Direction of debate on port agreement comes under scrutiny

 

By Alex Nelson Malanga

Business journalist

Summary

·         The IGA between Tanzania and Dubai – which aims at enhancing economic and social cooperation between Tanzania and the Emirati of Dubai to ...

expand and improve Tanzania ports - has been greeted with a heated debate among members of the public, who demanded more explanations from the government on the terms and conditions.

Dar es Salaam. The debate on a recent Intergovernmental Agreement (IGA) between Tanzania and Dubai on port operations took a new twist yesterday when some leaders in business, religious, political and media spheres joined the fray by questioning the direction that the debate was taking.

The IGA between Tanzania and Dubai – which aims at enhancing economic and social cooperation between Tanzania and the Emirati of Dubai to expand and improve Tanzania ports - has been greeted with a heated debate among members of the public, who demanded more explanations from the government on the terms and conditions.

But speaking during a national dialogue themed "protecting and promoting national cohesion in times of political and economic reforms”, some leaders said it was not a bad thing to attract private investment in Tanzania’s ports, noting however that it was shocking to note that the debate was taking a political tone.

"It is wise to use Dar es Salaam and other ports to shape our economy… It is so sad that the economic and trade debate has been more of politics and activism," said tycoon Rostam Aziz.

He said it is not bad to have debates but that there was a need to conduct such dialogues in a constructive manner.

Tanzania Private Sector Foundation (TPSF) chairperson Angelina Ngalula also expressed the need to debate the question of the Dar port and other ports with facts and figures, noting that in the modern world there was no way the country could avoid to let the private sector operate its ports.

Ms Ngalula said embracing the opportunities presented by private investors will change the country's economy to better.

She said the modern port needs a company that can control the entire supply chain from the source of cargo to the country's port to the owner.

According to her, a modern port needed an investor who was rich in technology and with strong financial muscles to invest in systems and infrastructure respectively.

"It takes up to 14 days to unload cargo against the global standard of one to three days," said Ms Ngalula.

The Secretary General of Tanzania Episcopal Conference (TEC), Fr Charles Kitima, urged against a notion that the government wanted foreign investors to run the country's ports to boost its efficiency.

"I do not intend to say that we should not welcome foreign investors but what I mean is that we need to attract them while addressing our own challenges," he said.

He was of the view that letting foreign investors to control Tanzania’s ports was not healthy for the country's security.

Renowned journalist and lawyer Jenerali Ulimwengu shared similar sentiments.

He said there would be no problem if investors who wanted to invest at the country's ports were local ones.

"If it is necessary for foreign investors to invest there then it should be in partnership with local investors," asserted Mr Ulimwengu, calling upon transparency in all government deals that involve huge capital.

"Before any decision that touches national interest, the government should conduct awareness campaign to avoid the likes of doubts that we are witnessing today," noted Mr Ulimwengu.

His sentiments were echoed by a veteran politician Stephen Wasira who said the government should always engage Tanzanians in its decision making.

A politician-cum-academician, Prof Kitila Mkumbo, said there was no need to worry about foreign investors.

He said it was only a portion of the port that the government was planning to lease/concession to the DP World.

"We cannot sell our country as a section of people claim. They will only be given some berths to operate," assured Prof Mkumbo who is the current Member of Parliament for Ubungo.

He said if all goes as planned, DP World will be registered in Tanzania as DP World Tanzania.

"If it messes up, we will be dealing with it using our own laws," concluded Prof Mkumbo.

ACT-Wazalendo leader Zitto Kabwe said to avoid the ongoing doubt over DP World saga, it was high time the government established an operating company that could partner with DP World with each having 50 percent shares.

"The operating company should be owned by the Tanzania Ports Authority (TPA) or any other state-owned institution," recommended Mr Kabwe.

A member of the Chadema Central Committee, Mr Godbless Lema said his party had no problem with foreign investors.

"There is no way Tanzania can survive without investors from other countries," he said.

However, said Mr Lema, the most important thing was to work on all issues that leave doubts to people.