By Alfred Zacharia
Government Spokesperson Gerson Msigwa said the government has collected TZS 325 billion in revenue over just five months after DP World took over Port of Dar es Salaam's management operations in April 2024, signaling a new era of efficiency and profitability.
“We are already reaping the benefits of DP World’s involvement at the Port of Dar es Salaam. This is a clear indication of the success of our efforts in leveraging global expertise to enhance Tanzania’s economic potential,” he told the journalists on December 19, 2024, in Dar es Salaam.
The agreement with DP World includes an investment commitment of USD 250 million (approximately TZS 675 billion) over five years, a move designed to modernize the port’s operations and infrastructure.
In just five months, the company has already invested TZS 214.425 billion, equivalent to 31% of the total target, underscoring its dedication to the contract’s terms. Msigwa stressed the government’s commitment to stringent monitoring to safeguard the nation’s interests and address previous public concerns about such agreements.
Operational efficiency at the port has drastically improved, according to the spokesperson. Previously, the average waiting time for ships ranged from 46 to 70 days, a bottleneck that hampered Tanzania’s competitiveness in the regional logistics market.
Thanks to modernized equipment and advanced ICT systems introduced by DP World, waiting times have now plummeted to just seven days, with some container ships experiencing no delays at all. “This reduction not only saves costs but also enhances Tanzania’s attractiveness as a logistics hub,” Msigwa remarked.
The improved efficiency has translated into tangible financial gains. Once a loss-making enterprise, the port is now generating significant profits.
The TZS 325.3 billion revenue collected in five months is a testament to the enhanced productivity and streamlined operations under DP World’s management.
These advancements bolster Tanzania’s aspirations to become a regional trade and logistics powerhouse. Msigwa emphasized that the government’s focus remains on ensuring that such partnerships deliver long-term benefits for Tanzanians.
The modernization of the Dar es Salaam port aligns with the broader economic agenda of fostering sustainable development and improving the country’s global trade standing.
“This demonstrates that we mean business,” Msigwa affirmed, reflecting the administration’s unwavering commitment to economic transformation.
The government’s approach underscores the critical role of private-sector partnerships in unlocking Tanzania’s economic potential while prioritizing accountability and transparency in public-private agreements.
As the country continues to reap dividends from this landmark partnership, stakeholders and observers alike are keen to see how the transformative changes at the port will influence broader economic growth.
The port’s success story may well serve as a blueprint for similar initiatives aimed at revitalizing other critical sectors of Tanzania’s economy.