Tanzania is increasingly seeking to attract investment that goes beyond capital inflows and contributes to domestic production, local value addition, stronger supply chains and technology transfer.
The approach is reflected in Tanzania’s investment and industrial development framework, with sectors such as manufacturing, agriculture and agro-processing, technology, energy, transport and infrastructure receiving significant attention.
According to the Tanzania Investment and Special Economic Zones Authority (TISEZA), the introduction of new and innovative technology, job creation and increased export-oriented manufacturing capacity are among the criteria considered for strategic investment projects.
Why Domestic Supply Chains Matter
Investment can have a broader economic impact when new projects establish links with local companies and suppliers.
A new manufacturing facility, for example, can create demand for domestic businesses providing:
- Raw materials
- Packaging
- Transportation
- Maintenance
- Technical services
- Warehousing
- Digital services
- Workforce and training
These business connections can help create stronger local supply chains around foreign and domestic investment projects.
Tanzania’s investment authorities also identify the development of local enterprises and linkages between investors and local SMEs as among the broader benefits of investment.
Tanzania’s Focus on Local Value Addition
A key element of Tanzania’s industrial strategy is increasing the processing and manufacturing of products within the country.
TISEZA identifies opportunities in areas including:
- Food manufacturing
- Agro-processing
- Chemicals
- Metals
- Machinery
- Transport equipment
- Construction materials
- Pharmaceuticals
- Food and beverages
as areas with investment potential.
For agriculture in particular, local processing can help move the economy from exporting raw commodities toward producing higher-value processed products.
Technology Transfer as an Investment Priority
Technology transfer is another important element of Tanzania’s investment strategy.
TISEZA’s criteria for strategic investors specifically include the introduction of new and innovative technologies.
Technology transfer can involve:
- Industrial automation
- Modern machinery
- Smart agriculture
- Food-processing technology
- Supply-chain management
- Logistics technology
- Energy systems
- Information technology
- Quality-control systems
Investment can therefore bring not only financial capital but also equipment, technical knowledge, training and modern production practices.
Special Economic Zones and Industrial Development
Tanzania is also using Special Economic Zones (SEZs) and Export Processing Zones (EPZs) to attract investment into productive activities.
In 2025, TISEZA announced five strategic SEZs designed to support industrial development and investment.
These included:
- Nala SEZ
- Kwala SEZ
- Buzwagi SEZ
- Bagamoyo Eco Maritime City
- Benjamin William Mkapa SEZ Expansion
According to TISEZA, these zones are being linked with major infrastructure such as SGR, ports and airports to support industrial development, exports, employment and technology transfer.
Tanzania’s Growing Investment Activity
TISEZA data indicates a significant increase in registered investment activity.
The number of registered projects increased from 252 in 2021 to 915 in 2025.
Over the same period, the value of approved investment capital increased from approximately $3.7 billion to $10.95 billion.
These figures refer to approved investment projects and capital values. Their eventual impact depends on project implementation and the extent to which approved projects translate into actual production, employment and local economic linkages.
Manufacturing, Import Substitution and Export Growth
Tanzania is also seeking to expand domestic manufacturing capacity in areas where demand is partly met through imports.
TISEZA identifies opportunities including:
- Edible oil production
- Sugar
- Food manufacturing
- Fruit and vegetable processing
- Dairy products
- Animal feed
- Construction materials
- Steel
- Industrial components and equipment
as areas with manufacturing potential.
This creates a potential dual objective:
Reducing import dependence + expanding export capacity
Agriculture and Value-Chain Development
Agriculture remains an important part of Tanzania’s economy, but investment opportunities are increasingly extending beyond primary production toward agricultural value chains and processing.
Recent 2026 investment discussions have highlighted agriculture, agribusiness value chains and digital technology among areas attracting private capital and development finance.
The investment opportunity can therefore extend across the full chain:
Production → Processing → Packaging → Storage → Transport → Export
Developing these links can increase the value generated within Tanzania before products reach regional or international markets.
Connecting Foreign Investors with Tanzanian Businesses
Productive investment can also create stronger connections between international companies and Tanzanian businesses.
A foreign manufacturing project may source part of its inputs and services from local companies, creating opportunities for SMEs and specialised suppliers.
These linkages can develop in areas such as:
- Industrial components
- Raw materials
- Packaging
- Engineering
- Transport
- Maintenance
- ICT
- Technical services
This makes local supply-chain development an important part of assessing the broader economic impact of investment.
Tanzania’s Investment and Business Environment Reforms
In September 2026, the Tanzanian government said it was reviewing investment laws, policies and institutional frameworks to create a more predictable business environment while ensuring that investments contribute to jobs, skills and local value addition.
TISEZA is also developing electronic services designed to centralise investment-related government services and allow investors to submit applications and track processes digitally.
For international investors, these reforms are relevant because investment decisions depend not only on market opportunities but also on regulatory procedures, incentives, licensing and implementation requirements.
Opportunities for Iranian Companies
Tanzania’s focus on manufacturing, supply chains and technology transfer may create opportunities for Iranian companies operating in:
Industrial Machinery
- Production machinery
- Packaging equipment
- Processing lines
- Factory equipment
- Industrial components
Agriculture and Food Processing
- Processing machinery
- Cold-storage equipment
- Irrigation systems
- Packaging technology
- Food-production lines
Technology
- Industrial automation
- Manufacturing software
- Supply-chain technology
- Quality-control systems
- Smart agriculture
Infrastructure and Logistics
- Warehouse equipment
- Transport systems
- Logistics management
- Port equipment
- Engineering services
Iranian companies considering Tanzania should assess market demand, import regulations, technical standards, competitors, local partners, financing and payment conditions before entering a specific segment.
What Tanzania’s Strategy Means for Iran–Tanzania Trade
Tanzania’s move toward local production and value addition could create opportunities beyond traditional product exports.
Iranian companies may potentially explore cooperation models involving:
Equipment supply + technology transfer + workforce training + production-line installation + after-sales services
Such models could be relevant to industries including food processing, agriculture, packaging, chemicals, machinery, industrial equipment and engineering services.
The suitability of each model would depend on the specific Tanzanian market, project structure and applicable regulations.
