Dangote Begins Investment Talks With Tanzania on Fertiliser, Energy Projects

Africa's richest man, Aliko Dangote, has moved a step closer to expanding his industrial footprint in East Africa after the Tanzanian government formally opened negotiations on a series of proposed investments covering fertiliser production, energy and transport infrastructure.

The talks began following a high-level meeting in Dar es Salaam between Dangote and Tanzanian President Samia Suluhu Hassan, who directed relevant ministries and government agencies to immediately commence technical discussions with the Dangote Group.

The move marks the first formal stage in what could become one of East Africa's largest private-sector investment programmes, reinforcing Tanzania's ambition to become a regional manufacturing and industrial hub.

Speaking after the meeting, Dangote said the proposed investments would focus on sectors capable of delivering long-term value to Tanzania while supporting industrialisation.

"We have identified areas that can deliver significant value for Tanzania, and we are ready to work together to develop them for mutual benefit," he said.

Dangote noted that Tanzania has significant potential to transform its abundant natural resources into higher-value industrial products instead of exporting raw materials, a model that has driven the growth of the Dangote Group across cement, fertiliser, petrochemicals and refining.

The proposed partnership centres on three strategic sectors, fertiliser manufacturing, energy development and transport infrastructure, which are critical to Tanzania's economic transformation agenda.

A local fertiliser plant would significantly reduce East Africa's dependence on imported fertiliser, helping to lower production costs for farmers, improve food security and position Tanzania as a major supplier within the East African Community.

Dangote Group already operates Africa's largest granulated urea fertiliser complex in Nigeria, with an annual production capacity of about three million metric tonnes, giving it extensive expertise in large-scale fertiliser production.

Energy is expected to play an equally important role in the proposed investments.

Tanzania possesses an estimated 57 trillion cubic feet of proven natural gas reserves, among the largest in East Africa. Natural gas is the primary feedstock used in urea production, making reliable gas supply a key factor for any fertiliser investment.

The country's Mtwara region combines abundant gas reserves, access to the Port of Mtwara and available industrial land, making it an attractive location for energy-intensive industries.

Dangote is already an established investor in Tanzania through his three-million-tonne-per-year cement plant in Mtwara, one of the country's largest industrial facilities.

The latest negotiations also highlight growing competition between Tanzania and Kenya to attract Dangote's next wave of investments.

Both countries have expressed interest in hosting the billionaire's proposed East African oil refinery, regarded as one of the region's most anticipated industrial projects.

Kenya has promoted Mombasa as a preferred location because of its deep-water port, established petroleum infrastructure and large domestic fuel market.

However, Tanzania has intensified efforts to keep the investment within its borders after reports suggested the refinery could be located elsewhere.

Following his meeting with President Samia, Dangote reiterated that Tanzania remains under consideration.

"It doesn't matter where the location is, and Tanzania, we have offered Tanzania to also be a part owner of this refinery," he said.

Beyond the refinery project, however, the latest discussions suggest Tanzania is pursuing a broader industrial partnership that extends to fertiliser manufacturing, energy infrastructure and transport projects.

Government officials and Dangote Group representatives are expected to begin detailed negotiations on land allocation, natural gas supply, infrastructure access, regulatory approvals and commercial terms required to support the proposed investments.

The outcome of the discussions could unlock billions of dollars in private-sector investment while strengthening Tanzania's position as a manufacturing and logistics hub serving East and Central Africa.

For Dangote, the expansion represents another major step in replicating across Africa the industrial model he developed in Nigeria using large-scale investments in manufacturing, energy and infrastructure to drive regional economic growth and reduce import dependence.