Assessing export processing zone investments and industrial development in Tanzania

The main objective of this study was to assess Export Processing Zone investments and industrial development in Tanzania. More specifically, the study intended to examine the proportion of capital invested in EPZA industries against total capital invested in industrial sector, to examine proportionate contribution of EPZA investment programs to the export performance of the country, and to determine proportionate contribution of EPZA industries to the total employment level of the country. The study covered thirty-five different firms registered under EPZA which were randomly selected. The descriptive method of data analysis was used in analyzing and presenting the data where by tables, graphs and charts were used. The study findings revealed that EPZA contribution to industrial development is still small as its contribution to total capital invested in the country; contribution to the total export of the country and contribution to the total employments of the country is very insignificant. Moreover, the study further revealed that, EPZA has a promising future as it was found that increase in EPZ capital, exports and employments increases in a greater rate as compared to total capital invested in the country, total exports of the country and the total national employments. All these variables were found to increase proportional to the increase in number of firms registered under EPZ and also proportional to the expansion in scale of operation of the firm. Therefore, it was concluded that the EPZA has a promising future to the industrial development of the country as its capital; exports and employments increase rates are greater than the increase in total capital, total exports and total employments of the country.