Economy

Samia launches Kwala Dry Port, orders immediate and full operationations

The Kwala project, coupled with the SGR freight trains, is poised to deliver multiple socio-economic benefits, including: reduced port and road congestion; enhanced competitiveness of the Port of Dar es Salaam; and reduced transport-related accidents and environmental degradation

Kibaha. President Samia Suluhu Hassan has issued a directive for the immediate commencement of full operations at the Kwala Dry Port in Coast Region from August 4, 2025.

Officiating in key functions at the Kwala International Logistics Centre on July 32 that included unveiling the Kwala Dry Port, the Kwala Industrial Park, the commencement standard gauge railways (SGR) freight trains between Kwala and Dodoma, President Samia said the immediate operationalization of the port would help decongest the Dar es Salaam port and end systemic traffic jams in the city.

Before making the directive she officially flagged off first cargo train operations via the electrified SGR from Kwala to Dodoma.

“This is a historic day for Tanzania,” President Samia declared.

“We are laying the groundwork for an integrated logistics and industrial infrastructure that will not only reduce transport costs and road congestion, but also attract investment, create thousands of jobs, and strengthen our trade competitiveness across the region,” she said.

President Samia stressed that the Kwala is strategically poised to serve as a regional logistics hub, complementing Tanzania’s ambitions under the African Continental Free Trade Area (AfCFTA).

She said the facility would facilitate cargo transit for neighbouring land-linked countries including the Democratic Republic of Congo, Zambia, Rwanda, Burundi and Malawi, countries which heavily depend on the Port of Dar es Salaam for access to international markets.

“The operationalisation of Kwala Dry Port and SGR cargo services enhances our throughput capacity at Dar es Salaam Port and strengthens our position as a key trade corridor in Africa,” the Head of State stated.

SGR Cargo Train Operations Now Underway

President Samia Suluhu Hassan flags off an SGR freight train from Kwala to Dodoma which is part of the operationalisation of the Kwala Dry Port

During the same occasion, President Samia officially launched cargo transportation via the electric SGR between Kwala and Dodoma.

The SGR freight services between Dar es Salaam’s Pugu station and Dodoma, which became operational on June 27 following successful trials, have already demonstrated remarkable efficiency, reducing cargo transport time between Dar es Salaam and Dodoma from 16 hours to just 4 hours.

The President received 50 new metre gauge railways (MGR) freight wagons as part of a larger order of 100 procured by the government.

She also inspected 20 rehabilitated wagons restored through the Central Corridor Transport Facilitation Agency (CCTFA).

“The government has invested Sh330.2 billion to procure 1,430 freight wagons aimed at improving cargo handling efficiency. We call upon the private sector to seize opportunities in the rail sector, particularly in the acquisition of locomotives and wagons for both passenger and cargo transport,” she said.

Marshalling Yard Capabilities

The Kwala Marshalling Yard complex has the capacity to assemble a 2km-long train and store 86,000 tonnes of cargo at a given time.

Integral to the operations of the Kwala logistics and industrial centre is the Kwala marshalling yard, a sophisticated railway handling complex with the capacity to assemble a two-kilometre-long train and store over 86,000 tonnes of cargo at any given time.

The yard is also equipped with dedicated infrastructure for maintenance and repair of wagons and locomotives, ensuring the reliability and longevity of railway assets.

President Samia called upon the ministry of Transport to actively engage and attract private sector operators to make full use of the rail infrastructure, adding that enhanced rail usage would unlock greater efficiency and cost reduction across the supply chain.

Kwala Industrial Park Takes Shape

President Samia Suluhu Hassan (5th) unveils the plaque to lay the foundation stone of the Kwala Industrial Park on July 31, 2025

The Head of State also laid the foundation stone for the Kwala Industrial Park, a transformative industrial estate that is expected to host 200 manufacturing facilities upon completion.

Seven factories are already operational, and five others are currently under construction.

She urged the Tanzania Investment Centre (TIC) and relevant authorities to aggressively attract investors while ensuring there are no unnecessary bureaucratic hurdles to investment.

“I instruct the Investment Authority to not only attract more investors but also ensure the quality of goods produced in these factories meets global standards,” she said.

President Samia highlighted the park’s potential to generate between 50,000 and 150,000 direct and indirect jobs.

She encouraged Tanzanians, particularly residents of Coast Region, to seize the emerging economic opportunities, ranging from industrial employment to small business and service provision.

CIF Kwala

President Samia urged her assistants to work so hard and to ensure that Kwala logistics centre becomes so efficient that the whole world shifts from CIF Dar es Salaam to CIF Kwala, which would allow goods to be shipped and processed directly through the dry port instead of clogging up Dar es Salaam.

 “This change will significantly reduce pressure on the Port of Dar es Salaam and enhance turnaround time for goods destined for the hinterland,” President Samia explained.

The entrance to the Kwala Industrial Park whose foundation stone was laid by President Samia Suluhu Hassan on July 31, 2025.

Robust Capacity and Strategic Location

Constructed at Vigwaza, approximately 90 kilometres from Dar es Salaam, the Kwala Dry Port occupies a geostrategically advantageous position on government-owned land that is free of disputes.

The facility is capable of handling up to 823 containers daily—translating to around 339,500 containers annually—which constitutes about 30 percent of the Dar es Salaam Port’s total container traffic.

Already, companies such as Azania Group and Dangote Cement have started benefiting from SGR cargo services, underscoring private sector confidence in the emerging logistics infrastructure.

Strategic and Economic Benefits

The Kwala project, coupled with the SGR, is poised to deliver multiple socio-economic benefits, including: reduced port and road congestion; enhanced competitiveness of the Port of Dar es Salaam; and reduced transport-related accidents and environmental degradation.

Other benefits include expansion of employment and enterprise development opportunities in adjacent regions; and increased trade efficiency.

“These developments are not just about infrastructure. They are about transforming lives and building a future of shared prosperity,” President Samia affirmed.

“Let us ensure that the benefits of these projects are felt by every Tanzanian.”

President Samia concluded her address by calling on citizens and stakeholders to actively participate in and benefit from the nation’s infrastructure renaissance.

She described the transformative projects as collective achievements born of national unity, and urged Tanzanians to continue supporting development initiatives.

“These projects are the fruit of our shared efforts. Let us make the most of them to uplift our communities, grow our economy, and position Tanzania as a beacon of development in Africa,” she said.

The launch ceremony was attended by cabinet ministers from the Democratic Republic of Congo (DRC), Tanzania and Burundi and senior government officials from Malawi, Tanzania, Burundi and DRC.

Also in attendance were stakeholders in the transport, trade, and investment sectors, as well as the former President Jakaya Kikwete.

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