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Tanzanian gov't reclaims 10 privatized industries
Last Updated: 2017-08-11 07:34 | Xinhua
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Tanzanian authorities announced on Thursday the repossession of 10 privatized industries after they had been dormant for 20 years.

Charles Mwijage, the east African nation's Minister for Industry, Trade and Investment, invited interested investors to apply for fresh acquisition of the industries, adding that the government will reclaim other undeveloped industries by August 22.

Mwijage mentioned the repossessed industries as Lindi Cashewnut Processing Plant, Pugu Kaolin Mines, Mkata Saw Mills Ltd, Manawa Ginnery Co. Ltd, Dabada Tea Factory, Tembo Chipboards Ltd, Kilimanjaro Textile Mills, Mang'ula Mechanical and Machine Tools Co. Ltd and Polysacks Company Limited.

"Investors for the repossessed industries will remain responsible for protecting the respective factories until they officially hand them over to the Treasury Registrar later this month," the minister told a news conference in the political capital Dodoma.

"The fifth phase government is very determined to revive performance of local industries for two good reasons. First is to create new employment and second is to increase production of goods for both local consumption and export market," said Mwijage.

He warned owners of five other industries and gave them a grace period to August 22 to correct weaknesses or return the factories to the government.

They were Sabuni Industry Ltd in Tanga, Tanzania Moshi Pesticides Limited, Tanzania Bulk Corporation, Ilemela Fish Processing Limited and Mzizima Maize Milling.

The repossession of the industries by the government comes hardly five days after President John Magufuli ordered the minister to reclaim them.

Speaking during a ceremony to launch Kilimanjaro Cement Company in Tanga on Sunday, President Magufuli disclosed that there were 197 dormant industries in the country.

"We made mistakes when we privatized the industries," said Magufuli.

On July 27, the government said it has started looking for investors to develop industries which it has repossessed from investors who abandoned them after privatization.

Mwijage said the government has started a process to invite serious investors, partners and markets from these countries.

"The government sold these industries to private investors with a view to developing them. But most of the industries have been abandoned," said Mwijage.

"We are going to repossess the dormant industries and hand them to serious investors from countries such as China, Vietnam and India. They can't remain idle while the government is pushing for the industrialization drive," added Mwijage.

Elli Pallangyo, Investment and Research Director in the Ministry of Industries, Trade and Investment, said the abandoned industries will be repossessed by August 15, this year.

Pallangyo said out of 156 industries which were privatized between 1992 and 2004, a total of 54 industries remained dormant after they were privatized. Enditem

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