INVESTOR’S GUIDE

KIGOMA UJIJI
2017
Map of Tanzania

Map of Kigoma
TABLE OF CONTENTS

I. WELCOME: Mayor of Kigoma Municipal Council ....................................................................... 7

II. KIGOMA: OPEN FOR BUSINESS
1. Why Kigoma?
a. Strategic Location .................................................................................................. 10
b. Youthful Population .............................................................................................. 10
c. Masterplanned Development ........................................................................... 11
d. Infrastructure Development .............................................................................. 11
e. Good Governance .................................................................................................. 14
f. Conducive Local Investment Climate ............................................................. 15
g. Managed Social Transformation ...................................................................... 16

III. SUMMARY BUSINESS OPPORTUNITIES
1. Kigoma Special Economic Zone (KISEZ)
a. Infrastructure Development and Management ........................................ 20
b. Light and Heavy Industry opportunities ...................................................... 21
1. Palm Oil Refinery .......................................................................................... 21
2. Specialty Coffee Packaging ..................................................................... 22
3. Hot Pepper Processing and Packaging ............................................... 23
4. Maize Milling .................................................................................................. 24
5. Tapioca (Cassava) Flour Milling .............................................................. 25
6. Biomass Power Generation ...................................................................... 26

2. International Trade

a. Ujiji City by Ling Hang Group Shanghai ........................................................ 28

b. The Great Lakes Gateway Market by PSPF .................................................... 30
3. Oil Palm Sector

a. Palm Biotech Research Center ........................................................................... 33

b. Palm Estates for Lease ........................................................................................... 38

c. Palm Oil Mills ........................................................................................................... 39

4. Luiche Delta Paddy Project
a. Paddy Farming ......................................................................................................... 41
b. Paddy Processing and Storage Complex ....................................................... 42

5. Fishing Industry
a. Commercial Fishing ............................................................................................... 46
b. Fish Farming ............................................................................................................. 47
c. Fish Processing Plant ............................................................................................. 48

6. Oil and Gas
a. Exploration ................................................................................................................ 49
b. Services ....................................................................................................................... 50

7. Tourism
a. Gombe Cultural Tourism Village ...................................................................... 52
b. Vacation Timeshare ............................................................................................... 54
c. Assisted Living Facilities ....................................................................................... 55
d. Hotels and Casinos ................................................................................................ 56

8. Education
a. International Academy ......................................................................................... 59
b. Polytechnic Institute ............................................................................................. 60
9. Healthcare

a. Medical Tourism Hospital .................................................................................... 62
b. Pharmaceuticals ..................................................................................................... 62

10. Financial Services
a. Municipal Social Service Scheme ..................................................................... 63
b. Banking and Financial Services ....................................................................... 64

11. Sports and Entertainment
a. Kawawa Sports Academy .................................................................................... 66
b. Mwami Ruyagwa Youth Center ......................................................................... 67
c. Gungu Academy for the Performing Arts ..................................................... 68

IV. GUIDE TO DOING BUSINESS IN KIGOMA
1. Starting a Business ........................................................................................................... 69
2. Register through Tanzania Investment Center (TIC) ........................................... 69
3. Register a Foreign Company ........................................................................................ 69
4. Business License ............................................................................................................... 69
5. Tanzania Revenue Authority ......................................................................................... 70
6. Banking ................................................................................................................................ 74
INVESTOR’S GUIDE-KIGOMA

KARIBU --
I. Welcome remarks from the Mayor

A warmly welcome from Kigoma Ujiji.

Thank you for taking time to explore opportunities in our bustling Kigoma Ujiji.
Right now, Kigoma is at a very special moment in time where different levels of
government and people are working hard, together and productively to achieve
the most ambitious growth and transformation targets in our history. We setting
out to capture the national and the world’s attentions to our grand ideas of
development and lucrative opportunities for investments.

Our new President HE John Magufuli has ushered a new era of fast tracked
development through industrialization and agriculture revolution. As a
Municipal we have made the choice to seize the moment and build on this
forceful momentum as we set ourselves for continued success.

As a new, young and vibrant Municipal Council, we have decided to do
things differently. We have embraced the fact that we are in competition
with municipalities from around The Great Lakes region fighting for the same
investments, the same industries, the same jobs and the same talent. We have
the best untapped investment opportunities but we have to draw many people
and businesses to Kigoma Ujiji to help us capitalize on all these opportunities
that are opening up. This is why our municipal is evolving to becoming a modern,
innovative and open government in order to provide the most efficient and
friendly services to our people and businesses.

7
INVESTOR’S GUIDE-KIGOMA

-- KIGOMA UJIJI
We have set out ambitious growth and development targets for near and long
term aimed at bringing positive change to both socio-economic Transformation
and the enabling environment. We are hedging our growth in Trade and reviving
the Oil Palm industry by making Kigoma Ujiji the regional trade hub and the
Palm Oil capital of Africa. We are investing heavily on trade and city infrastructure
to make Kigoma the most important and efficient trade hub of The Great Lakes
Region.

We can only achieve these ambitions with sustained investment in human
capital. The municipal is investing heavily in vocational training and higher
learning to both develop the best workforce and attract and retain more young
people to Kigoma.

We are targeting a $500 million city economy by 2020, and $1 billion by 2025.
This opens up plenty of investment opportunities for both public and private
sectors. This booklet is just to give you a glimpse of such opportunities.

We are building a city for everyone to want to live in – beautiful, vibrant,
affordable, safe and full of opportunities for everyone. We welcome you to be
part of this transformation story.

Karibu!

Hussein Juma Ruhava
Mayor – Kigoma Ujiji Municipality

8
KIGOMA OPEN
FOR BUSINESS
INVESTOR’S GUIDE-KIGOMA
II. KIGOMA: OPEN FOR BUSINESS

KIGOMA UJIJI Municipality is set to undergo rapid Economic Transformation of this century.
The Municipality has set ambitious medium term goals, one of which is to raise the value
of goods and services produced in the Municipality to $500 million by year 2020. This will
afford the people a per capita income of $1800, and a middle income status for the Kigoma
Municipality. This is no small feat, but Kigoma Municipality is ready and open for business.

A Strategic Location

Kigoma Municipality is strategic located in the heart of the Great Lakes region.
Bordering Burundi and Rwanda to the North, DRC to the West and Zambia through
L. Tanganyika to the South, Kigoma Ujiji has always been an important trading port,
cultural center and political capital of East Africa since early 1500s. Connected to
the Indian Ocean port of Dar es Salaam through the Central Railway Line, newly
tarmac highways and airport, Kigoma offers unmatched logistics advantages
compared to other towns and cities in The Great Lakes Region. Kigoma has the
largest and busiest port on L. Tanganyika in terms of capacity and volume. The
majority of Eastern DRC trade in fast moving consumer goods and capital goods
pass through this port.

B Youthful Population

Kigoma Ujiji Municipality population is youthful and rapidly growing. As early as
2030, more than half of Kigoma region population will be living and working in
Kigoma City and its surrounding metropole. This offers unmatched opportunity for
businesses looking for growing market and youthful workforce.

10
INVESTOR’S GUIDE-KIGOMA

C Masterplanned Development

Kigoma Ujiji Municipality is a beautiful town of hills, valleys, long gold sandy
beaches, cliffs and lake scenery of mesmerizing charm. Ujiji Old City was at once the
largest and well planned development in the entire German East Africa territory.
Kigoma Municipality has embarked on a project that will see it reclaim its glorious
past through a comprehensive masterplan for a controlled urban development.
Once completed, the masterplan will be the blueprint for economic and social
transformation of the Municipality towards a middle income Metropolitan of the
future where businesses strive, jobs are created and social services are optimized.

D Infrastructure Development

The Government of Tanzania has increased its infrastructure spending in the region
that has seen Kigoma region connected to the rest of the country and region
through world class infrastructure. This has and will open up Kigoma for the much
delayed economic boom.
11
INVESTOR’S GUIDE-KIGOMA

1. Standard Gauge Railway

The Government of Tanzania has broken ground on a $9.0 billion project
to upgrade The Central Railway Corridor, connecting the Port of Dar es
Salaam in the Indian Ocean to the Port of Kigoma on L. Tanganyika, and
later to Port of Mwanza on L. Victoria. This project will see freight volumes
increased and time cut in half, increasing efficiencies and making Kigoma
the preferred logistics hub of The Great Lakes Region given its strategic
location. Kigoma Municipality is anticipating this influx and is currently
developing Special Economic Zones and The Great Lakes Gateway
Project at Mwanga Market by merging existing Kigoma Mjini Market
and Mwanga  Market into one with stalls, shops and International Honey
Auction and that will make doing business in Kigoma more competitive.

