Tanzania’s ongoing port modernization program is delivering measurable gains in cargo volumes, revenue collection, and regional trade, government spokesperson Gerson Msigwa said on Tuesday during a visit to the Tanzania Ports Authority (TPA).
“The government is committed to transforming our ports into competitive gateways for the region and globally, while ensuring they contribute positively to economic growth and social development,” Msigwa told reporters at TPA headquarters in Dar es Salaam.
According to Msigwa, the country’s ports handled 27.7 million tonnes of cargo in the 2024/25 financial year, representing a 17% increase from the 23.69 million tonnes recorded in 2023/24, when private terminal operators DP World and Tanzania East Africa Gateway Terminal Ltd (TEAGTL) began operations.
During the first half of the 2025/26 financial year, the Port of Dar es Salaam alone handled 16.7 million tonnes of cargo, up 30% compared to the same period a year earlier, highlighting the early impact of private sector participation in port operations.
The government credited the surge to substantial investments by the two private terminal operators.
DP World, a Dubai-based logistics giant, had invested TZS 214.2 billion ($85 million) by June 2025, in areas including modern cargo-handling equipment, major repairs of existing machinery, digital systems, terminal workshops, and expanded storage facilities.
TEAGTL, a subsidiary of India’s Adani International Ports Holdings, has committed TZS 410.4 billion ($164 million) for berth upgrades, construction of new terminals, modern equipment acquisition, and implementation of advanced information technology systems.
“These investments have not only increased cargo-handling capacity but also reduced vessel turnaround times dramatically,” Msigwa said.
He noted that container ships now spend an average of six days in port, down from 30 days previously, including waiting times at anchorage.
“This improvement cuts costs for traders and enhances Dar es Salaam’s reliability as a transit hub for East and Central Africa,” he added.
Tanzania’s ports also serve as critical gateways for landlocked neighbouring countries.
In 2024/25, Democratic Republic of Congo accounted for nearly 6 million tonnes of cargo, Zambia 3.5 million tonnes, Rwanda 1.7 million tonnes, and smaller volumes for Burundi, Malawi, Uganda, and Zimbabwe.
“These figures demonstrate how strategic investment in port infrastructure benefits not only Tanzania but the wider region,” Msigwa said.
Revenue collection has mirrored the operational improvements. Customs duties and port-related revenues reached TZS 12.33 trillion in 2024/25, up 17% from TZS 10.55 trillion in 2023/24.
Msigwa said this increase reflected both higher cargo volumes and more efficient port management, strengthening government finances.
“Efficient ports create a win-win scenario: lower operational costs for businesses and higher revenue for the government,” he explained.
The port modernization program has also boosted employment. By June 2025, DP World and TEAGTL had directly employed 764 people, covering roles from operations officers and clerks to machinery operators and security personnel.
Indirect employment, including truck drivers, customs agents, and temporary labor, has grown alongside rising cargo volumes.
“Investment in infrastructure translates into job creation and economic empowerment,” Msigwa emphasized.
Tanzania is also undertaking strategic projects across multiple ports include construction of oil terminals with a total capacity of 378,000 liters, upgrades at the Malindi Wharf to accommodate vessels of 50,000 deadweight tons, expansion of Berths 8-11 and the construction of Berths 12-15 at Dar es Salaam, and improved rail connectivity through the MGR, SGR, and TAZARA networks.
Other projects at Mtwara, Tanga, Mwanza, Kigoma, Kemondo, Bukoba, and Mbamba Bay aim to expand port capacity, improve cargo handling efficiency, and enhance regional connectivity.
“These investments will allow the Port of Dar es Salaam to handle larger post-Panamax vessels of up to 8,000 TEUs, compared to the current capacity of 2,500 TEUs for second-generation ships,” Msigwa said. “Once completed, our ports will be more competitive against regional rivals like Mombasa, Maputo, Beira, Nacala, and Durban.”
Tanzania’s investment strategy, which combines public oversight with private sector expertise, has already improved operational efficiency and set a precedent for regional logistics.
By reducing cargo congestion, improving turnaround times, and expanding berth capacity, the ports are becoming central to Tanzania’s goal of regional trade integration.
“The message is clear. Efficient, modern ports are not just gateways for trade; they are engines of economic growth, fiscal stability, and employment. The reforms we are implementing today will shape Tanzania’s competitiveness for decades to come,” Msigwa concluded.
