The China Civil Engineering Construction Corporation plans to invest $1.4 billion to upgrade the Tanzania-Zambia railway (TAZARA) under a 30-year concession. This investment addresses challenges in the railway’s operations, enhancing mineral export capacities, particularly for copper and cobalt. The effort reflects China’s commitment to improve TAZARA amid rival transport initiatives backed by the United States.
The China Civil Engineering Construction Corporation (CCECC) is set to invest $1.4 billion to enhance the Tanzania-Zambia railway (TAZARA) through a 30-year concession. This investment follows an evaluation by the railway’s operator aimed at addressing longstanding operational challenges as competition escalates for Africa’s vital mineral resources.
The TAZARA railway is a significant artery for copper exports from central Africa, facilitating an essential route that circumvents logistical delays in South Africa that hinder copper and cobalt shipments. This upgrade aims to alleviate these bottlenecks, thus optimizing export capacity.
Bruno Ching’andu, the CEO of the TAZARA Authority, stated, “The decision to grant a concession follows an in-depth evaluation of TAZARA’s challenges over the years, which necessitated urgent intervention.” Last year, China expressed a commitment to support the revitalization of the TAZARA amidst growing competition from other initiatives, notably the Lobito corridor in Angola, backed by the United States.
The investment by CCECC signifies a strategic move to enhance the TAZARA railway, crucial for the efficient export of minerals from central Africa. This development is timely, considering the increasing demand for copper and cobalt in global markets. Furthermore, it illustrates the competitive landscape for transport infrastructure in Africa, particularly as nations vie for dominance in mineral exports.
Original Source: thefinancialexpress.com.bd