12
INVESTOR’S GUIDE-KIGOMA

2. Highways

Kigoma Ujiji is connected to Dar es Salaam Arusha and Nairobi through a world
class central highway, and to Bujumbura and Kigali through a northern highway. On
completion of Kasulu – Nyakanazi stretch of northeast highway, Kigoma will have
uninterrupted access to Mwanza – Jinja – Kampala and Mwanza – Kisumu – Nairobi
– Mombasa on yet another world class highway. Kigoma is also connected to Zambia
and Malawi through a southern highway passing through Tabora.

3. Ports

Kigoma Port is undergoing major upgrade that will see it retain its status as the largest
and busiest port on L. Tanganyika, connecting Tanzania, Burundi, DRC and Zambia.
Tanzania Ports Authority is also completing an upgrade of cargo and passenger jetty
at Kibirizi and the development of the Katosho Dry Port busy underway. Kigoma
Municipality has also set aside funds to develop Ujiji Jetty to serve the planned
logistics hub development at Ujiji Market. These development will undoubtedly
strengthen Kigoma position as the trade and logistics hub of the Lakes region for a
foreseeable future.

4. Airport

Kigoma airport received upgrades in 2015 that included runway extension and
apron construction. Currently two airlines – Air Tanzania and Precision Air – provide
scheduled flights at Kigoma airport.

5. Electricity

Kigoma Ujiji Municipality is offgrid and currently serviced by TANESCO diesel
generators with installed capacity of 11MW against peak demand of 4MW. Grid
connections are underway through the Northwest Grid (Geita – Nyakanazi – Kigoma)
with a 220KV, 500km transmission line that is expected to go live mid-2017. Likewise,
the Municipality has invested heavily on solar energy to power street lights and now
looking at solar power to dry fish at Kibirizi fishing port. Opportunities for biomass
power production are also available in both oil palm and paddy processing.

13
INVESTOR’S GUIDE-KIGOMA

E Good Governance

Kigoma Ujiji Municipality is committed to promoting transparency, empower its citizens,
fight corruption, and harness new technologies to strengthen governance. As the only one
only Tanzania Local Government Authority (LGA), and one of the 69 subnational government
pioneers of the OGP pilot pioneer program, Kigoma has received a vote of confidence as
an LGA with committed political and working level reformers, and engaged and energetic
partners in civil society. Kigoma is receiving dedicated assistance and advice from the
OGP Support Unit and OGP Steering Committee to develop and fulfill independent open
government commitments in action plans, in partnership with civil society organizations.
Kigoma Municipality leaders will actively contribute to peer learning and networking
activities with other subnational governments. The commitments and short action plans
developed by the pioneers will be assessed by OGP’s Independent Reporting Mechanism
(IRM). Kigoma Municipality has signed a contract with the people of Kigoma that will act as
the accountability mechanism for its performance in good governance.

14
INVESTOR’S GUIDE-KIGOMA
F Conducive Local Investment Climate

Kigoma is working hard to improve its investment climate in order to stimulate
private sector driven growth within the municipality and region at large. The Local
Investment Climate Project (LIC) is one such sustained efforts by the municipality
to improved conditions for sustained business growth and investment in Kigoma.
LIC project focuses on the critical constraints to business growth and economic
development at the sub-national level (LGA). It promotes regular and structured
dialogue between the local business community and LGAs and encourages a
practical response to the challenges of improving the conditions for private sector
development and poverty reduction at the local level.

As an LIC LGA, Kigoma has access to Small Industrial Facilitation Fund (SIFF), a $10m
fund with the objective of catalysing investments in local business facilities in
selected value chain and to unlock the flow of investments into the local economy.
The targeted SIFF business facilities can be owned by public entities such as an LGA,
private investors, or through partnership arrangements (e.g., PPP). SIFF provides
funds in three broad categories (i) local businesses (ii) business infrastructure
development and (iii) local business cluster.

(a) Local business facilities:

The SIFF will provide matching grant funds to support PPPs developing
strategic business facilities. In many cases, the lack of appropriate and fully
functioning business facilities hinders the operations and growth of local
businesses. Examples of the kinds of facilities the SIFF could support include
local business stalls, business sites, market places, cold storage, and business
incubators.

15
INVESTOR’S GUIDE-KIGOMA
(b) Business infrastructure:

While the SIFF will not have large volumes of funds typically required to support
infrastructural projects (e.g., roads, energy and water supply, irrigation), many
of which are expensive and have a long timeframe (e.g., 7-15 years), it will be
able to catalyse other investments into these projects.

(c) Cluster enhancements:

The SIFF will provide financial support to specific initiatives that enhance
the performance of local clusters operating in selected value chains.
Local clusters require investments that can enhance the opportunities
for increased investment and participation by local business. This may
involve the removal of legal, regulatory or administrative bottlenecks
and strategic investments to improve the functioning of value chains
(e.g., subsidizing inputs, developing market linkages, promote
new technology, green investments both at producer as well as

G Managed Social Transformation

Kigoma Municipal is gearing up for a massive social transformation. Under
the new, youthful and visionary ACT Wazalendo led Municipal Council,
Kigoma-Ujiji is poised to become a model local government authority with
social change is encouraged towards a more sustainable urban development.
Forward-looking Municipal leaders together with business leaders have put in
place the basis for creation of a truly innovative, business friendly, approaches
to development, that encourage the incubation of home-grown solutions to
economic, environmental and social challenges of fast-urbanizing Kigoma
Ujiji.

16
INVESTOR’S GUIDE-KIGOMA
PRIORITY SECTORS
1. TRADE & LOGISTICS

Development of UJIJI CITY project by Ling Hang Group
Shanghai as a trade and logistic hub for the Great Lakes
Region. The Ujiji City includes more than 2000 shops,
warehouses, real estate and the Ujiji Jetty. Ujiji City
caters for regional markets under customs rules and as
a supply to domestic markets places in Kigoma.

Development of The Great Lakes Gateway Project
at Mwanga Market by PSPF that will merge existing
Kigoma Mjini Market and Mwanga  market into one
with stalls, shops and International Honey Auction.

Development of The Kigoma Special Economic Zone
(KISEZ) by Export Processing Zone Authority (EPZA),
a 5000 hectares masterplanned, special economic
zone with fiscal and preferential regulatory incentives.

2. FISHING

Rise production of fish and fish products to $100m
worth a year by 2020. Quadruple output from
fisheries activities both lake fishing and fish farming
in ponds. Improve access for both fresh catch, dried
fish and processed fish in neighboring markets
of DRC, Burundi, Rwanda and Central Tanzania.

17
INVESTOR’S GUIDE-KIGOMA

3. OIL PALM

Reinvigorate Oil Palm farming and investments in the Palm Oil
value chain. Target to produce 80,000MT of Crude Palm Oil (CPO)
in five years.

4. PADDY

Develop the Luiche Delta irrigation scheme and grow paddy
through smallholder integrated production and invest in
processing and branding Ujiji Rice for national, regional and
international markets .

5. TOURISM

Develop Tourism focusing on historical Ujiji, Wildlife (Gombe,
Mahale, Moyowosi), beautiful sandy beach, lifestyle (shopping
and leisure) tourism, medical tourism including assisted living
and vacation homes.

6. ENERGY

Invest in renewable and biomass sources to produce cheaper,
reliable power for the Municipality and beyond. Target to
produce 50MW of electricity from renewable sources by 2030.

7. SOCIAL TRANSFORMATION

Invest in Financial Services – Commercial Banks, Microfinance,
Forex Bureaus, Insurance – and the Municipal Pension Scheme.

