Saudi Arabia lands in Tanzanian waters: The Saudi African Investment and Development Company (SADC) will manage Tanzania’s Bagamoyo Port and boost its logistical capabilities, after being awarded concession and acquisition rights for the facility, according to a statement from the Federation of Saudi Chambers of Commerce. The port is targeted to be operational in the next three to five years, Chairman Mohammed Al Dulaim told Al Arabiya. No investment ticket was disclosed.

The rationale: The Bagamoyo Port will serve as the main port to export African raw materials and import goods into Africa, helping to ease congestion in Tanzania’s main port at Dar es Salaam and position Bagamoyo as a trade hub. The move is also in line with the Kingdom’s East Gateway project, which aims to help diversify our foreign investments and projects across East Africa.

Outmatching China: Tanzania was originally planning a USD 11 bn project in 2015 with China Merchant Holding International to make Bagamoyo the country’s biggest port, Reuters reported at the time. Negotiations fell through, however, over disagreements on the concession rights tenure, Al Dulaim told Al Arabiya.

More than just port development: The Saudi Chambers of Commerce also inked an agreement with the Tanzania Chamber of Commerce, Industry, and Agriculture to set up a Saudi-Tanzanian Business Council to enhance cross-border cooperation and facilitate investments for Saudi and Tanzanian businesses, SPA reported on Thursday.

Trade in numbers: The Kingdom’s exports to Tanzania reached USD 1.44 bn in 2023, while its imports reached USD 31.4 mn, according to Trading Economics data.

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