Dar es Salaam port delays start of EPZA projects

Investors operating at the Export Processing Zone (EPZA) have called on the government to improve port services so as to make them yield profits from their products.


They made the call on Tuesday when lodging their complaints to a team of journalists who visited the EPZ to investigate how the firms operate.


Steel One Limited managing director Ado Maimu said delays experienced at the Dar es Salaam port were a major hindrance to the accomplishment of many of the projects under the EPZ.


“Most of the firms here depend on imported raw materials for production of their goods and services. But it takes up to four months to clear the goods at the Dar es Salaam port. Surprisingly, it takes only two weeks to do the same at Mombasa port in Kenya,” he said.


Maimu called on the government to borrow a page from what Mombasa port does if it wants the EPZ in Dares Salaam to operate as planned.


Expressing his surprise at the slow pace of goods experienced when clearing goods at Dar port, Maimu said, the volume of cargo passing at the port is smaller compared to that cleared at Mombasa port.


"Mombasa port received far a bigger volume of cargos compared to Dar es Salaam port. Nevertheless, it is more efficient and wastes no time in merchandise clearance,” Maimu said.


The managing director said delays at Dar es Salaam port are now forcing more investors and traders at the EPZ to use Mombasa port instead of the former.


Calling on Tanzanians to work on these shortcomings, he said tackling them is of crucial importance if this country needs to compete and attract more investors.


"This country must change, the problem at the port is a major constraint to businesses and businesspersons, and once it is solved the country will make huge strides in development,” Maimu said.


He said his company is optimistic that through EPZA it would make good business and produce high quality goods which Tanzanians too would purchase instead of importing from overseas.


Paperkraft International Limited general manager, George Lobo, for his part, said his firm has already started production with at least 200 tonnes per month of paper bags.


Lobo said it is easier for his firm to operate from the EPZ rather than outside the authority’s surroundings.


Being the only local company that has started production at EPZ, the firms uses local papers as raw materials to make paper bags, 20 percent of which are sold locally while 80 percent goes for export.


Krishna Patil, who is Technical Director of Tembo Agro Limited, said his company is yet to start production, but assured the visiting journalists that by next year it will go into operation starting with assembling various agricultural equipment including power tillers.


EPZA Investors Facilitation Manager Lamau Mpolo said so far 14 companies are investing and are at different stages, adding that some have already started production while others are still preparing premises.


“So far one has started operating, two are at an advanced stage and 11 others are on mid-way stage,” the manager said.


He said the major challenges many firms were facing are delays in mobilising funds from banks.


Mpolo said there was decorum between the EPZA and investors signaling huge business prospects in future.


Efforts to get Dar port authorities to comment on the matter are continueing.
(Source:http://en.portnews.ru)