On November 2nd and 3rd, 2024, a parliamentary standing committee focused on industries, trade, agriculture, and livestock conducted a significant factory visit in collaboration with the Confederation of Tanzania Industries (CTI). The delegation was led by Hon. Deodatus Mwinyika, the committee's Chairman, and included key figures such as Hon. Exhaud Kigahe, Deputy Minister of Industry and Trade, and Hon. Ambassador Dr. John Stephen Simbachawene, Deputy Secretary General of the Ministry of Industry and Trade. They were joined by Dr. Toba Nguvila, the Dar es Salaam Regional Administrative Secretary (RAS), and Eng. Leodegar Tenga, CEO of CTI.
The primary objective of this visit was to enhance the relationship between the government and significant industry players while gaining insights into the operations of major manufacturing companies in Tanzania. The delegation aimed to identify challenges faced by these companies and explore alternative sustainable measures that could stimulate industry growth and bolster the national economy. The committee toured three prominent facilities: the Tanzania Cigarette Company (TCC), Alaf Limited, Tanzania Breweries Ltd (TBL), and Serengeti Breweries Limited (SBL).
At TCC, members of parliament observed the complex processes involved in cigarette production and engaged in discussions regarding the regulatory frameworks impacting the tobacco industry. This visit underscored TCC's commitment to sustainable practices and its significant contribution to the national economy through job creation.
Following TCC, the delegation proceeded to Alaf Limited, a leading manufacturer of roofing solutions. Here, they examined innovative building materials that support Tanzania's construction sector while highlighting Alaf's dedication to quality and sustainability.
The group then visited TBL, Tanzania's oldest brewery and a major player in the beverage industry. The MPs learned about TBL's extensive contributions to local agriculture through its sourcing practices and community engagement initiatives aimed at promoting responsible drinking.
On November 3rd, 2024, the committee continued their visit at Serengeti Breweries Limited (SBL), one of the largest beer producers in Tanzania with over 28% market share. SBL also got the chance to present their challenges and proposals where by the proposed an introduction of a new excise tax band for beer made with at least 75% of local raw materials.
Throughout their visits, industry representatives highlighted several challenges affecting their operations, including high costs associated with emissions trading systems (ETS), low import duties on colored coils that undermine domestic competitiveness, and significant discrepancies in excise duties between locally malted beer (Tsh 620/L) and beer produced using imported malt (Tsh 918/L).
Discussions during these visits centered on enhancing industrial growth through improved policies and support for local manufacturers. The committee expressed its commitment to addressing these challenges while fostering an environment conducive to investment and innovation.
This initiative not only showcased the capabilities of Tanzanian industries but also reinforced the government's role in supporting sustainable development within the manufacturing sector. The collaboration between parliamentarians and industry leaders is viewed as a crucial step towards achieving economic resilience and growth in Tanzania.
CTI, Bridging Government and Industries: A Parliamentary Standing Committee Tour of Key Manufacturing Facilities in Tanzania