18
INVESTOR’S GUIDE-KIGOMA
III. SUMMARY BUSINESS OPPORTUNITIES
1. KIGOMA SPECIAL ECONOMIC ZONE – KISEZ

The Government of Tanzania through the Export Processing Zones Authority (EPZA)
has set aside 3000 ha within Kigoma Municipality to develop a world class Special
Economic Zone. The objective being to promote quick and significant investments
in industrial development by attracting Foreign Direct Investments (FDI) and
Domestic investments. The SEZ is designed to act is a magnet for investments in
specially designated areas by providing quality infrastructure, complemented by an
attractive fiscal package, business support services, cluster formation and minimal
regulations. Such incentives include;

a. 10 -Year Corporate Tax holiday

b. VAT and Import Duty exemptions on capital goods, raw materials and
construction materials

c. VAT exemption on Utilities

d. Withholding Tax exemption on rent, dividends and interests

e. Privileged procedures on Visas, Work Permits, and Transfer of Profits,
Dividends and Royalties.

Bordered to the north with over 10kms of Central Corridor Railway, and 8kms to
Kigoma Port, the Kigoma Special Economic Zone is ideally located for logistics and
industrial development. Kigoma Municipal envisions the SEZ as the new frontier for
infrastructure, real estate, production, economic and social matters in a harmonious
setting where people, investments and technology come together and grow the
economy. Kigoma Municipality jointly with EPZA invites investors to invest in KISEZ
in the following opportunities;

19
INVESTOR’S GUIDE-KIGOMA
A
A. Infrastructure development and management

DESCRIPTION

Develop and manage basic on-site and
logistical infrastructure – roads and
basic utilities – and operate the SEZ on
concessional terms.

MARKET

Light and heavy industries serving the
Great Lakes Region, Independent Power
Producers, Financial Services, Logistics
Services, Government Authorities, Mineral
Processors, Hospitality Services, Inland
Container Depots, etc.

INVESTMENT TYPE

Greenfield – Design, Build, Finance,
Operate, Transfer

ESTIMATED INVESTMENT

USD 30,000,000

LOCATION

CONTACT
Kigoma Special Economic Zone

Export Processing Zone Authority
Benjamin William Mkapa SEZ
P. O Box 12112 Dar es Salaam
p. +255 22 292 5058-60
e. info@epza.go.tz

20
A. INFRASTRUCTURE DEVELOPMENT AND

INVESTOR’S GUIDE-KIGOMA
B
B. Light and heavy industry opportunities

1. PALM OIL REFINERY

Design, build and operate a 200MT per
day capacity Crude Palm Oil (CPO) refinery.
Refine, package and market high grade edible
cooking oil under a leading brand. Kigoma will
produce upwards of 50,000MT of CPO by 2020
supplied direct to the refinery. Produce and
market other products of CPO refinery.

MARKET

DRC, Burundi, Rwanda, Uganda, Zambia, Lake
Region in Tanzania and Kenya.

INVESTMENT TYPE
Greenfield


ESTIMATED INVESTMENT

USD 20,000,000

LOCATION CONTACT

Kigoma Special Economic Zone DR. HAMIMU HONGO, PhD
P.O BOX 1349 KIGOMA
p. +255 282 804 904
e. hamimuhongo@yahoo.com
w. www.felisa.co.tz

21
INVESTOR’S GUIDE-KIGOMA

2. SPECIALTY COFFEE PACKAGING

Process the production of elite Gombe
Coffee from selected micro-regions of
northern Kigoma to create a leading brand
on the international level and increase
export to 2200 tons per annum. This involves
investing in modern roasting and packaging
technologies in order to improve the quality
and availability of the high-grade assortments
of Gombe Coffee in the international market.
Kigoma Coffee has been crowned multiple
times as the Best Coffee in all of East Africa
at the African Taste of Harvest Competition
organized by Eastern African Fine Coffees
Association. Kanyovu Cofee Cooperative
Society has been endorsed by Jane Goodall
Institute.

MARKET

European, Chinese and United States retail
coffee markets.

INVESTMENT TYPE

Production Management Contract

CONTACT
ESTIMATED INVESTMENT
Kanyovu Coffee Curing Cooperative Joint
Enterprise Ltd (KCCCJE) USD 10,500,000
P. O Box XXX Kigoma
p. +255 22 292 5058-60
e. kanyovucooperation@gmail.com
LOCATION

Kigoma Special Economic Zone

22
INVESTOR’S GUIDE-KIGOMA
3. HOT PEPPER PACKAGING

Kigoma is famous for its aromatic but
extremely hot pepper. An investment involves
setting up a modern pepper processing and
packaging plant that utilized latest technology
for a superior branded product fit for export
market. The plant must have a minimum
processing capacity of 10MT per day.

MARKET

European, Asian and Latin American retail
grocery markets.

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT

USD 4,500,000

LOCATION CONTACT

Kigoma Special Economic Zone Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

23
INVESTOR’S GUIDE-KIGOMA
4. MAIZE MILLING

The Great Lakes region still receives its maize
flour from Dar es Salaam, Arusha and Nairobi
making the number one staple meal costly. An
opportunity to set up a medium scale (200MT
per day) milling operation in Kigoma to supply
DRC, Rwanda, Burundi, Zambia and Lake
Region of Tanzania.

MARKET

DRC, Rwanda, Burundi, Zambia and Lake
Region of Tanzania

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT

USD 9,500,000

CONTACT
LOCATION
Municipal Executive Director
Kigoma Municipal Council Kigoma Special Economic Zone

P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

24
INVESTOR’S GUIDE-KIGOMA
5. TAPIOCA (CASSAVA) FLOUR MILLING

Cassava Flour forms a staple in The Great Lakes
region diet. Tapioca, the gluten free flour, is
also gaining demand in EU and US markets,
fetching upwards of $5 per kg in France. An
opportunity to set up a medium scale (50MT
per day) milling operation in Kigoma to supply
DRC, Rwanda, Burundi, Zambia, Lake Region
of Tanzania as well as emerging markets for
gluten free diet in EU and US.

MARKET

DRC, Rwanda, Burundi, Zambia and Lake
Region of Tanzania as well as emerging
markets for gluten free diet in EU and US.

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT

USD 2,500,000 CONTACT

Municipal Executive Director
Kigoma Municipal Council
LOCATION P.O. BOX 44, KIGOMA
p. +255 28 280 2535
Kigoma Special Economic Zone
e. hussein.juma@ymail.com

25
INVESTOR’S GUIDE-KIGOMA
6. BIOMASS POWER GENERATION

PALM OIL BIOMASS

In the process to extract crude palm oil and palm kernel from the fresh fruit bunch (FFB),
considerable amounts of by-products such as fiber, shell, empty fruit bunch (EFB) and palm oil
mill effluent (POME) are also generated. These residues, referred to as Palm Oil Biomass (POB)
are the main energy resources that can be processed and converted to useful energies such as
electricity, steam and heat. A ton of FFB typically produces about 405kg of residues and 650 of
POME. With an annual total processing capacity of 900,000 metric tons of FFB in 2020, oil palm
in Kigoma has potential power generation of approximately 38MW. Opportunity to generate
more power will increase with increased land under oil palm cultivation over the next 15 years.

PADDY RESIDUE BIOMASS

Rice husk is the most prolific agricultural residue in rice producing countries around the world.
It is one of the major by-products from the rice milling process and constitutes about 20%
of paddy by weight. Rice husk, which consists mainly of lingo-cellulose and silica has great
potential as an energy source. Rice husk can be used for power generation through either the
steam or gasification route.

26
INVESTOR’S GUIDE-KIGOMA
The cultivation of rice results in two major types
of residues – Straw and Husk – having attractive
potential in terms of energy. 1 ton of Rice paddy
produces 290 kg Rice Straw with 2400 kcal/
kg calorific value and potential to produce up
to 100 kWh of electricity. Likewise, 1 ton of Rice
Paddy produces 220 kg Rice Husk, with 3000 kcal/
kg calorific value and equivalent to 400 – 570
kWh of electricity. The Luiche Delta with annual
production of 36,000 MT has the potential to
produce 2.5MW – 3.0MW of power, enough to run
the rice and mill and associates infrastructures.

MARKET

The demand for power is ever increasing in
Kigoma in Tanzania in general. Tanzania Electricity
Supply Company (Tanesco) provides a ready-
made market through the Independent Power
Producer (IPP) model.

