sharing in governance of extractive industries
Like several other African countries, potentials Tanzania is gifted in mineral resources, agriculture, fisheries, forestry and power generation are huge, and its favourable climate throughout the year and coastal location right on the interface of trade exchange between markets in Tanzania and the other landlocked countries of the Southern African Development Community (SADC), East and Central Africa and markets in the other countries sharing the Indian Ocean and its coastlines in Africa, Middle East and Asia make it one of the most prospective industrial hubs of the continent.
To realize the potentials, Tanzania like the other African countries should ensure appraisal of its industrial potentials at District, Regional and National levels and their marketing for investments is accomplished, and their exploitation is Tanzanian public-private sector led and mainly going as source of seed capital and raw materials for Tanzanian public-private led development of the enabler infrastructures like in raw materials production, power generation and materials transport. These infrastructures are prerequisite in the stimulation of global investing in the industrial potentials of Tanzania.
In the public-private sector arrangement, role of Government should be to put in place policies and legislations which optimize competitiveness of the local industrial potentials for investments and their benefit to the local community. Also, it is to provide all or part of the seed capital required in the private sector led appraisal and marketing of the local industrial potentials and development of their enabler infrastructures at District, Regional and National levels. Private sector could participate in as hired contractors and/or shareholders.
Governments shouldn’t participate in as doers because whatever skills and experiences they are equipped with are often not as good as those private sectors are equipped with in the appraisal and marketing of industrial potentials for investments, and in the development, operation and management of their enabler infrastructures. Moreover, Governments shouldn’t because doing so undermines the growth of local private sectors, which have always been the main source of tax revenues for Governments and economic growth in most successful countries the world over.
Appraisal of industrial potentials at District, Regional and National levels should consider competitiveness in the availability of markets and raw materials, and provision of enabler infrastructures like in raw materials production, power supplies and materials transport. It should deliver the prefeasibility or feasibility reports of the industrial potentials generated at District, Regional and National levels. These reports are prerequisite essential in the marketing to lure in investors.
Tanzania, like many of the other African countries with highly competitive industrial potentials has failed to secure deserved share of global investments mainly because appraisal of its potentials has not been done to enable the marketing required to lure in potential investors. As a consequence, industrial potentials of inferior competitiveness in other countries tend to continue receiving global investments mainly because their appraisal is complete and enabling the marketing luring in global investments when the same of superior competitiveness in most African countries are not appraised and therefore not enabled for the marketing to lure in deserved global investments.
Complete appraisal of the industrial potentials of a country at District, Regional and National level is also a prerequisite essential in the optimization of infrastructures development like in raw materials production, power generation and materials transport at national level to enhance the competitiveness of local industrial potentials for global investments.
And, to enable optimization at national level, all industrial potentials generated at District, Regional and National levels should be ranked in accordance to their cost-benefit competitiveness which considers estimates of cost in the provision of power, transportation of materials and delivery of manufactured goods to markets within the African country and its neighbouring countries.
In the optimization at national level, Tanzania should ensure that priorities in the development of enabler infrastructures are generated considering the importance of having newly developed infrastructures complementing competitiveness of major enabler infrastructures already on ground and specific infrastructures competitively serving as many as possible high rank industrial potentials.
It means clusters of high rank industrial potentials along the major corridors of raw materials and goods exchange between ports along the Tanzanian Indian Ocean coastline and markets within Tanzania and its neighbouring countries should be given priority one in the provision of enabler infrastructures. These are the costly Dar-es Salaam-Morogoro-Iringa-Mbeya, Morogoro-Dodoma-Tabora-Kigoma, Tabora-Shinyanga-Mwanza and Tanga-Moshi-Arusha port-railway infrastructures already on ground. Giving them priority in the provision of enabler infrastructures is important in ensuring that they are fully exploited by enabling trains to operate along them frequently and fully loaded in both directions.
Again, enabling high rank industrial potentials within the Tanzanian towns and cities of Mtwara, Songea, Mbeya, Kigoma, Mwanza, Musoma, Arusha, Moshi and Tanga should be given priority because their geographical locations close to the borders with neighbouring (mostly landlocked) countries are already favourable in enabling goods locally made here from raw materials sourced from the African region to sell at competitive price within markets in the African region. Also, it is consolidation of the dependence of the African region on African goods against non African made goods from raw materials sourced from the African region.
The city of Dar es Salaam is the least competitive for further investing in the enabling of industrial potentials in Tanzania other than in fisheries, cement production, agro-based like in poultry, meat, pork, milk, vegetables and fruits production within specially demarcated territories in the rural suburbs of the city to cater for demand within the city and its nearby markets. Dar es Salaam is one of the Tanzanian towns and cities which are located most faraway from power and water sources and markets within Tanzania and in its neighbouring countries and therefore one of the most costly in the country in power supply, mobilization of raw materials and delivery of manufactured goods to consumers within the local and regional markets.
