Trade & Industry

Tanzania Upgrades Dar es Salaam Port as Regional Trade Grows

Egyptian construction group EDECS has started work to modernise Terminal 1 at Tanzania’s Port of Dar es Salaam under a contract awarded by DP World, which operates the terminal under concession. The project covers the construction of seven cargo-handling yards spanning 90,000 square metres, along with supporting infrastructure. EDECS will also install fire protection systems

Tanzania Upgrades Dar es Salaam Port as Regional Trade Grows

Tanzania Upgrades Dar es Salaam Port as Regional Trade Grows

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Egyptian construction group EDECS has started work to modernise Terminal 1 at Tanzania’s Port of Dar es Salaam under a contract awarded by DP World, which operates the terminal under concession. The project covers the construction of seven cargo-handling yards spanning 90,000 square metres, along with supporting infrastructure. EDECS will also install fire protection systems and high-mast lighting as part of the upgrade. The work is aimed at increasing cargo handling and storage capacity while introducing more digital systems into terminal operations.

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Dar es Salaam Port Handles More Cargo

The upgrade comes as cargo volumes at Dar es Salaam continue to increase. The port handled 33.7 million tonnes during the 2025/26 financial year, up from 27.7 million tonnes the previous year. Container traffic at Terminal 1 has also increased sharply. According to EDECS, monthly volumes rose from 13,779 TEUs in May 2024 to 46,582 TEUs in July 2026, which was a monthly record. DP World announced an initial $250 million investment in Dar es Salaam in 2023 to modernise the port. The company’s wider investment programme could eventually reach $1 billion.

The programme is expected to reduce vessel waiting times from five days to 24 hours. Cargo clearance times are also expected to fall from about 60 hours to around 12 minutes. Port traffic could reach 47.57 million tonnes by 2032/33, compared with 20.6 million tonnes in 2021, while revenue is expected to triple.

Tanzania Strengthens Inland Links

Tanzania is also investing in rail and inland logistics infrastructure to strengthen Dar es Salaam’s position as a regional gateway. The port serves landlocked markets including Burundi, Uganda, the Democratic Republic of Congo and Zambia. Tanzania is expanding its standard-gauge railway (SGR) network to improve connections between the port and inland destinations.

The Kwala terminal and its rail connection are intended to improve the movement of cargo between Dar es Salaam and inland markets. These investments come as East African ports compete for regional cargo. Kenya is also expanding the capacity of the Port of Mombasa and working to extend its SGR towards Uganda, strengthening the rail connection between Mombasa and inland markets.

Reporting for Business Tech Africa on the funding, tools and strategy shaping the continent's founders and SMEs.

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