Tazara is set to receive a $1.4 billion investment from CCECC to rehabilitate railway tracks and procure new locomotives and wagons. This partnership aims to enhance transport services, address operational challenges, and foster trade between Tanzania and Zambia under a 30-year concession agreement.
The Tanzania-Zambia Railway Authority (Tazara) is poised to receive a substantial investment of $1.4 billion from the China Civil Engineering Construction Corporation (CCECC). This funding is aimed at restructuring Tazara’s operations to bolster safety, efficiency, and capacity. Central to the deal is CCECC’s commitment to invest $1 billion in rehabilitating railway tracks and an additional $400 million in 32 locomotives and 762 wagons to enhance transport services for both freight and passengers.
Tazara’s managing director, Mr. Bruno Ching’andu, announced this development at the Zambia International Mining and Energy Conference (ZIMEC 2025) in Kitwe, Zambia. Negotiations with CCECC are ongoing, who not only constructed the infrastructure originally but are now collaborating with Tazara under a memorandum of understanding established during the Forum on China–Africa Cooperation (FOCAC).
At ZIMEC, Mr. Ching’andu indicated that this investment constitutes a pivotal step towards revitalizing Tazara into a more robust transport corridor. He outlined that the agreement is designed as a 30-year concession, with early stages focused on construction and rehabilitation before moving to operational management.
Mr. Ching’andu stated that the partnership with CCECC would be instrumental in addressing operational challenges and restoring efficiency within Tazara. The $1 billion dedicated to rehabilitating railway tracks and the $400 million toward rolling stock will implement regular maintenance throughout the concession period to support sustainable operations.
The concession will not only focus on enhancing Tazara’s operational framework but is expected to significantly increase the annual tonnage capacity from 500,000 metric tonnes to around two million metric tonnes. The initiative promises to enhance regional trade, reduce transport costs, and improve logistical connectivity along the Dar es Salaam corridor, which is critical for landlocked Zambia.
In summary, Tazara’s impending $1.4 billion investment from CCECC marks a significant evolution in its operations, focusing on enhancing efficiency, safety, and capacity. With a structured 30-year concession aligning with Tazara’s long-term goals, the undertaking aims to address historical operational challenges and foster regional connectivity and trade. This collaborative effort between Tazara and CCECC is set to revive the railway’s role as a central transport route for Zambia and Tanzania.
Original Source: www.thecitizen.co.tz
