Bagamoyo Port construction to go ahead in 2023 as planned

Tanzania Ports Authority (TPA) revealed last Saturday that Tanzania will start construction of the Bagamoyo Port in the financial year 2023. Although further investors will be needed to complete the development of the port and operate the terminal facilities, Tanzania authorities have decided to not delay the construction works, relying on the interest expressed by some multinational companies to participate in the relevant expansion works. The Bagamoyo port is $10 billion worth project aimed at decongesting the Dar es Salaam port, which currently handles 17.025 million tonnes of cargo yearly with a growing trend.

Tanzania signed a framework agreement already in 2013 with China Merchants Holdings International (CMHI), the Chinese largest port operator, to build a deep waters seaport in Bagamoyo. Construction works were however interrupted in 2019, due to a disagreement between China and Tanzania on the terms of the loan given by China for the development of the port, which Tanzania defined as “exploitative and awkward”. On 26 June 2021, the current President of Tanzania announced during a gathering with the private sector in Dar es Salaam that the government of Tanzania re-started negotiations with China for reviving the Bagamoyo port project.

The Bagamoyo port will accommodate vessels larger than those handled by the Dar-es-Salaam port, which currently has the capacity to receive ships that can carry up to 8,000 TEUs.