A New factory for the manufacturing lubricants is set to open for business at the Bagamoyo-based Kamal Industrial Estate in the coming two weeks, Export processing Zone Authority (EPZA) director general Dr Adelhelm Meru has said.

He told journalists in Bagamoyo on Saturday that construction of the factory, the first of its kind in Tanzania, is in final stages, noting that its official opening will take place soon.

“A lot of encouraging developments are taking place at the Kamal Industrial Estate and within the next two weeks, we will be launching the factory for manufacturing lubricants here,” he told members of the press who were visiting the site.

This will be the second factory to open for business at Tanzania’s largest and first privately-owned EPZ after the gas plant launched recently.

Apart from the two factories, the park, located some 40 kilometers from Dar es Salaam, will also make space for various industries like transformer manufacturing, oil refinery, steel plant, sugar industry, pulse and grain processing plant and assembling plant for two wheeler vehicles among others.

According to Dr Meru, the multi-billion shilling steel plant to be set up by Kamal Group, will also open for business in the coming few months.

“It will be a massive investment that will bring Tanzania on the world map in as far as production of steel is concerned. A total of USD300m (over 400bn/-) will be invested in the plant…. It will be capable of producing a total of 700,000 tonnes of steel every year,” he said.

It is also anticipated that the project will stimulate value addition to local products.

Other anticipated benefits include boosting Tanzania's exports and increase the country's foreign exchange earnings, according to Kamal Group chairman Gagan Gupta.

"This is a vital step towards improving the country's trade deficit. Investors at the site will also bring with them technology which Tanzania badly needs," Gupta said.

He said construction of various other factories at the EPZ is at some stages after President Jakaya Kikwete laid down the foundation stone of the country’s first privately-owned EPZ in June 2010.

According to Gupta, when put to maximum productivity, the Guptas' EPZ will create direct employment for 25,000 people while a minimum one million people will be employed indirectly.