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT
CONTACT
USD 30m – USD 40m Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
LOCATION
p. +255 28 280 2535
Kigoma Special Economic Zone e. hussein.juma@ymail.com

27
INVESTOR’S GUIDE-KIGOMA
2. INTERNATIONAL TRADE

Kigoma is the largest and the busiest trading hub on Lake Tanganyika shores connecting the
Great Lakes Region with the world. An important western node of the Central Corridor – a
hotbed for regional and international trade – Kigoma is at the epicenter of fastest growing
regional trade corridor and infrastructure development spending. With the ongoing and
accelerated upgrade of the Central Railway into a standard gauge railway connecting DRC,
Rwanda, Burundi, Uganda to the Port of Dar es Salaam, Kigoma is positioned to take its rightful,
and historical, place as the largest trading hub in the Great Lakes Region, serving Zambia, DRC,
Burundi, Uganda and Rwanda. Fast moving consumer goods, food, capital goods, petroleum,
aid and people find their way into the region through Kigoma Municipality, while natural
resources (minerals and fisheries) and agricultural products find their way to world through
the Port of Dar es Salaam.

A UJIJI CITY by Ling Hang Group, Shanghai
1.

Kigoma Municipality is constructing what is to be the largest modern trade hub in the East &
Central Africa over the historic Ujiji Town. Developed jointly with and managed by a Chinese
trading giant, Ling Hang Group Shanghai, the Ujiji Logistics Hub will become a one-stop
wholesale hub for Chinese products to the countries of the Great Lakes Region. Traders will
no longer need to travel to China to import Chinese products, saving time and money. On
completion, the Hub will provide over 3000 wholesale outlets, warehousing space, and new
cargo port at Ujiji.

DESCRIPTION

1. Wholesale and retail opportunities

2. Clearing and Forwarding Services

3. Banking and financial services

4. Entertainment and Food services

28
INVESTOR’S GUIDE-KIGOMA

MARKET

Wholesale traders and retail shoppers of
Eastern DRC, Burundi, Rwanda and the Central
and Lakes regions of Tanzania. The region
highly populated and fast urbanizing.

INVESTMENT TYPE

Wholesale and retail trade

Banking and Financial Services

Logistics Support

ESTIMATED INVESTMENT

USD 5,000 – USD 1,000,000

LOCATION

Ujiji Township, Kigoma

CONTACT
MS. CATHY WANG
LING HANG Group Shanghai
p. +255 74 323 3333
e. cathy@lhwxy.com
w. www.linghanggroup.com

29
INVESTOR’S GUIDE-KIGOMA

B THE GREAT LAKES GATEWAY MARKET by PSPF

PSPF is developing a large modern shopping gateway in the heart of Kigoma Municipality.
Developed to take advantage of fast growing urban population and lifestyle tourists from
Eastern DRC, Burundi and Rwanda, The Great Lakes Gateway Market will house more than
100 wholesale and retail outlets, financial services, conference facilities, entertainment and
food outlets. Planned for 2019 opening, The Gateway is primed to increase visitors from the
neighboring countries.

DESCRIPTION
1. Wholesale and retail opportunities
2. Clearing and Forwarding Services
3. Banking and financial services
4. Entertainment and Food services
5. Conference Facilities

MARKET

Wholesale traders and retail shoppers of Eastern DRC, Burundi, Rwanda and the Central and
Lakes regions of Tanzania. The region highly populated and fast urbanizing.

INVESTMENT TYPE
Wholesale and retail trade
Facility Management CONTACT
Logistics Support Regional Manager – PSPF
Lumumba Plaza 1st Floor – Lumumba Street
ESTIMATED INVESTMENT P.O. Box 117 Kigoma
USD 5,000 – USD 1,000,000 p. +255 28 280 2077
e. kigoma@pspf-tz.org
LOCATION w. www.pspf-tz-org
Mwanga Area, Kigoma

30
INVESTOR’S GUIDE-KIGOMA

3. OIL PALM SECTOR

Palm oil is one of the world’s most produced oils and accounting for more than 50%
of edible consumed oils worldwide. Global Crude Palm Oil (CPO) demand shows an
increasing trend as a growing global population gives rise to increased consumption
of palm-oil based products. Palm oil is cheap, production efficient and highly stable
oil used in a wide variety of products such as food, cosmetics, hygiene and as a source
of bio-fuel.

In Tanzania, palm oil accounts for the largest (in volume and value) of all oil imports
and exports. Tanzania imports over US$ 400m of crude palm every year, and export
over US$ 18m of refined palm oil and products to east, central and southern Africa.

Aware of the national and global opportunity, Kigoma Municipality has embarked on
an ambitious 5 year plan to plant over 3 million palm trees. Kigoma is the best region
to grow oil palm in Tanzania due to its geography and climate. Currently, crude palm
oil production in Kigoma region stands at around 10,000 metric tons per annum. With
the new drive, Kigoma municipality intends to increase production to over 80,000MT
of crude palm oil by 2020. Kigoma Municipality aims to become the Palm Capital of
Africa by 2030, with palm trees making the landscape of its farm and urban landscape.

31
INVESTOR’S GUIDE-KIGOMA

This opens up a multitude of investment opportunities in Oil Palm value chain,
from Palm Biotech Research Center, Input Supplies and Municipal Social Security
Scheme in upstream, and Oil Mills, Oil Refinery and Power Generation as downstream
investments.

In times of strong global demand, investing in the palm oil business in Kigoma is very
lucrative. The following are some of the reasons why you should invest in Oil Palm in
Kigoma.

1. Plenty of virgin land available for new estates

2. Large and increasing regional and global demand

3. Crude Palm Oil (CPO) production costs in very low in Kigoma

4. Most favorable geography and climate for assured higher

5. Higher rates of productivity compared to other edible oil products

6. Opportunities for Bio-fuel and Power generation in near future.

32
INVESTOR’S GUIDE-KIGOMA

A PALM BIOTECH RESEARCH CENTER
1.

DESCRIPTION

With renewed efforts to increase the population of palm trees in Kigoma in order to meet
increasing global demands for vegetable oils, there is a clear and urgent need to improve
and increase the quality and availability of planting materials. In order to accelerate and
capture the maximum yield potential of a selected genotype, oil palm needs to either
be vegetatively propagated through tissue culture or through the production of clonal
seeds, using clonal parents with good specific combining ability. Kigoma is the origin of
high quality ortets currently propagated in Malaysia and Indonesia, and as such, there are
plenty of high quality ortets available for propagation.

In line with increased production capacity, the Biotech center will also be center for
excellence in agronomic practices and inputs such as soil science, tailored fertilizer
regimes necessary for clones to express their genetic potential, and research and
development for upstream palm oil products.

33
INVESTOR’S GUIDE-KIGOMA
MARKET

Propagation of more than four (4) million
planting materials for Kigoma region in
the next 5 years, and up to ten (10) million
within 10 years’ time. Potential for increased
production to cater for Ruvuma region in
Southern Tanzania.

INVESTMENT TYPE

Greenfield JV with FELISA Company Limited, a
local Palm Agronomy company.

ESTIMATED INVESTMENT

$750,000 – $1,500,000

LOCATION

Kigoma Municipality has allocated 10 ha within
the municipality for this venture.

CONTACT

DR. HAMIMU HONGO, PhD
P.O BOX 1349 KIGOMA
p. +255 282 804 904
e. hamimuhongo@yahoo.com
w. www.felisa.co.tz

34
INVESTOR’S GUIDE-KIGOMA

1. INVESTMENT IN PALM FARMING

DESCRIPTION

Kigoma Municipality has identified more than 50,000 ha of suitable land for Oil Palm
cultivation within the region. Kigoma municipality has identified oil palm as strategic
sector and is mobilizing resources to develop the necessary infrastructure to make
investing in oil palm easy and attractive. All smallholder farmers with more than 143
tress (1 ha) of oil palm will be linked to the Municipal Social security Scheme through
their Oil Palm Cooperatives. The Municipal is making each inch of available private and
land planted with oil palm in order to turn Kigoma Municipal a truly Oil Palm Capital
of Africa.

35
INVESTOR’S GUIDE-KIGOMA

MARKET

The demand fundamentals for CPO are looking strong while supply is hitting
bottlenecks in Malaysia and Indonesia after moratorium in clearing forests. The market
for CPO has been on an upward trend for years, d expected to stay above $600 per
metric ton for a foreseeable future. Investing in MPE guarantees stress free lucrative
returns for 25 years. The demand for refined palm oil and associated products is also
rapidly increasing in the region.

