Tanzania is seeking to deepen its investment partnership with South Korea’s POSCO International, targeting mining, agriculture, energy and technology as the government pushes for more value addition and industrial investment.
Finance Minister Ambassador Khamis Mussa Omar led a Tanzanian delegation, which included Communication and Information Technology Minister Angellah Kairuki, in talks with senior POSCO International executives in Seoul.
The discussions centred on expanding the company’s footprint in Tanzania and positioning the country as a major base for POSCO’s operations in Africa.
A major focus was the Mahenge graphite project, which is in the final stages of a capital increase and is expected to be completed this year.
The two sides also discussed infrastructure required to support the project and the wider mineral value chain, including road construction and the purchase of railway wagons.
The infrastructure projects are being pursued in cooperation with the Economic Development Cooperation Fund (EDCF) and the Export-Import Bank of Korea.
Tanzania also used the meeting to pitch a wider investment pipeline beyond graphite, including mineral processing industries for nickel, cobalt and copper, particularly in Dodoma.
The government is seeking to attract investors into activities that can increase the value of minerals before they are exported, potentially creating more industrial jobs and expanding government revenue.
The proposed areas of cooperation also include palm oil production, large-scale farming and seed manufacturing aimed at reducing Tanzania’s dependence on imported seeds.
On technology, the two sides discussed opportunities in digital innovation, industrial artificial intelligence, robotics and data analytics.
The talks are part of Tanzania’s broader effort to move from attracting investment mainly into resource extraction to building integrated value chains that connect mining and agriculture with processing, manufacturing and technology.
POSCO International Executive Vice President Jae Sung Lim said Tanzania was among the company’s five key strategic partners in Africa.
“Tanzania is one of our five key strategic partners in Africa,” Mr Lim said.
The company also announced plans to establish a representative office in Tanzania, replacing its current arrangement under which its activities in the country are managed from South Africa.
The planned office could provide a more direct channel for coordinating new investments and addressing operational issues as the partnership expands.
The two sides agreed to maintain close communication through diplomatic channels, including the Tanzanian Embassy in Seoul, to speed up implementation of the investment initiatives.
The government’s pitch to POSCO International comes as Tanzania seeks to leverage its mineral resources, agricultural potential and growing digital economy to attract long-term investment while retaining a larger share of value generated within the country.