Tanzania is set to reduce high costs and long procedures associated with customs clearance at its busiest port.
The port of Dar es Salaam, which handles around 95% of the country’s international sea trade, currently requires a range of complex procedures and expensive charges to move goods into the country.
However, the Investment Climate Facility for Africa (ICF), a group that works alongside governments across Africa to increase investment into the continent, and the Tanzania Revenue Authority (TRA) have teamed up to co-fund a project to introduce integrated administration software to speed up procedures.
On completion, it will take a maximum of eight days and 11 procedures to clear customs at the port.
This is a significant improvement on the current system, which takes as long as 37 days, almost 20 procedures and up to six different government agencies for goods to be released.
The entire upgrade process is expected to take between 14 to 18 months from the project’s launch date.
The ICF were unwilling to comment on the precise costs of the system upgrades, but a spokesperson for the organisation tells GTR: “What is important for us is not the cost of the project but rather the outcome the project has in terms of delivering tangible benefits to the private sector and wider business environment of the specific country. All ICF projects are part-funded by the respective government or organisation with whom we have partnered.”
The spokesperson continues: “ICT is a valuable tool for improving a country’s business climate. Streamlining and automating procedures increases efficiency, improves capabilities and reduces corruption, leading to increased business productivity, job creation and wider economic growth.”
Omari Issa, chief executive officer of ICF, adds: “We are delighted the government of Tanzania has recognised the importance of getting the business environment right and are excited to be supporting this project which will not only improve customs clearance processes but will also stimulate long-term economic growth.”
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