THE government has time and again been advised to review some of conditions imposed on investors so as to create more supportive for them. It has all along promised to do the needful, with various forms and levels of implementation following.

One such appeal was made to President Samia Suluhu Hassan recently in Morogoro Region by Serengeti Cigarette Company executive Ahmed Huwel, as the head of state toured the firm’s newly built factory.

Huwel expressed the firm’s appreciation for the support he said the government has been extending to them, saying the “massive expansion and overall investment” they have made would not have materialised had the government not chipped in. 

He made an impassioned appeal to the government to continue addressing the challenges faced by Tanzanian investors, particularly with respect to the single borrower limits imposed by the Bank of Tanzania.

The appeal highlighted a critical issue relating to the experience local investors in Tanzania. The single borrower limit, which caps the amount local banks can lend to a single entity, often constrains local investors’ ability to finance large-scale projects. 

Huwel appealed to the president to consider reforms that would allow Tanzanian investors to borrow more domestically, ensuring that the profits generated by these investments remained in the country and contributed to its economic growth.

“Tobacco is grown in Tanzania, it is processed in Tanzania and the profits accrued from this investment will remain in Tanzania. I am Tanzanian. I don’t want to go and borrow outside the country,” he said.

His words resonated deeply with the government’s emphasis on the need to empower local investors and enable them drive Tanzania’s economic transformation from within.

The journey to this milestone by SCC has not been easy. Hussein Mohamed Bashe, Tanzania’s Minister for Agriculture, acknowledged the challenges that had to be overcome to reach this point. He recounted the long battle that led to the success of today. He said all that began in 2022 when President Samia made a decisive move to support the tobacco industry.

Bashe praised Richard Sinamtwa, an employee of the previous owners of the tobacco processing factory before it was acquired by Mkwawa Leaf Tobacco, for his patriotism and dedication to the cause.

Bashe’s tribute to Sinamtwa underscores the importance of having committed individuals who believe in the potential of Tanzania’s agricultural sector. The success of SCC’s expansion is not just a victory for the company but also a testament to the resilience and determination of those who have worked tirelessly to bring about positive change in the industry.

Looking ahead, SCC is poised to revolutionise the tobacco industry in Tanzania. By 2025, the company aims to process between 30 per cent and 40 per cent of its tobacco using sun-cured methods. This shift represents a significant reduction in the environmental impact of tobacco processing, aligning with global trends toward sustainability and responsible business practices.

President Samia’s commitment to improving the investment environment in Tanzania has been instrumental in attracting both local and foreign investors to the country.

Her administration’s focus on creating a business-friendly climate has led to a surge in industrial activity, with the number of factories in Tanzania increasing from 62,000 to 80,000 since she took office. Among these are 166 large-scale factories, including SCC, which are driving the country’s economic growth and creating jobs for Tanzanians.

SCC’s efforts to adopt sun-cured tobacco technology and its commitment to environmental conservation are exemplary. By taking the lead in implementing sustainable practices, SCC is demonstrating that it is possible to achieve industrial growth without compromising the environment. The company’s decision to engage in the actual farming of tobacco, which will be cured by the sun, further cements its role as a pioneer in environmentally friendly tobacco processing.

This proactive approach aligns perfectly with President Samia’s vision of a modern, industrialized Tanzania. By supporting companies like SCC, the government is fostering a culture of innovation and sustainability that will benefit the country for generations to come.

The foundation stone laid by President Samia Suluhu Hassan at the SCC expansion site in Morogoro marks the beginning of a new era for Tanzania’s tobacco industry. It is an era defined by environmental responsibility, economic growth, and the empowerment of local investors. As SCC moves forward with its plans to process a significant portion of its tobacco using sun-cured methods, it is setting a powerful example for other industries to follow.

The success of SCC’s expansion is a testament to what can be achieved when the government and private sector work together towards a common goal. It is a reminder that with the right support and vision, Tanzania’s industrial sector can achieve great things while preserving the environment for future generations. The story of SCC is not just about tobacco; it is about the promise of a brighter, more sustainable future for Tanzania.