Tanzania to
benefit from new trade agreements
By Timothy Kitundu
Tanzania together with other countries within the Africa, Caribbean and Pacific
regions will benefit from the Economic Partnership Agreements (EPAs) negotiation
whose deadline in Cotonou is 1st January 2008.
According to a European Union (EU) communiqué early this week, talks on EPAs
must be concluded by mid 2007.
The communiqué stressed that the agreements will send a powerful signal that ACP
countries are taking the desired steps to integrate progressively into the world
economy.
“The EPA agenda is emphatically not about opening markets to our own exports: it
is about opening European, as well as crucial regional markets to developing
countries and enabling them to take advantage of these opportunities,” reads
part of the communiqué.
To comply with WTO obligations there has to be an element of reciprocity in
these agreements. ACP partners will only be expected to open their markets
progressively over a long period.
According to the communiqué, the White Paper’s findings can be summarized in one
sentence: the European Union is already today through its trade policy, giving
developing countries some of the chances they desperately deserve.
The EU has been steadily and progressively opening up markets to poor countries,
through preferential trade arrangements, for the last 30 years. By 2003, no less
than 40 per cent of the imports came from all developing countries, including
rapidly developing countries like China.
However, the policy, as it should be, is particularly favourable to the poorer
and more vulnerable exporters. Amongst the rich so-called Quad of the United
States, Europe, Canada and Japan, Europe’s share of total LDC exports (excluding
petrol) was 63 per cent in 2003. This makes the EU, by far the most open market
for the world’s poorest, least developed countries.
What’s more, the preferences EU offers are of real and increasing help. The
proportion of goods entering the EU at zero tariffs or at reduced rates of duty
steadily increased between 1999 and 2003 from 71 to 79 per cent. Only three per
cent of goods imported from the ACP family of nations were charged full duties
in 2003. And LDCs benefit, of course, from full tariff and quota free access
under Everything but Arms.
In this, according to the communiqué, Europe compares well with other rich
countries. The data shows that EU takes in close to 70 per cent of LDC
agricultural exports, against only 17 per cent for the US.
People who argue that the workings of the Common Agricultural Policy are
iniquitous for the poorest countries and of course it is accepted the case for
reform: but the figures tell a different story. The constraints operating are
more to do with supply capacity and challenges of logistics and transportation,
than market access.
But it also means getting all countries on board to deliver pro-poor outcomes
for the most vulnerable countries of the WTO membership, including the
achievement of an ambitious level of South-South market opening. EU will
continue to invest as much time and energy as necessary to achieve this.
Foundation for
Civil Society provides 3.1bn/-
By Damas Ayuke, Kigoma
Some Tsh. 3.1 billion were supplied by the Foundation for Civil Society to
enhance the strategy of reducing poverty in the country last year. In 2003 Tsh.
800 million were offered.
Subsidies Officer of the Fund, Asha Mbogoro told participants at a two day
meeting how non-governmental organisations (NGOs) and community based
organisations (CBO) can apply to obtain subsidies from the Fund.
Mbogoro said a total of 107 projects were implemented countrywide.
The four areas which the Fund has given priority to were consolidation and
advocacy, policy formulation, good governance and security networks.
Yet many community based organisations fail to obtain subsidies for lack of
administrative and functionary problems in running the projects sponsored by
donors, said Kigoma Regional Administrative Secretary, Martin Mgongolwa, when
closing the meeting.
As a result many projects fail to be implemented.
He challenged the representatives of the 200 communities, who attended the
training course, to use the course to eradicate the shortcomings in writing
project proposals.
PPF asks
members to write will
By Sebastian Gabunga, Mwanza
The Parastatal Pensions Fund (PPF) has requested its members to
write their will so that their families can obtain benefits immediately.
PPF Commercial and Customer Service Director, Michael Mjinja said this when
presenting a paper at a one day workshop in Mwanza City.
It has been experienced that death benefits to family members, he said, have
been delayed because of lack of clear procedures of who should administer the
inheritance of the deceased.
On this basis, Minja advised PPF members to write a will.
Minister urges
contractors to be serious
By Sebastian Gabunga, Mwanza
Minister for Works, John Magufuli has directed contract companies countrywide to
employ people with technical skills and use loans provided wisely to gain
professional competence in order to get the various construction bids provided
by the government.
