AfCFTA Fuels Surge in Tanzania’s Export Earnings

Accra: Tanzania's export earnings surged by 40 per cent in 2024, reaching 3.94 billion US dollars from African markets alone, as the government intensified efforts to secure reliable markets for locally produced goods and unlock new jobs for young people. Speaking to the media this week, Minister for Industry and Trade Judith Kapinga highlighted the impact of regional and global market access on Tanzania's industrial and commercial sectors, stating that assured markets are central to sustaining production and expanding trade. According to Nam News Network, Kapinga emphasized that intra-African trade under the African Continental Free Trade Area (AfCFTA) has been a major driver of this export surge. The growth was propelled by increased exports of agricultural and industrial products, including coffee, tobacco, glass products, cereals, spices, and sisal fibers. AfCFTA has opened new markets for Tanzanian products in countries such as Nigeria, Morocco, Senegal, Ethiopia, Ghana, Algeria, Djibouti, and Guinea, c reating opportunities for exporters across multiple sectors. Kapinga noted that the government has launched a National Strategy for the Implementation of the African Continental Free Trade Area to ensure citizens are well positioned to benefit from the continental market and maximize gains for the national economy. Beyond Africa, Tanzania has strengthened its presence in the European market, with exports to the European Union rising from 633.5 million US dollars in 2023 to 686.3 million US dollars in 2024, driven by higher exports of avocados, cocoa, coffee, tobacco, and minerals. Turning to Asia, Tanzania earned 2.84 billion US dollars from exports to Asian markets in 2024, slightly down from 2.92 billion US dollars in 2023. Key products contributing to exports to Asia included cashew nuts, pulses, avocados, cotton, groundnuts, and goat meat. Kapinga mentioned that the government is preparing a National Export Strategy to place young people at the center of its implementation, aiming to expand export volum es and diversify Tanzania's trade portfolio. Kapinga also highlighted the importance of addressing structural challenges to participate effectively in trade, particularly the need to accelerate the formalization of businesses and improve digital systems that support investors and entrepreneurs. She mentioned that significant progress has been made in simplifying business registration and licensing procedures, with regulatory institutions being reoriented to facilitate rather than enforce. As part of ongoing reforms, all business registration and licensing services are now offered online through electronic platforms like the Online Registration System (ORS), the Tanzania National Business Portal (TNBP), and the Beneficial Ownership Portal (BO). These systems have improved service delivery by making processes faster and more accessible. Additionally, the Business Registrations and Licensing Agency (BRELA) established a Customer Service Call Centre to enhance communication with customers and improve the speed at which challenges are addressed.