Tanzania to construct US$ 1.8 billion fertilizer plant

Fertilizer plant in Tanzania
Tanzania Petroleum Development Corporation will be constructing a mega fertiliser manufacturing plant at Kilamko, Lindi Region. Construction of the US$ 1.8 billion fertilizer plant in Tanzania is set to commence in December this year. The fertilizer plant is likely to see the price of the farm input lower as a result of competition.

Tanzania Petroleum Development Corporation will partner with three private companies. The companies will use natural gas as both feedstock for production and a source of energy

He named the companies involved in the business as the Denmark based Haldor Topsoe Company, Ferrostaal Industrial Project from German and Fauji Fertiliser Company based in Pakistan.

The corporation will hold a 20 per cent stake in the business while the foreign partners will own the rest.

Dr Wellington Hudson the Director of Downstream Operations at TPDC said that the plant will have a daily production capacity of 3,850 tonnes. He added that TPDC was in the final stages of compensating affected residents.
Employment opportunities

Dr Hudson added that the first plant would generate a number of employment opportunities. He adde that it would also earn the country foreign exchange from fertiliser exports.

Mr Ernest Mwakang’ata ,the Kilwa District Land Officer said the district’s administration has commenced the process of compensating 23 residents at the proposed site.

“The residents had encroached upon the area after TPDC failed to develop the area for a very long time,” the land officer told reporters. However, Mr Mwakang’ata said TPDC have agreed to pay compensation to the residents to vacate the area.

The corporation has also allocated 400 acres more to take care of residential needs of the villagers. A TPDC board member, Judge (retired) Josephat Makanja, said the plant would boost national development.