The capacity of
the Port of Dar es Salaam will be increased to 25 million tons over the next
seven years following the World Bank Board of Executive Directors’ approval of
a $345 million credit and a $12 million grant to the new Dar es Salaam Maritime
Gateway Project (DSMGP). The investments in the Port will also improve waiting
time to berth from 80 hours to 30 hours as well as overall productivity.
“The Port of Dar
es Salaam is vital for the economies of Tanzania and neighboring countries,”
said Bella Bird, World Bank Country Director for Tanzania who also oversees
Malawi, Burundi and Somalia. “Enhancing its operational potential will boost
trade and job creation across the region, and reduce the current cost of
$200-400 for each additional day of delay for a single consignment.”
The DSMGP is to
be implemented as part of a larger ongoing investment program for the overall
development of the Port of Dar es Salaam with the support of several
development partners. The Government of Tanzania is contributing about $63
million through Tanzania Ports Authority, while Trade Mark East Africa is
supporting improvements in the spatial and operational efficiency of the port
currently, through the rehabilitation of access and egress roads and demolition
and relocation of sheds. The United Kingdom through its Department for
International Development (DFID) are also contributing a $12 million Grant.
This support will co-finance the activities in the DSMGP, and further support
is available for capacity building programs in institutions like Bandari
College, the vocational training facility run by TPA, the Dar Maritime Institute,
and the College of Engineering and Technology at the University of Dar es
Salaam.
“The UK is
committed to supporting Tanzania’s growth and helping to improve the lives of
Tanzanians. We’ve been a committed partner to the Tanzanian Ports
Authority over the last six years. As well as the $12m grant to the Dar
es Salaam Maritime Gateway Project, DFID has funded 100 percent of the work
Trademark East Africa has implemented in the port over recent years. We hope
that these investments will help Tanzania take advantage of the opportunities
that trade offers for future growth and prosperity,” said Sarah Cooke, British
High Commissioner.
“TradeMark East
Africa commends the World Bank and the UK Government for providing this much
needed investment to improve capacity and efficiency of the Port of Dar es
Salaam. Funded by the UK Government through DFID, TradeMark East Africa has
implemented a number of interventions at the Port over recent years including
port access roads, feasibility studies for Berths 1 – 7, and the Port’s
dredging studies to prepare for this major investment,” saidJohn Ulanga,
TradeMark East Africa Country Director.
The Port of Dar
es Salaam currently has 11 berths, with seven of these dedicated to general
cargo (including container, dry bulk, break bulk and RoRo operations) and four
to container operations. The Port handled 13.8 million tons in 2016, up from
13.1 million tons in 2013, and 10.4 million tons in 2011, reflecting an average
growth of 9 percent per year over the last five years. While recent numbers
indicated a slowdown, the respite is likely to be short lived as projections
for the long term suggest the Port’s volumes could double, from the current 14
million tons to 38 million tons by 2030, in an unconstrained scenario.
The DSMGP has two
main components: the improvements to the physical infrastructure which involve
the deepening and strengthening of Berths 1 to 11; the construction of a new
multipurpose berth at Gerezani Creek; the deepening and widening of the
entrance channel and turning basin; and the improvement of rail linkages and
platform in the port.
“Improvement of
the port’s infrastructure is long overdue,” said Engineer Deusdedit Kakoko, the
Director General of the Tanzania Ports Authority that oversees all Ports in the
country including the Port of Dar es Salaam “We have been performing rather
optimally, yet under very difficult conditions.”
The institutional
strengthening component will support the restructuring of Tanzania Ports
Authority (TPA) and further develop its capacity to act as a landlord, manager
and developer of the ports in Tanzania, whilst at the same time building
capacity for future private sector participation in port operations.
“The project
represents the start of an incremental process towards increasing the capacity
of the port of Dar es Salaam, and strengthening its economic role in the
region,” said Richard Martin Humphreys, the World Bank’s Lead Transport
Economist and Task Team Leader. “It aims to make the necessary improvements to
the current sub-structure, whilst providing a new berth, facilitating the
access and egress of larger vessels to the port, and improving the integration
with the access modes of road and rail.
Source: Africa Business