INVESTMENT TYPE

1. Greenfield JV with local companies.

2. Greenfield PPP with Municipal.

ESTIMATED INVESTMENT LOCATION
$10m – $50m Kigoma

CONTACT

Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

36
INVESTOR’S GUIDE-KIGOMA
B
2. PALM ESTATES FOR LEASE

DESCRIPTION

Opportunities are also available for Managed Palm Estates (MPE). Individuals and companies
will be able to invest in as low as 0.5 ha of managed oil palm estates. Under the MPE arrangement,
the management company will be responsible for allocating the land, land preparation
and planting, farm maintenance, harvesting of fresh fruits bunches, processing and selling
of crude palm oil on behalf of the investor. The investor will be responsible in covering the
investment costs as prescribed in the investment agreement. This arrangement is best suited
for the busy out of region investors interested in participating in oil palm investments. Besides
high financial returns, investors will be directly responsible for creating hundreds of jobs and
contributing to the growth and development of people of Kigoma.

MARKET

The demand fundamentals for CPO are looking strong while supply is hitting bottlenecks in
Malaysia and Indonesia. The market for CPO has been on an upward trend for years, d expected
to stay above $600 per metric ton for a foreseeable future. Investing in MPE guarantees stress
free lucrative returns for 25 years.

37
INVESTOR’S GUIDE-KIGOMA

INVESTMENT TYPE

Unit Investment Scheme

ESTIMATED INVESTMENT

As Prescribed in Investment Memorandum

LOCATION

Kigoma
CONTACT

DR. HAMIMU HONGO, PhD
P.O BOX 1349 KIGOMA
p. +255 282 804 904
e. hamimuhongo@yahoo.com
w. www.felisa.co.tz

38
INVESTOR’S GUIDE-KIGOMA
C
3. PALM OIL MILLING

DESCRIPTION

Currently palm processing in Kigoma is done
through ineffective and wasteful traditional
mechanical methods. There exists an
opportunities to build medium to large scale
milling plants across the region to serve the
smallholder farmers and future plantations.
With plans to plants over 3 million new oil
palms over the next five year, there exists an
opportunity to install milling plants capable
of processing over 900,000 metric tons of fresh
fruit bunches per annum.

MARKET

Currently, over 300,000 of fresh fruit bunches
available for processing that will grow to over
900,000 metric tons in 2020.

INVESTMENT TYPE
1. Greenfield
2. BOT with Farmers’ Cooperatives

ESTIMATED INVESTMENT CONTACT

$300,000 – $5,000,000. DMunicipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
LOCATION
p. +255 28 280 2535

Various locations in Kigoma e. hussein.juma@ymail.com

39
INVESTOR’S GUIDE-KIGOMA
4. LUICHE DELTA PADDY PROJECT

Luiche Delta is another high priority investment area for Kigoma Municipality. Located ideally
within the Municipality, the Luiche Delta is supplied with flood from Luiche River which
originates in Kasulu District and intercepts the catchment area of about 2,334 square kilometers
with its distributaries flowing southwards and eventually entering Lake Tanganyika. The river
creates behind it, an enormous fertile Luiche delta which has more than 3,000 ha of arable
land suitable for a large scale modern irrigated paddy cultivation. Currently the Government
of Tanzania is working with the Kuwait Government in developing irrigation infrastructures of
the delta. The project is projected to raise paddy production output to 11.2 MT/ha per annum
once full operational, an equivalent of over 33,000 metric tons per annum of paddy output
from the delta by 2018.

Rice is increasingly becoming an important part of diet for the people of the Great Lakes Region.
Rice consumption has experienced a growth of 58% over the last 5 years, due to increased
urbanization, middle class growth and an expanded retail market and regional trade. Tanzania,
the largest rice grower, has so far failed to capture an increasing share of growing domestic
and regional demand. Currently the deficit is supplied by imports from Pakistan and India. The
Luiche Delta project is timely to address the growing demand and as such will create business
opportunities for investors of all sizes and appetite across the paddy crop value chain.

40
INVESTOR’S GUIDE-KIGOMA
A
1. PADDY FARMING

DESCRIPTION

Phase I of the Luiche Delta project will unlock and make available 3000 ha of modern irrigated
farmland plots. These farming plots will be allocated to 3000 households that are linked to
the Municipal Social Security Scheme through their Outgrower Cooperatives. Initial capital
for agricultural inputs will be provided by the Municipal Social Security Scheme as soft loans
to be recouped in prescribed installments. The entire scheme will be serviced with world class
irrigation infrastructure, extension services, agronomic inputs, and world class processing
facilities installed at site.

MARKET

Serving the fast growing regional market of The Great Lakes – Eastern DRC, Zambia, Burundi,
Rwanda, Uganda and Lake Zone in Tanzania – with a population of over 100m and growing.
Currently there is a deficit of over 1m MT of rice per annum in the region. When fully operational,
Luiche Delta scheme will produce over 36,000 metric tons of rice, with farm gate value of USD
11m.

INVESTMENT TYPE

Unit Scheme

ESTIMATED INVESTMENT

USD 500/ha per growing season
CONTACT

LOCATION Municipal Executive Director
Kigoma Municipal Council
Luiche Delta, Kigoma Municipality
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

41
INVESTOR’S GUIDE-KIGOMA
B
2. PADDY PROCESSING AND STORAGE COMPLEX

DESCRIPTION

When fully operational in 2018, The Luiche Delta paddy project will produce more than 36,000
metric tons of paddy with farm gate value of over USD 11m. This present an opportunity
to invest in a rice processing plant to dry, mill and package rice cultivated in the Delta. The
processing plant will have an annual milling capacity of 40,000 MT and a combined storage
capacity of 20,000 MT in both warehouse and silos. The plant will produce white milled rice to
be sold to local and regional markets through retailers and wholesalers, as well as generating
by-products including husk-based charcoal, rice bran and poultry feed.

MARKET

Serving the fast growing regional markets of The Great Lakes – Eastern DRC, Zambia, Burundi,
Rwanda, Uganda and Lake Zone in Tanzania – with a population of over 100m and growing.
Currently there is a deficit of over 1m MT of rice per annum in the region.

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT

USD 15m
CONTACT

Municipal Executive Director LOCATION
Kigoma Municipal Council
Kigoma Special Economic Zone
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

42
INVESTOR’S GUIDE-KIGOMA

5. FISHING INDUSTRY

Fishing is one of the main economic activities dominating the economy of Kigoma
Ujiji Municipality. The species abundantly caught are Sardines (Dagaa) and Lates
(Migebuka) as well as some aquarium species. Kigoma Ujiji Municipality considers
Fisheries as a fundamental sector of the municipal economy. It targets to raise total
production output to $100m worth of fish products a year by 2020. Opportunities
also exist in fish processing (filleting and fishmeal production), as well as fisheries-
support infrastructure (refrigerated transport, cold storage, etc.). The sector
expects to be one of the leading jobs creators in the municipality. To achieve these
targets, Kigoma Municipality is providing enabling environment as follows:

43
INVESTOR’S GUIDE-KIGOMA

Fishing is one of the main
economic activities dominating
the economy of Kigoma Ujiji
Municipality.

44
INVESTOR’S GUIDE-KIGOMA
• Reduce the costs of fishing by fishermen through
introduction of boats’ machines that use electric
power from solar battery. At the moment
fishermen spends around USD 150 each day for
diesel alone. In Kigoma fishing happens 15 days
a month. With solar powered boats engines the
fisherman will be able to save more than USD
25,000 a year. 

• Manage losses by introducing solar fish/
sardines drying system. Currently fish and
dagaa (sardines) are dried through sun which is
problematic during rainy seasons. An innovative
solar drying system would reduce losses and
increase incomes of fishermen 

• Promote fish farming in order to ensure fish
availability in Kigoma, neighboring countries of
Burundi, DRC and regions of Tanzania especially
Tabora, Singida and Dodoma. This will as well
increase economic activities in the municipality 

• Encourage fish processing industries in order to
add value to the fish products in Kigoma Ujiji and
generate jobs. Katonga area is a designated fish
processing area where all the processing plants
and other related activities will be conducted. 

