JOIN USAt a time when trade between Tanzania and India is blooming, Tanzanian MP Zitto Kabwe believes that firms from Karnataka can reap profits if they set-up their business in the east African nation.
Speaking to Deccan Herald during his visit to the city on Sunday, Kabwe said Indian industries could venture into a variety of areas, including agriculture, food processing, automobiles, power generation, mining and exploration of gas resources.
Kabwe revealed that Prime Minister Manmohan Singh had set aside $10 billion for helping industries improve trade with Tanzania.
Observing that Tanzania imports more than six lakh tonnes of sugar each year, he said cultivation of sugar was gaining prominence in the country. While one company has already availed land provided by the government of Tanzania, he said, investors are welcome to cultivate sugar in the extensive lands available in the country.
Noting that there is no shortage of cultivable land in Tanzania, he said 75 per cent of GDP is dependent on agriculture. He said food processing companies can reap benefits if units are started in the country. Also, Tanzania has the second largest freshwater lake — Tanganyika — which he believes the fishing industry can cash in on.
Being the largest exporter of raw cashew to India, he said if business firms set-up plants in Tanzania, the costs could be reduced hugely.
He said Karnataka could benefit as only the Indian Ocean separates it from Tanzania.
He said natural gas resources are in abundance in the country and Karnataka should make use of it by setting-up extraction units.
However, despite having immense natural resources, he said the country was yet to reap the maximum benefits from mining. Citing an example, he said $2.4 billion worth gold was exported from Tanzania. However, the government could earn a revenue of only $243 million. The government is working to solve such issues and secure better returns for the country, he added.
Even as 260 students from Tanzania are pursuing higher education in the city, he emphasised on the need for encouraging a larger student exchange programme.
Kabwe said that Right To Education (RTE) Act introduced in India could help the education system in his country. Mentioning that he had read about the RTE Act, he believed the law would improve the education system.