Tanzanian MPs urge progress on revival plan for tyre plant

Tanzanian Members of Parliament on Wednesday asked the government to provide a detailed report on the revival of General Tyre East Africa, a plant for manufacturing motor vehicle tyres based in northern region of Arusha.

The MPs forming a parliamentary committee on Industries, Trade and Environment said the government should submit the detailed report of the revival plan of the firm in two weeks' time.

The MPs made their request during a meeting with officials from the Ministry of Trade and Industry in the east African nation's political capital Dodoma.

They said the report should state who will run the firm, whether the private sector, the state or a joint venture between the state and the private sector.

The lawmakers expressed disappointment over the way the government has handled the whole process of reviving the industry which was closed in 2007 after it failed to compete with imports of cheap tyres.

"We expect the government to furnish us with detailed report showing how the revival process of the firm will be undertaken and who will manage it," said Peter Kafumu, chairman of the parliamentary committee.

Kafumu said the government has been setting budget allocations for the industry in the past years but nothing tangible has been done, creating fear that efforts to revive the industry might not bear any fruits.

The MPs reaction came after the Permanent Secretary in Ministry of Industry, Trade and Investment, Adelhelm Meru, had told the committee that the government has formed a team of experts to conduct a survey on the plant.

He said the main objective of the team is to undertake a technological survey of the global tyre production industry and propose the way forward for Tanzania to become a regional player in tyre manufacturing.

"The team shall identify main types and sizes of tyres in the local market and estimate current and future demand for each type," said Meru. Endit