• Linking Fishermen, Fish Traders and Fish
Processors in respective Cooperative Societies
and Union in order to benefit from the Municipal
Social Security Scheme in terms of health
insurance coverage, retirement benefits and
access to credit facilities.

45
INVESTOR’S GUIDE-KIGOMA
A COMMERCIAL FISHING
1.

DESCRIPTION

Set up a modern commercial fishing operations
in Kigoma Municipality and benefit from a
significant untapped potential. Total catch in
L. Tanganyika in 2014 was 96,195 metric tons
with total market value of USD 61m. This was
below a maximum potential catch by 200,000
metric tons.

MARKET

Serving the fast growing regional markets
of The Great Lakes – Eastern DRC, Zambia,
Burundi, Rwanda, Uganda and Lake Zone in
Tanzania – with a population of over 100m and
growing.

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT

CONTACT USD 100,000 – USD 1,000,000

Municipal Executive Director
Kigoma Municipal Council LOCATION

P.O. BOX 44, KIGOMA
Katonga and Kibirizi Townships
p. +255 28 280 2535
e. hussein.juma@ymail.com

46
INVESTOR’S GUIDE-KIGOMA

B
7. FISH FARMING

DESCRIPTION

Rehabilitate and develop new fish farms for
N. Perch farming. Kigoma has a potential
to produce 100,000Mt of farm N. perch per
annum. Kigoma Municipality owns a number
of dormant fish farms and has allocated specific
areas for new farms across the municipality.

MARKET

Regional market and fillets for EU market.

INVESTMENT TYPE

Brownfield – rehabilitation of existing
municipal farms
Greenfield

ESTIMATED INVESTMENT
USD 5000 – USD 1,000,000
CONTACT

Municipal Executive Director
LOCATION
Kigoma Municipal Council

Katonga and Kibirizi Townships P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

47
INVESTOR’S GUIDE-KIGOMA

C
8. FISH PROCESSING PLANT

DESCRIPTION

Invest in fish processing – filleting and fishmeal production – as well as fisheries-support
infrastructure such as refrigerated transport and cold storage. Likewise, invest in sardines
drying and packaging.

MARKET

Increasing demand for fresh water fish in the region and overseas coupled with dwindling
Nile perch supplies from L. Victoria offers an attractive market for underutilized L. Tanganyika
species. Tanzania exports – with more than 50% market share in EU – of N. Perch fillets dropped
from highs of 25,000MT in 2007 to below 12,000Mt in 2014, causing a price hike in European
supermarkets.

INVESTMENT TYPE
Greenfield

ESTIMATED INVESTMENT
USD 3,000,000

LOCATION
Katonga and Kibirizi Townships
Kigoma Special Economic Zone
CONTACT

Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

48
INVESTOR’S GUIDE-KIGOMA

6. OIL AND GAS

Tanzania and DRC have just agreed on joint exploration and development of hydrocarbons
in Lake Tanganyika following talks between presidents John Magufuli and Joseph Kabila.
This follows a recent announcement by the Tanzania Petroleum Development Corporation
(TPDC) that it has completed acquiring high resolution gravity and magnetic data to map the
geology of the framework’s subsurface in Lake Tanganyika North Block using Airborne Gravity
Gradiometry Survey (AGGS).

A EXPLORATION
1.

Lake Tanganyika North and South Blocks have attracted attention from energy companies
interested in undertaking hydrocarbons exploration. Australia’s Beach Energy currently holds
100% of the Lake Tanganyika South Production Sharing Agreement (LTS PSA) and remain
the only operator following an exit of its joint venture partner Woodside Energy. TPDC is still
negotiating terms of the Lake Tanganyika North PSA (LTN PSA) with UAE’s Ras al Khaimah Gas
(Rakgas) after negotiations with Total SA fell through.

INVESTMENT TYPE
Joint Venture

CONTACT
LOCATION Managing Director – TPDC
Kigoma Ujiji Benjamin W. Mkapa Towers
P.O Box 2774 Dar es Salaam
p. +255 22 220 0103/4
e. info@tpdc-tz.com
w. www.tpdc-tz.com

49
INVESTOR’S GUIDE-KIGOMA

B EXPLORATION SUPPORT SERVICES

With the renewed interests on Lake Tanganyika hydrocarbons, activities are expected to pick
up fast starting early 2017. This offers a range of investment opportunities in hydrocarbons
exploration supporting services both technical and non-technical. Kigoma Ujiji Municipal is
readying itself to provide the best supporting environment for all new players planning to
invest in exploration supporting services.

CONTACT
Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

50
INVESTOR’S GUIDE-KIGOMA

African Great Lake,
Lake Tanganyika
world’s longest
freshwater lake
Teamed with wild life

Kigoma is not your typical safari tour stopover. Kigoma is set apart characterized by the
hospitality of its beautiful people, exceptional natural attractions, rich historic heritage, rich
artistic and cultural life, and a truly safe and secure heaven on the shores of Lake Tanganyika.
Kigoma is home award winning Afropop artistes in Africa (Diamond) and world class soccer
players. Located on the eastern shores of Lake Tanganyika, Kigoma is surrounded by rugged
mountains and forests that make it a pleasing and beautiful location. The town makes a good
overland base for visits and chimpanzee safaris to both Gombe Stream National Park and
Mahale Mountains National Park, the wildlife rich game reserve of Moyowosi, beautiful golden
sand beaches along Lake Tanganyika and the Livingstone Memorial Monument. Kigoma is
endowed with pleasant weather and beaches that has attracted European visitors from early
colonial days.

51
INVESTOR’S GUIDE-KIGOMA

TOURISM

A
1. GOMBE CULTURAL TOURIM VILLAGE

DESCRIPTION

Gombe Cultural Tourism Village is a world class cultural tourism village designed to depict the
lifestyles, artefacts, and activities of indigenous lake communities. The village is ideally located
on the banks of Gombe stream, and a walking distance into the Gombe Stream National Park,
where Jane Goodall is still work with the chimpanzees.

52
INVESTOR’S GUIDE-KIGOMA
MARKET

EU and Asian travelers as well as researchers
working at Gombe Stream National Park.

INVESTMENT TYPE

Brownfield

ESTIMATED INVESTMENT

USD 7m

LOCATION

Mwamgongo Village

CONTACT

Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

53
INVESTOR’S GUIDE-KIGOMA

B
2. VACATION TIMESHARE HOMES

DESCRIPTION

Develop a modern version of traditional
lakeside village along the pristine and
protected shores of Lake Tanganyika that will
give its residents a true sense of place and
belonging in the highest possible quality
of life. An all-inclusive development with all
amenities for discerning vacationer.

MARKET

Chinese vacationers looking or long term,
time shares to call a second home in tropical
Africa.

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT

USD 10,000,000 – USD 30,000,000
CONTACT

Municipal Executive Director
Kigoma Municipal Council
LOCATION
P.O. BOX 44, KIGOMA
p. +255 28 280 2535 Kigoma Southern Shores
e. hussein.juma@ymail.com

54
INVESTOR’S GUIDE-KIGOMA

C
3. ASSISTED LIVING FACILITIES

DESCRIPTION INVESTMENT TYPE
Greenfield
Pleasant weather and breathtaking natural
attractions makes Kigoma an ideal location for
ESTIMATED INVESTMENT
an Assisted Living Facility/Retirement Homes
USD 15,000,000 – USD 30,000,000
investment. This will involve design, build,
finance and operate facilities for the elderly.
LOCATION
Shores of Lake Tanganyika

MARKET

Growing population of retirees in
EU and Asian countries looking for
pleasant tropical weather that is
not too harsh. CONTACT

Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

55
INVESTOR’S GUIDE-KIGOMA

D HOTELS AND CASINO
4.

DESCRIPTION

Kigoma is the shopping and lifestyle destination for Eastern DRC and Burundi businessmen
as well as middle and upper class residents. With the developments of Ujiji City and The Great
Lakes Gateway Market, the number of visitors is poised to rise dramatically. An opportunity to
develop a world class lakeside resort and casino to cater for the growing visitors and Chinese
population in the region.