The Minister gave the challenge when opening the Annual Consultative Meeting of
2005 in Mwanza, attended by the Contractors Registration Board (CRB) and
contractors from the Northern Zone, which comprises Mwanza, Kagera, Mara,
Shinyanga, Tabora and Kigoma regions.
Many bids advertised by the government end up in the hands of foreign
contractors because of the many administrative and financial problems local
companies face, said Magufuli.
For example, he said, some contractors have been hiring relatives without caring
whether they possess any technical skills. The government is not ready to see
funds set aside for construction of roads or staff quarters being wasted by
unaccountable and untrustworthy contractors.
Magufuli urged local contractors to make joint ventures when applying and
implementing various bids.
Bearing this in mind, the government has put conditions for outside contractors
to ensure that 15 per cent of construction projects are undertaken by local
contractors and consultants.
The CRB Registrar earlier informed that the Board by December 2004 had a total
of 3,730 contractors registered while 203 contractors were deregistered
following violation of the Board’s regulations.
Tanzania
attractive among investors
By Angela Mazula
World Transnational Corporations (TNSs) have ranked Tanzania the
third most attractive destination for Foreign Direct Investment (FDI) in Africa
after South Africa and Angola.
This according to a survey on international location experts conducted by United
Nation Conference on Trade and Development (UNCTAD) contained in the 2004 World
Investment Report (WIR).
Experts said foreign investors saw opportunities in non-metallic products, food
and beverages, textile and clothing. In the service sector they identified
energy service, banking and insurance.
WIR said one-fifth of the respondents to UNCTAD 2004 survey expected FDI in
Africa to increase in year 2004/05 with two-thirds and thought flows would
remain steady.
Investment Promotion Agencies (IPA) will do what they can to attract new
investment especially by intensifying investor targeting, introducing more
incentives to lure investors and further liberalizing their investment regimes.
WIR says structure problems such as low labour productivity and insufficient
infrastructure will hamper the growth of FDI, especially in export-oriented
manufacturing.
Policies for human resource development and capacity building are imperative as
are incentives for firms to invest more in export oriented manufacturing.
Dodoma
Municipal Council projects 595m/-in revenues
By Tunu Ally, Dodoma
Dodoma Municipal Council is projecting to collect Tsh. 595,900,000
from its various sources of revenue from July 2004 to June 2005.
Addressing councillors last week the Municipal Mayor, Godwin Cheti said that
from March to April this year, the Municipal Council managed to collect Tsh.
49,387,733 making a total collection from July, 2004 to April 2005 reach Tsh.
238,650,641.
The Mayor pointed out that some Tsh. 245,000,000 was estimated as compensation
for abolished levies from the Central Government.
He added that the Municipal Council is confronted with various problems,
including head teachers embezzlement of funds earmarked for classroom
construction and refurbishment.
Cheti urged the councillors to speed up supervision of development activities.
Minister urges
investment in industries
By Joshua Mshana
Businessmen with sufficient capital should establish industries and not run
shops, Mussa Silima, Minister of Trade, Industry, Marketing and Tourism of
Zanzibar said in an interview in Zanzibar recently.
“When you invest in industries more people will benefit. Investment climate and
business environment has been smoothened to pave the way for foreign and local
investors to come and invest in various sectors in Zanzibar,” he said.
We advise people to invest in long-term businesses such as industries;
short-term businesses have its own problems, he noted.
Investments have increased and improved the economy of Zanzibar, but the sector
which has benefited most is tourism. Industries in Zanzibar are still of small
and medium scale and the impact of investors has not yet been felt in Zanzibar.
Grape growers
vision bright future
By Tunu Ally, Dodoma
Grape growers in Dodoma Region have been urged to work hard and
expand their grape farms as the market for grapes looks lucrative.
Addressing the public in his office on Friday last week, the Mayor of Dodoma
Municipality, Godwin Cheti said that the time had come to abandon the view that
there will be no market for the crop.
The crop is essential in providing income for Dodoma residents and people should
direct all their efforts in the production of grapes which for a long period
have been declining following a limited market for the crop, he said.
Currently, he said, there is an investor who has established a factory at
Hombolo Village in the outskirts of Dodoma Municipality. This indicates that a
sure market for grapes is already here.
He urged the growers to form cooperative groups to get education in cultivation
and input assistance.
