Prospects for efficient export processing zones: the case of international trade promotion in Tanzania

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Unversity of Dar es Salaam
This paper presents the prospects for efficient Export Processing Zones (EPZs): The case of international trade promotion in Tanzania. It explains the opportunities that Tanzania has through Export Processing Zones to promote international trade and sustainable development. It suggests that through EPZ Tanzania could improve productivity, export supply capacity, employment and Foreign Direct Investment. The paper finds that EPZ in Tanzania requires participation of various sectors; not only government by itself but through state collaboration with the private sectors. Existing EPZs examples include the Millennium Business Park. The EPZ in Tanzania face the challenge of poor infrastructure as well as the insufficient number of investors compared to other countries which have benefited from EPZ due to the effective infrastructure plus sufficient investment in their EPZ sectors like Kenya and Mauritius EPZ. Therefore, it is recommended that the government (through the Export Processing Zones Authority), in collaboration with all relevant EPZ stakeholders, devise an efficient and effective mechanism for financing export-enhancing infrastructures; and that special purpose vehicles in public-private partnership arrangements provide one such option. Other policy measures should include a review for streamlining the incentive regime, addressing inefficiencies at the Dar es Salaam port, financial empowerment for domestic export-oriented SMEs, enhanced stakeholder awareness of EPZ legislation and practices, and marketing of the EPZs products regionally and globally.
Available in print form, East Africana Collection, Dr. Wilbert Chagula Library, Class mark (THS EAF LB2826.6.T34M32)
Education, Secondary, Education, Finance, Makambako Town Council, Njombe region, Tanzania
Colman, L. (2010) Prospects for efficient export processing zones: the case of international trade promotion in Tanzania, Master dissertation, University of Dar es Salaam, Dar es Salaam