MARKET

Growing middle class in Great Lakes Region and Chinese
population in the same. INVESTMENT TYPE
Greenfield

CONTACT
ESTIMATED INVESTMENT
Municipal Executive Director
Kigoma Municipal Council USD 12,000,000

P.O. BOX 44, KIGOMA
LOCATION
p. +255 28 280 2535
Downtown Kigoma
e. hussein.juma@ymail.com

56
INVESTOR’S GUIDE-KIGOMA

Over the last few years
Education has greatly
developed resulting
from investments in
both public & private
sectors.

8. EDUCATION

Education Sector in Tanzania has greatly developed over the last few years resulting from
investments in the sector by both public and private sectors. The emerging middle class has
also contributed to the increase in expenditure on education as they are able to spend more
on the education. The number of private schools at all levels as well as training institutions
have also increased making the education sector attractive for private investment.

The number of world class schools, colleges and universities in The Great Lakes region with
its 100m+ population is notably minimal. The growing middle class still send kids to Arusha,
Nairobi and Dar es Salaam. The burgeoning youth bulge of the lake zone is superiorly
underserved with both technical and college education.

57
INVESTOR’S GUIDE-KIGOMA

Due to its geographical, climatic and population advantages, Kigoma offers the following
investment opportunities: 

1. World-class international pre-primary, primary and secondary schools

2. Polytechnic Institutes

3. Specialized institutions/university campuses offering courses in fields such as
Maritime, Renewable Energy, Biotechnology, Biofarming, Life Sciences, Transport
and Logistics,

4. Agro-, Marine and Wildlife Research Centers

58
INVESTOR’S GUIDE-KIGOMA

A INTERNATIONAL ACADEMY – IB/IGCSE/CAMBRIDGE
1.

DESCRIPTION

Set up a world class international pre-primary,
primary and secondary school offering an
international boarding curriculum such as
International Baccalaureate or IGCSE.

MARKET

Serving the growing population of middle
class in the Great Lakes region and expat
population working in the area.

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT

USD 5,000,000 – USD 10,000,000

CONTACT
LOCATION
Municipal Executive Director

Downtown Kigoma Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

59
INVESTOR’S GUIDE-KIGOMA

B2. TECHNICAL TRAINING INSTITUTE/POLYTECHNIC INSTITUTE

DESCRIPTION

Set up a Technical Institute to train personnel
in technical fields such as plumbing, masonry,
welding, electrical work and other artisans.
Option to o develop into a world class
Polytechnic Institute offering courses and
research in engineering, life sciences, energy
and other technical disciplines.

MARKET

Serving the growing population of youth and
industrial clusters in the Great Lakes region.

INVESTMENT TYPE

Greenfield

ESTIMATED INVESTMENT

CONTACT USD 2,000,000 – USD 10,000,000

Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA LOCATION

p. +255 28 280 2535
Downtown Kigoma
e. hussein.juma@ymail.com

60
INVESTOR’S GUIDE-KIGOMA

East African
countries rank the
highest in medical
tourism to India
to seek medical
treatment every
year.

61
INVESTOR’S GUIDE-KIGOMA
9. HEALTHCARE

Public health delivery in the Great Lakes Regions in general is lacking
in affordability, accessibility and quality. It is marred by limited human
resource capacity and is understaffed in the face of many pressing
public health issues, including the HIV/AIDS epidemic and refugees
influx. Public provision is beset with problems of poor management,
outflow of human resources and corruption.

Latest reports indicate that the East African countries rank the highest
in in medical tourism to India with hundreds of thousand patients
travelling to India to seek medical treatment every year. The majority
of the African patients seek treatment abroad for mainly medical
ailments that have not been diagnosed accurately in their country
of origin or for severe medical conditions, for which locally there is
inadequate expertise and lack of high technology facilities.
62
INVESTOR’S GUIDE-KIGOMA

10. FINANCIAL SERVICES

A MUNICIPAL SOCIAL SECURITY SCHEME

DESCRIPTION

Kigoma Ujiji Municipality is looking for partners to join its innovative poverty
alleviating project as matching partners in The Municipal Social Security Scheme
experimentation. Around 60% of Tanzanians claim that they cannot afford insurance
premiums (FSD, 2012). Evidence from developing countries provides in-depth analysis
of how poor people struggle in managing different kinds of risks. Given the linkage
between household savings and the vulnerability of these savings to healthcare
expenditure shocks, Kigoma-Ujiji Municipality proposes a universal Municipal Social
Security Scheme to encourage the poor to save while protecting their savings from one
of the most significant shocks that poor households face, namely, catastrophic health
expenditure and providing them with access to credits to run economical activities.

The matching contribution during the study period aims to incentivize poor people to
participate and save through a social security scheme. Also, by joining a large pooling
scheme, households are able to spread the risk across a much larger pool than would
otherwise be able to. Therefore, a goal of this pilot is to figure out the design details for
a scheme that can help poor people manage risks and save using the existing social
security system. The existing social security system in Tanzania provides short-term
benefits like health coverage and access to credits. The proposed concept can leverage
on this system to help people save for the future while accessing other services such as
health insurance and micro credit.

Savers will be required to save 50% of the required minimum monthly contributions to
Social Security Fund and the other 50% is paid directly to each person’s account at the
fund. People will be allowed flexibility in sending their savings and even amounts. As
per old age pension rules, members will not be allowed to withdraw their contributions.
Instead, members (and their dependents) will have access to health insurance cover
and credits lines through their member associations like SACCOS, Trade Unions and
Farmers and Fishermen Cooperatives throughout their membership period.

63
INVESTOR’S GUIDE-KIGOMA

B FINANCIAL SERVICES

MARKET DESCRIPTION
Over 100,000 households in Kigoma-
Ujiji Municipal. Kigoma Ujiji and Region is largely underserved
by financial institutions. Despite being a
INVESTMENT TYPE very important trade hub, Kigoma is still
Matching Fund largely unbanked. Currently, there are only
three banks operating from Kigoma Ujiji,
ESTIMATED INVESTMENT two Microlenders and no Forex Bureau.
USD 15,000,000 Over 5 years (US$3m Opportunities are plenty in financial services –
per year)
commercial banks, microfinance lenders, forex
bureaus and insurance underwriters.
LOCATION
Kigoma-Ujiji Municipal
MARKET

Over 2.5 million people and businesses in
CONTACT Kigoma region relies on financial services
Municipal Executive Director offered in Kigoma Ujiji.
Kigoma Municipal Council
P.O. BOX 44, KIGOMA INVESTMENT TYPE
p. +255 28 280 2535 New Branch
e. hussein.juma@ymail.com
ESTIMATED INVESTMENT
Variable

CONTACT LOCATION
Municipal Executive Director Kigoma Ujiji
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

64
1. INTERNATIONAL SUPER SPECIALTY HOSPITAL INVESTOR’S GUIDE-KIGOMA

DESCRIPTION

Develop a modern international hospital
under a major international hospital group
such as The Apollo and The Agha Khan
Hospital networks. Specialty in Heart, Kidney,
Neurology and Neurosurgery, Orthopedics,
Gastroenterology, Cancer, Nephology and
Urology that account for lion share of medical
tourism from East African States.

MARKET

Cater for the growing demand for excellent
and affordable specialist medical services that
are now only accessible in India and abroad.

INVESTMENT TYPE
Greenfield

ESTIMATED INVESTMENT
USD 25,000,000

LOCATION
Ujiji Beach, Downtown Kigoma
CONTACT

Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

65
INVESTOR’S GUIDE-KIGOMA
11. SPORTS AND PERFOMING ARTS

A
1. KAWAWA SPORTS ACADEMY

DESCRIPTION

Set up a world class sports academy
developing soccer and athletics talents in the
area. Kawawa stadium is an established facility
property of the Kigoma Municipal Council.
With a capacity of 5000 pax and potential to
reach 20,000 with minimal renovation, the
stadium is ideal to set up a sports academy
with training grounds and gym facilities.

MARKET

Kigoma is ripe with untapped soccer and
athletics talents. With the right academy and
association, Kigoma will produce world class
athletes as it has done so in the past.

INVESTMENT TYPE

PPP with Kigoma Municipal Council.

ESTIMATED INVESTMENT
CONTACT
USD 3,000,000 – USD 10,000,000
Municipal Executive Director
Kigoma Municipal Council
LOCATION
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
Ujiji Township.
e. hussein.juma@ymail.com

66
INVESTOR’S GUIDE-KIGOMA
B
2. MWAMI RUYAGWA YOUTH CENTER

DESCRIPTION

Develop a Youth Park aimed at providing sports
and healthy lifestyle education opportunities
for Kigoma young girls and boys. Styled after
H.E Jakaya M. Kikwete Park in Dar es Salaam,
the park will become central to professional
coaching in basketball, soccer, tennis and
volleyball.