The issue of reviving grape farms should also attract the interests of
cooperative professionals, the Mayor said.
The Agricultural Sector Policy of 1997 stresses the acceleration of cooperative
services in agriculture and supply services.
DSE sees good
turnover
By Timothy Kitundu
The trading session at the Dar es Salaam Stock Exchange (DSE) on 19 May 2005
could be cited as the best in terms of turnover for the past two weeks as it
recorded a total turnover of Tsh. 363 million from a total of 229,016 shares
transacted in 18 deals.
The last day of trading at DSE recorded last week on May 20 saw a slightly lower
turnover of Tsh. 12.92 million from 9,037 shares transacted in three deals. On
this material trading session, two counters were active. These were the TBL
which concluded two deals while DAHACO concluded one deal.
According to the DSE Market Report of May 19th, 2005 two counters were active.
The TCC counter had 226,252 shares traded at Tsh. 1,600 per share in 14 deals
whereas DAHACO counter had 2,764 shares traded at Tsh. 500 per share in four
deals.
At the end of the session, TBL counter had 13,361 shares on bid at Tsh. 1,400
per share while TCC counter had 6,830 shares on bid at Tsh. 1,600 per share and
12,274 shares on offer at Tsh. 1,700 per share.
TATEPA counter had 3,089 shares on offer at Tsh. 4.40 per share whereas DAHACO
counter had 7,436 shares on offer at Tsh. 500 per share. TOL counter had 1,462
shares on offer at Tsh. 3.10 per share.
SIMBA counter had 10,888 shares on bid at Tsh. 910 ex-dividend per share whereas
KA counter had 5,000 shares on bid at Tsh. 260 per share. On special lot board
TBL counter had 100,000 shares on bid at Tsh. 1,400 per share.
Comparatively, at the end of the session the previous week, TBL counter had
9,664 on bid at Tsh. 1,460 per share and 1,000 shares on offer at Tsh. 1,460 per
share whereas TCC counter had on that particularly session 6,650 shares on bid
at Tsh. 1,600 per share and 12,274 shares on offer at Tsh. 1,700 per share.
Similarly, TATEPA counter had 2,039 shares on offer at Tsh. 440 per share while
DAHACO counter had 10,768 shares on offer at Tsh. 500 per share.
TOL counter had 3,222 shares on offer at Tsh. 310 per share while SIMBA counter
had 5,888 shares on bid ay Tsh. 910 ex-dividend per share whereas KA counter had
5,000 shares on bid at Tsh. 260 per share. On special lot board, TBL counter had
the same 100,000 shares on bid at Tsh. 1,400 per share.
Loans for
houses issued
By Tunu Ally, Dodoma
A group of 114 members of Nala Mkazi in Dodoma Municipality have been given Tsh.
6.7 million in loans from Women Advancement Trustees (WAT) from Dar es Salaam.
The money will be used to construct houses.
WAT Director, Thabita Siwale announced this when opening a two day workshop and
handing over the money to Nala Mkazi members in Dodoma Municipality recently.
This is the third phase of a loan giving project to benefit Nala Mkazi members.
She requested Nala Mkazi members to make sure they use the loans for which they
were intended.
SACCOS now in
Bunda
By Beldina Nyakeke, Bunda
Lake Zone residents have been called to join Savings and Credit
Cooperative Societies (SACCOS - DUNDULIZA) in order to secure various financial
services.
The call was made by DUNDULIZA Managing Director, Nkinda Mayenga in Bunda town
at the inaugural meeting of DUNDULIZA recently.
Mayenga told residents that they would be provided with the best financial
services including loans which will improve their household economies.
The institution provides the best scientific and technological services and
motivates, educates and supervises the development of SACCOS in the Lake Zone,
Mayenga said.
Morogoro
Region announces expenditures
By Merline Mhamaka, Morogoro
Morogoro Region will spend Tsh. 26,870,000,000 on recurrent
expenditures and development in the financial years 2005/2006-2007/2008.
According to Morogoro Regional Planning Officer, Hassan Uledi Tsh.
19,828,910,700 will be used for recurrent expenditures and Tsh. 7,044,158,000
will be used for development.
Uledi said the money includes subsidies provided by the Central Government.
During the coming 2005/2006 financial year, the region expects to get
contributions from donors amounting to Tsh. 2,189,308,391 for development
projects.
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