MIL OSI Translation. Region: Russian Federation –
In connection with the new political course of Tanzania, new investors are coming to the market of this African country. In our time, the still fairly free market of this country is undergoing positive changes. In 2020 alone, the trade turnover between Russia and Tanzania amounted to $ 217 million, and every year the growth is renewed by several tens of percent.
According to business representatives of Tanzania, despite the fact that the previous president of the country, John Magufili during his tenure, almost destroyed the economy, expelling foreign investors who want to start a business on the African continent is not decreasing. On the contrary, Samia Hassan Sulukhu, who succeeded him as president, expressed a desire to see more investors with foreign capital, which has become attractive for a number of countries, including Russia.
Possessing huge natural and human resources, the country is able to implement the most ambitious plans and fulfill the presidential development program on schedule. Economic growth and the introduction of modern technologies are helping to strengthen Tanzania’s position among the rest of Africa. At the 2019 Russia-Tanzania summit, diplomatic ties were established. It should be noted that all 54 African countries sent their delegations to Russia. After the summit, specialized structures were created.
Today, the Tanzanian market covers at least 60 million people. It is not surprising that the existing competition among foreign investors has become extremely acute. At first, Great Britain held the leading position in most local markets, later the leading positions were taken by the Americans. Now China is the first to invest in the country. The local population is not satisfied with the current situation, there are many complaints about the quality of imported goods. The country is now not in a position where it is necessary to give preference to quantity, but is aimed at obtaining high-quality trade turnover and establishing long-term relations between partner countries. Like many countries on the way of development, Tanzania needs foreign capital, advanced technologies used throughout the world, as well as highly specialized specialists who are able to work in international markets. Business people in Tanzania are in dire need of additional practical knowledge and skills to run a big business. entrepreneurship.
By the amount of export products coming to Tanzania from Russia, one can judge the country’s need for quality products, goods and services. Thus, food products and agricultural raw materials account for almost 81% of the $ 217 million of total trade between the countries. This allows us to conclude that the quality and level of manufactured products in Tanzania have not yet reached the level of covering the country’s domestic needs. As Yuri Korobov, President of the Society for Friendship with Tanzania, Business Ambassador of Delovaya Rossiya in Tanzania, a member of the Russian Geographical Society, noted: “Tanzania is a fairly promising country for investment. We see a wide range of possible ways of cooperation for ourselves. Agriculture at the moment seems, in our opinion, the most promising and less risky direction. We are now closely studying the features and specifics of local legislation and form an agenda for long-term cooperation between our countries as business partners. “
In the current geopolitical situation, Yuri Korobov sees new opportunities for the development of mutually beneficial economic relations between the countries. An increase in trade and business growth in Tanzania with the arrival of Russian investors, in his opinion, may soon lead to positive changes for both countries. To date, they have proposed an initiative to create a platform to help Russian businesses to start a business in an African country. Spheres such as agriculture, tourism and the supply of Russian products are the most demanded industries with a high level of profitability. The virtual absence of big business in Tanzania will also play into the hands of new players. And the launched program of education for Tanzanian students and teaching them the Russian language will allow them to better interact with the local population.
“Tanzania is actively developing, although the standard of living here is noticeably lower than what is required for a country with such potential – most of the population is at the level of the 2000s we passed. This gives us hope that the best and” golden “years are ahead of them. by far the most opportune moment to invest in the country, “Yuri Korobov believes.
The creation of a commercial structure that will help Russian entrepreneurs easily overcome all the nuances of Tanzanian legislation – from recruiting personnel, determining the tax regime to finding places to sell products – seems to be very relevant. The structure created by the team of Yuri Korobov will open up a new promising direction for the development of Russian business on the African continent. The economic and technological growth of Tanzania, which is already taking place today, shows how well the moment has been chosen for the entry of Russian business into promising African markets.
A source: Russian newspaper
EDITOR’S NOTE: This article is a translation. Apologies should the grammar and / or sentence structure not be perfect.