The town of Mtwara is another top priority in the enabling of industrial potentials in Tanzania because it is underdeveloped port within the undeveloped Southern Development Corridor (SDC). This corridor has abundance of unexploited markets in Southern Tanzania, Northern Mozambique, Malawi, Zambia, Angola and the Democratic Republic of Congo (DRC) and unexploited potentials in agriculture, minerals, power generation and the development of the shortest railway line connecting the Indian Ocean Coastline at Mtwara with ports on the shores of the Atlantic Ocean like in Angola and DRC. The natural advantages Mtwara is gifted with make it top priority in the enabling of industrial potentials, not only for Tanzania, but to the countries of the SADC and Central Africa as well. This enabling will involve development of a modern port at Mtwara and a railway line from Mtwara, westwards to create the shortest railway link between the Indian Ocean coastline in East Africa and the Atlantic Ocean coastline in SADC and Central Africa.
The city of Mbeya is also a top priority in the enabling of industrial potentials in Tanzania because it has several unexploited power generation potentials within its nearby surroundings and already equipped with almost all infrastructures required to enable competitive production and mobilization of raw materials and delivery of manufactured goods to customers within its local and regional markets.
The cities of Arusha and Moshi are also a high priority in the enabling of industrial potentials in Tanzania because of the need to reverse trend in which most manufactured goods consumed here are Kenyan made when Tanzanian made goods are nowhere to be seen in the Kenyan markets.
Cities and towns like Mwanza, Musoma, Geita and Kahama which are located within major mining districts should also be given high priority in the enabling of industrial potentials in Tanzania because it is enabling sharing of values between manufacturers and miners and manufacturing to dominate and continue exploitation of mining infrastructures and sites when mining comes to an end.
Inland towns and cities along the three main railway corridors in the country are also a high priority in the enabling of industrial potentials in Tanzania because mobilization of raw materials and delivery of manufactured goods to local and regional markets is well enabled within the corridors and it is stimulation of raw materials production, processing and/or consumption in manufacturing along the railway corridors and maximization of railway infrastructures utilization.
Complete appraisal of the industrial potentials of each country within African Blocks and the African Continent are also a prerequisite input in the optimization of infrastructures development like in raw materials production, power generation and materials transport at African Blocks and Continent levels.
In the enabling of industrial potentials at African Block or Continental level, the complete appraisal of industrial potentials within individuals countries in African Blocks or Continent are also considered in the optimization of enabler infrastructures development within the African Blocks or Continent.
Appraised industrial potentials within individual countries on the African continent and their optimized enabler infrastructures at individual African countries, Blocks and continental levels also constitute essential prerequisite in the formulation of enabler policies and legislations at African individual countries, Blocks and Continent levels. These policies and legislations should also ensure the development and exploitation of African natural resources is African public-private sector led, competitive for foreign investments and mainly going on as the source of seed capital and raw materials for African public-private led development of the infrastructures enabling industrial potentials competitiveness for global investing at African individual countries, Blocks and Continent levels.
Fiscal regimes which encourage global investing in local raw materials production, processing and consumption in local manufacturing should be put in place in order to enhance replacement of imported goods with locally sourced raw materials based African made goods at African individual country, Block and Continental levels. Such are the fiscal regimes enabling African competitiveness in the mobilization of raw materials, manufacturing and delivery of goods to African consumers at African individual country, Block and Continental levels.
Optimization is more effective when carried out from the highest Continental level downwards to the lowest individual countries level than when carried out the other way round. Doing it from the whole to the part is enabling harmonization of industrial potentials and their enabler infrastructures, policies and legislation and integration of enabler infrastructures and markets throughout the whole African Continent or individual Block, making business doing throughout the whole easier. It is enabling African countries in the whole to collaborate more effectively in the development of enabler infrastructures and exploitation of industrial potentials to enhance attractiveness for global investments and maximize African benefit throughout the Continent.
Fiscal regimes which encourage local and foreign private sector partnerships in the provision of services and supplies in the appraisal of African industrial potentials at all levels and their marketing, and in the development, operation and management of African enabler infrastructures and industrial potentials at all levels should be put in place in order to enhance local participation and facilitate transfer of skills from foreign private sectors to the local counterparts. Such are enabling partnerships of mutual benefit between developing and developed countries in which the wealth partnerships generate in the exploitation of industrial opportunities in developing countries is shared with the developed countries for the transfer of skills and modern technology to the developing countries in return.
Higher education in Tanzania and other African countries should also be reviewed to enable more focus on the generation of graduates who are business creators in their fields of specialization in place of the job doers most African institutions of higher learning are generating now. Mechanisms should also be put in place in order to enable identification of national talents from primary schools to high schools levels and enabling them to secure scholarships and/or their African Governments support to attend their undergraduate studies at the most prestigious Universities in the world. It is enabling African talents to realize their inborn potentials and the resultant African contribution in the development and application of modern sciences and technology in the solving of important practical problems of common interest to all mankind like in the development of industrial growth potentials on the African continent.
The need for African countries to continue sending students abroad is justifiable by the fact that, with the exception of few Universities in South Africa, most Universities on the African Continent rank very low globally and Makerere University which is best ranked in the Sub Saharan Africa region, still ranks as low as 1,173 globally. It means most African Universities are still not competitive enough in the enabling of potentials development among local talents and generation of the world-class expertise African countries need in their struggle for social-economic transformation.
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