Fertilizers German–African Billion–Euro–Project: Tanzania Plans Fertilizer Plant

Editor: Dominik Stephan

Tanzania wants to enter the fertilizer business: Public Tanzania Petroleum Development plans the construction of a new petrochemical fertilizer complex in the Tanzania South, together with Ferrostaal of Germany.

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Boostig the agricultural sector: A new fertilizer project attracts a billion Euros investment to Tanzania.
Boostig the agricultural sector: A new fertilizer project attracts a billion Euros investment to Tanzania.
(Picture: Brigitte Werner (CC0))

Dodoma/Tanzania – The petrochemical complex will be the largest German investment in Tanzania and the first fertilizer production in the country. It will be operational in 2020, producing 1.3 million tons of fertilizer per year. Located in the southern region of Tanzania it will provide 5,000 direct and indirect jobs.

Dr. James Mataragio, Managing Director of the Tanzania Petroleum Development Cooperation: “For the economic development of Tanzania, especially for the agricultural sector, we expect a huge effect from the plant. It will increase the value creation in Tanzania significantly. Now, we are looking forward to taking the project to the next level.”

Together with its local partners Tanzania`s National Social Security Fund, the largest public investment fund in the country providing social security protection in Tanzania, and Minjingu Mines & Fertiliser, a major producer and distributer of fertilizer for East, Central and Southern Africa, the joint venture of Tanzania Petroleum Development and Ferrostaal will now accelerate negotiations relating to the gas supply for the project.

“This agreement marks a major step forward to boost fertilizer production in Tanzania. The joint venture underscores our commitment to Tanzania to turn this important project into reality. Combining the competence of facilitating investments with the world`s leading technologies is our key to success”, states Dr. Klaus Lesker, Managing Director of Ferrostaal Industrial Projects, on behalf of the consortium of Ferrostaal with the Danish company with the Danish company Haldor Topsoe and the Pakistani industrial enterprise Fauji Fertilizer Company.

During a state visit of Germany`s Federal President Gauck in February the partners had already announced that the consortium led by Ferrostaal was the successful bidder for the development of the complex. This announcement followed a competitive tendering process.

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