MARKET

Cater for the growing urban youth. A great
opportunity for a sustainable Corporate Social
Responsibility and brand awareness.

INVESTMENT TYPE

PPP with Municipal Council

ESTIMATED INVESTMENT

USD 3,000,000
CONTACT

Municipal Executive Director
LOCATION Kigoma Municipal Council
P.O. BOX 44, KIGOMA
Mwanga Area
p. +255 28 280 2535
e. hussein.juma@ymail.com

67
INVESTOR’S GUIDE-KIGOMA
C
3. GUNGU ACADEMY FOR PERFORMING ARTS

DESCRIPTION

Kigoma has produced world class award winning
performing artistes in music, dance and theatre.
Diamond Platnumz, undoubtedly the hottest
Afropop in the world right now, is proudly born
and raised in Kigoma. Kigoma is a hotspot for
raw talent. An opportunity to set up a word class
academy to provide music, dance and theatre
studies to young Tanzanians for enjoyment,
education and employment opportunities.

MARKET

Cater for the growing urban youth. A great
opportunity for a sustainable Corporate Social
Responsibility and brand awareness.

INVESTMENT TYPE

PPP with Municipal Council

ESTIMATED INVESTMENT

CONTACT
USD 3,000,000
Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA LOCATION

p. +255 28 280 2535
Gungu Area
e. hussein.juma@ymail.com

68
INVESTOR’S GUIDE-KIGOMA

IV. Guide to Doing Business in Kigoma

1. Starting a Business

Tanzanian businesses can be registered as a business name, a local company or a
foreign company. Business Registrations and Licensing Agency (BRELA) is responsible
for business registration in Tanzania. BRELA issues  Certificates of Compliance for
foreign companies, Certificates of Incorporation for local companies and Certificates
of Registration for single proprietorship. Firms must then register their businesses
with the Tanzania Revenue Authority (TRA), a Social Security Fund.

2. Register through Tanzania Investment Center (TIC)

Investors who wish to apply for incentives and are not yet incorporated may create
a company through the one stop shop at Tanzania Investment Centre (TIC) provided
that their investment projects are worth at least 500,000 USD for foreigners and
100,000 USD for Tanzanian Nationals.

3. Register a Foreign Company

A foreign company is a company that is registered/incorporated outside Tanzania.
They may conduct business in Tanzania by opening a branch in Tanzania. In this case
a foreign company can also be a company that has been incorporated in Tanzania
but with majority shareholding (51%) being owned by a foreigner. These can be
registered through a normal procedure (11 – 27 days) or through TIC’s one stop shop
(7 days).

4. Business License

Depending on business activities, companies should obtain  licenses with  the
Ministry of Industry and Trade (“Schedule A”) or the Kigoma Municipality (“Schedule
B”). See Appendix for Schedules.

69
INVESTOR’S GUIDE-KIGOMA

5. Tanzania Revenues Authority (Tra)

Taxpayer Identification Number (TIN)

An individual whether  resident or nonresident is required to visit TRA regional
or district office and fill TIN application form to apply for Taxpayer Identification
Number. The application can also be made online, however the applicant must
physically visit TRA offices for biometric scanning which involves taking photograph,
finger prints and signature.

Certificate of Registration:

An individual may opt to register the business name to the agency commissioned
by Ministry of Trade and Industry known as Business Registration and Licensing
Authority (BRELA). The registered name can be obtained before or after application
for TIN. The registered business name shall be indicated on the TIN certificate
together with an individuals’ name showing the owners name trading as (T/A).

Corporation (Limited Company)

The Certificate of incorporation shall be attached to the TIN application enclosed
with Memorandum and Articles of Associations when a person makes application
to TRA.

70
INVESTOR’S GUIDE-KIGOMA

The limited company shall apply for TIN certificate by filling TIN application forms
as follows:

• Application for the company.

• Application for each shareholders/directors, in case any director has already
issued with TIN certificates for other purpose he/she cannot make another
application. The same TIN number will be used.

• For non-citizen directors are required to fulfill all immigration procedure and
obtaining business permit from the Immigration Department working under
Ministry of Home Affairs.

 

Partnership

In applying for TIN the partnership firm shall apply for its certificate by submitting
the copy of certificate of registration obtained from BRELA. Each individual partner
shall apply for TIN, in case any partner has already issued with TIN certificate for
other purpose he/she cannot make another application. The same TIN will be used.

 

Trust

A trust has to register for the firm at BRELA and acquire the certificate of registration
which shows the names and addresses of trustees. Each trustee shall apply for TIN,
in case any trustee has already been issued with TIN certificate for other purpose he/
she cannot make another application. The same TIN will be used.

 

71
INVESTOR’S GUIDE-KIGOMA

Charitable organization:

An entity will be recognized as charitable organization for tax purposes after been
issued with a ruling by the Commissioner. The applicant has to acquire all necessary
documents from the Ministry of Home Affairs.

 

Declaration of estimated income/turnover

You will be required to declare the estimated income or turnover for the provision
tax assessment for the particular year. At the TRA office the tax officer may interview
you and record your business and personal particulars.

VALUE ADDED TAX (VAT) REGISTRATION

Registration for VAT is mandatory to every person upon attaining the registration
threshold of 100 million in the period of twelve months and above or 50 million
in period of six months ending at the end of the previous months. This condition
applies to all types of registration except for professional service providers.

Application for VAT registration can be done online or by filling form ITX245.02.E
Application for Registration for VAT. Upon registration, a taxpayer shall be issued
with a Certificate of Registration stating the name and principal place of business of
the taxable person, the date on which the registration takes effect and his Taxpayer
Identification Number and his VAT registration number.

72
INVESTOR’S GUIDE-KIGOMA

TAX Due Dates

Income Taxes

• Withholding taxes are payable within seven (7) days after the end of calendar month

• Taxes payable in installments (Provisional assessed tax) payable on quarterly basis
e.g in case of taxpayers whose accounting periods ends on 30th  December the
installments shall be due by the end of March, June, September and December.

• Self-assessed tax is payable on the date of filling the final return of income
( 6 months after the end of the year of income )

• Jeopardy assessed tax is payable on the date specified on the notice of assessment

• Adjusted assessed tax is payable within 30 days from the date of assessment

Value Added Tax (VAT)

VAT is payable on 20th days following
For more information, please contact
the month of business that is due date
of submitting the Return.
REGIONAL MANAGER – KIGOMA

Customs taxes

Duties and Taxes on importation of
Tanzania Revenue Authority
goods are payable within 30 days from
P.O Box 296
the date of assessment
KIGOMA
p. +255 28 280 2054

73
INVESTOR’S GUIDE-KIGOMA

6. Banking

Kigoma Municipality is served by three national bank – National Microfinance Bank
Plc (NMB), Exim Bank and CRDB Bank Plc. A number of national and regional financial
services providers such as Bayport also do business in Kigoma Municipality.

EXIM BANK
NHC BUILDING, LUMUMBA ROAD
P.O BOX 1060 – KIGOMA
p. +255 28 280 2194/5
w. www. eximbank-tz.com

CRDB BANK Plc
LUMUMBA ROAD
P.O BOX 575 – KIGOMA
p. +255 28 280 2249
w. www.crdbbank.com

NBC BANK
LUMUMBA ROAD
P.O BOX 75 – KIGOMA
p. +255 28 280 2210
e. kigoma@nbctz.com
w. www.nbctz.com

NMB BANK Plc
KANYOMVI ROAD
P.O BOX 681 – KIGOMA
p. +255 28 281 0202
w. www.nmbtz.com

BAYPORT FINANCIAL SERVICES
PLOT NO. 153B LUMUMBA ROAD
P.O BOX 00 – KIGOMA
p. +255 78 646 0056
w. www.bayportfinance.com

74
INVESTOR’S GUIDE-KIGOMA

CONTACTS

Municipal Executive Director
Kigoma Municipal Council
P.O. BOX 44, KIGOMA
p. +255 28 280 2535
e. hussein.juma@ymail.com

75