with the capacity to produce between 16 and 20 million of packing material per year.

Dr Meru commended the move, urging more businesspeople from the private sector to invest in the industrial sector, stressing that land is available for those who have no access to it.

“I am always very happy to see industries mushrooming across the country because this means we are on the right path of attaining the Fifth Phase Government’s objective of attaining industrial growth. It also means my job is intact,” Dr Meru quipped.

He stressed that developed countries with strong economic base focused on developing its industries, which in turn created employment, generated revenue, motivated trade in industrial products and stimulated introduction of new technologies.

“The government’s industrialisation target is to increase the contribution of the industrial sector to the national economy from the current 7.4 to 15 per cent by the year 2020,” he explained, adding that this will be attained with investments in the sector from both local and foreign investors.

Global Packaging Limited is jointly owned by the National Development Corporation (NDC) 6 percent, Wande Printing and Packaging 94 percent.

NDC Managing Director Mlingi Mkucha said local investors with interest in investing in the industrial sector will get all the assistance from the corporation, including improving their proposals to access requirements to establish such ventures.

Mr Mkucha stressed that his office will also provide assistance in accessing land, which is available for investment in the industrial sector, noting that there is more than 300 hectares set aside for industrial investment in Kibaha alone.

Global Packaging Managing Director Joseph Wasonga said 96 pc of the work on the industry is complete, adding that experts are set to conduct trial tests on the machines in December, ready for production in January 2017.

Mr Wasonga said the process to establish the packaging industry began early this year following a loan of 2,330,500 US dollars (58pc) from TIB Development Bank, with Wande Printing and Packing and NDC injecting the remaining 42 pc.

Earlier, the Kibaha District Commissioner (DC), Ms Assumpter Mshama, commended the move to have the packaging industry in her district, stressing that it will ensure employment to youth as well as boost revenue collection.

She encouraged the private sector to continue putting up their industries in her district, noting that there is availability of land. The packaging industry is set to provide more than110 employment opportunities once production begins.