TANZANIA’S STEEL INDUSTRY BOOSTS ECONOMY, CREATES JOBS AS IMPORTS COME TO AN END

The sector is strengthening Tanzania’s industrial base and positioning the country as a key player in the regional steel market.

Africa Economic growth Investment. Steel industry Tanzania Job creation Trade expansion
Kitila Mkumbo, Minister in the President’s Office Responsible for Planning and Investment
Kitila Mkumbo, Minister in the President’s Office Responsible for Planning and Investment

Tanzania’s thriving steel industry is not only set to eliminate the need for imports but is also driving economic growth, job creation, and regional trade expansion. 

With increased production capacity, the sector is strengthening Tanzania’s industrial base and positioning the country as a key player in the regional steel market.

During a visit to Lodhia Industries in Mkuranga District, Coast Region, Kitila Mkumbo, Minister in the President’s Office Responsible for Planning and Investment, highlighted the significance of local steel production in transforming Tanzania’s economy. 

He noted that the country now boasts 19 major steel factories, producing a total of 1.2 million tonnes—double the nation’s internal demand of 600,000 tonnes.

“This is a clear testament to the success of our efforts to promote industrialisation through strategic investments,” Mkumbo stated.

Lodhia Industries, one of the largest steel manufacturers in Tanzania, exemplifies the sector’s growth. CEO Manoj Gopi revealed that the company has invested $100 million and employs 2,370 workers. 

The firm is already exporting to regional markets such as Rwanda, Burundi, and the Democratic Republic of Congo, strengthening Tanzania’s trade footprint.

James Maziku, Director of Investment Facilitation at the Tanzania Investment Centre (TIC), emphasised that the steel industry’s growth reflects the government’s commitment to fostering a business-friendly environment.

“We are pleased to witness such substantial investments in the sector, which not only satisfy local demand but also strengthen our regional trade relations,” Maziku said.

As the government continues to prioritise industrialisation and investment, Tanzania’s steel sector is set to play a crucial role in economic transformation, job creation, and regional trade competitiveness.

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