Industrial Development in Tanzania: Charting the Continuity
Abstract
Industrialization is an important driver of economic development. It has significant contribution to job creation, increased productivity and exports as well as contribution to market for agricultural products which take a form of raw materials to the industries. Industrial development in Tanzania has been a long-term endeavor.
To achieve the industrialization goal, the Government of Tanzania in 1999 charted its long-term vision 2025 (Tanzania Development Vision 2025), which declared the Nation’s goal to becoming a middle income country. It is envisioned that by 2025, the country’s economy will have been transformed from a low productivity economy to semi industrialized economy, led by modernized and highly productive agricultural activities which are effectively integrated and buttressed by supportive industrial and service activities in the rural and urban areas.
Since then a number of frameworks to guide the industrial sector development have been established as a way of translating the vision into operation. The frameworks were; a 25 year Sustainable Industrial Development Policy for Tanzania (SIDP 2020) which was developed in 1996, with the goal of enhancing sustainable development of industrial sector. The SIDP implementation targeted bolstering employment levels, economic transformation, equitable development, import substitution and export promotion. In the mid-2010, the Integrated Industrial Development Strategy (IIDS) was established with the aim of enhancing the efforts to achieve the SIDP goal of realizing the economy which ensure sustainable industrial development. The Integrated Industrial Development Strategy 2025 was formulated with a view to provide practical strategies to implement SIDP 2020 by creating conducive business environment and build a competitive industrial sector. Efforts to create conducive business environment focused on developing infrastructure and promoting agricultural based industrialization.
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