Tanzania to build 9,048 factories, targeting 6.5M jobs by 2032
Plan focuses on rural industry, youth entrepreneurship, and value-added agriculture
New SEZs offer incentives; over 200 factory projects pre-approved
Tanzania plans to build 9,048 factories over the next six years, a program expected to create 6.5 million jobs, Industry and Trade Minister Judith Kapinga said on Saturday.
Speaking at a press conference on Jan. 24, 2026, Kapinga said the strategy aims to expand the industrial base by increasing factory capacity and employment. The government is seeking to promote factory construction in rural and peri-urban areas, she added.
The program also targets higher farmer incomes through value-added processing of agricultural products and aims to create opportunities for thousands of young people, who are expected to become factory owners and business managers within industrial zones.
Tanzania’s economy is relatively diversified. Agriculture accounts for about a quarter of total value added, while industry represents roughly one-third and services make up the rest.
According to Tanzania Investment and Consultant Group Ltd (TICGL), the industrial sector grew by 5.5% in the third quarter of 2024, driven mainly by manufacturing.
In August 2025, Tanzania launched five special economic zones on the outskirts of Dar es Salaam to attract investment in priority sectors, including textiles and apparel, pharmaceuticals, automotive assembly, agro-processing, electronics and renewable energy.
The country is offering incentives to attract foreign direct investment, including tax breaks, infrastructure support, a special customs regime and simplified administrative procedures.
At the launch of the SEZs, Gilead Teri, director general of the Tanzania Investment and Special Economic Zones Authority (TISEZA), said Tanzanians seeking to set up factories in the zones would be granted land at no cost, provided construction is completed within one year. He added that more than 200 factory projects have already received pre-approval.
Lydie Mobio