Premier Magufuli stops sugar importation to boost private sector
Tanzania, April 3 – President John Pombe Magufuli has halted the issuing of permits for importation of sugar as he looks to favor local production. The decision by the Premier will give pressure to the private sector to meet the high demand of the market as it strive to better their operations.
This could be a long-term view by the President to encourage more businesses in the country and promote the local production by individual companies. A number of other sugar plants are believed to be strategically built to meet the needs of the market. Premier Magufuli believes the country has what it takes to sustain the demand for the market by itself.
Importation of sugar has devastated the local production with a number of times customers preferring imported products instead of promoting the home companies’. Several businesses have counted their losses, having put a lot in the investments with little returns after hard work and labor.
Tanzania, like Rwanda is strategizing ways to promote the local products to compete in the regional market and prosper beyond in the international territories. It is a challenge for the sugar manufacturers now to ensure the quality of production matches the international standards.
Investors have been asked to come in and support the sugar manufacturers as they strive to achieve this goal. The government will keep the existing chain of exporters, but will seek to add no more with the long term view of bettering their products. Among the exporters who will maintain their jobs include Brazil and India as well as Thailand.
With more investment injection, the country will be able to meet the standards for importation where the government can rake in good revenue to spur the economy of the country and improve individual lives. Sugar importation at times has discouraged customers with fluctuating quality.