Economy

President Samia launches East African Commercial and Logistics Centre in Dar es Salaam

The facility, spanning 75,000 square metres over four levels, is now Tanzania’s largest integrated commercial complex

Dar es Salaam. President Samia Suluhu Hassan has inaugurated the East African Commercial and Logistics Centre (EACLC) in Ubungo, describing it as a transformative project poised to establish Dar es Salaam as the region’s foremost commercial and logistics hub.

The facility, spanning 75,000 square metres over four levels, is now Tanzania’s largest integrated commercial complex.

It brings together warehousing, logistics, e-commerce, wholesale and exhibition services under one roof and is intended to serve the wider East African Community (EAC), the Southern African Development Community (SADC), and the Common Market for Eastern and Southern Africa (COMESA).

Speaking at the launch on Friday August 1, 2025, President Samia said the EACLC represents a pivotal opportunity for Tanzania to scale up its competitiveness in the regional and continental trade landscape.

“This facility will be instrumental in promoting exports of locally processed agricultural and other value-added goods. When I toured the complex this morning, I was pleased to meet young Tanzanians engaged in value addition for export. It is encouraging to see the youth benefiting from such opportunities,” she said.

She said that the centre’s success would hinge on effective collaboration between the government, investors, traders and the local community.

“When I toured the facility this morning, I met young Tanzanians who are adding value to local products for export. This centre gives them a platform to showcase their work to the world,” she noted.

She urged entrepreneurs to uphold the highest standards of quality, noting that every product bearing the Made in Tanzania mark must reflect the country’s image and reputation.

“Let us not compromise on quality. Every item exported with our country’s label speaks for all of us,” she said.

EACLC, built by Chinese investors, would strengthen trade relations between Tanzania and China, President Samia noted, while enabling Tanzanian producers to tap into broader regional and international markets.

She further added that the centre is poised to serve traders from the East African Community (EAC), Southern African Development Community (SADC) and the Common Market for Eastern and Southern Africa (COMESA), reinforcing Tanzania’s role in the continental free trade agenda.

A learning model for Kariakoo traders

While clarifying that the EACLC was not intended to rival the long-established Kariakoo Market, the President encouraged traders from Kariakoo and other business districts to draw lessons from the centre’s operations.

“This is not a competitor to Kariakoo,” she said.

“It is an opportunity. Traders from Kariakoo should come here, learn modern business practices, embrace technology, and understand how to comply with government revenue requirements,” she said.

A one-stop commercial ecosystem

According to President Samia, the centre is envisioned as a one-stop commercial ecosystem, linking producers, importers, exporters, transporters, distributors and consumers from both within and outside Tanzania.

By concentrating commercial activities in one integrated zone, the government expects a reduction in operational costs, paperwork and time required to move goods through the Port of Dar es Salaam.

The centre is projected to cut customs clearance time from the current seven days to just three.

“This facility positions Tanzania favourably. It will encourage regional players to choose our country as their preferred destination for commercial and logistics services,” she added.

Major investment, strong local ownership

The Minister of State in the President’s Office (Planning and Investment), Prof Kitila Mkumbo, revealed that the construction of the project commenced in the 2022/23 financial year.

EACL comprises 2,060 purpose-built trade units, of which 65 percent are owned by Tanzanians.

The complex also features 1,000 vehicle parking bays to facilitate large-scale movement of goods and customers.

Prof Mkumbo noted that over 400 traders have already occupied space in the complex, which continues to attract local and international interest.

The Executive Director of the Tanzania Special Economic Zones Authority (TISEZA), Mr Gilead Teri, said the EACLC has so far injected over Sh282 billion in capital into the Tanzanian economy.

During its construction phase, it generated 2,000 jobs and is expected to create over 15,000 direct and 50,000 indirect employment opportunities upon full operation.

“The government anticipates more than Sh25 billion in revenue annually from this project. To date, over Sh22 billion has already been contributed to local government coffers,” he said.

Complementing the local market

Chairperson of EACLC Limited, Dr Lisa Wang Xiangyun, reaffirmed the centre’s commitment to complementing, not displacing, local businesses.

“We are here not to dominate but to empower; not to replace but to work together with Tanzanian entrepreneurs and stakeholders,” she said.

She added that the centre would serve as a regional trading platform that enhances connectivity between Chinese and Tanzanian businesspeople, facilitates knowledge exchange, and opens new markets for Tanzanian exports, particularly value-added agricultural products.

Trade cost reduction and regional integration

Once fully operational, the EACLC is projected to reduce regional trade costs by up to 30 percent by lowering logistical, time and financial burdens for traders.

It is also expected to play a key role in advancing the objectives of the African Continental Free Trade Area (AfCFTA) by serving as a hub that integrates trade flows from across the continent.

As Tanzania continues to position itself at the crossroads of East, Southern and Central Africa, projects such as the EACLC are expected to deepen its role in cross-border trade facilitation, industrialisation and regional economic integration.

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