Tanzania's industrial sector has evolved through various stages since independence in 1961, from nascent and undiversified to state-led import substitution industrialization, and subsequently to de-industrialization under the structural adjustment programmes and policy reforms. The current development agenda, however, has brought industrial development back to be one of the policy priorities. This paper aims at examining the performance of the manufacturing sector, with particular interest in identifying the emerging manufacturing subsectors, drivers of their success, and challenges for sustained competitiveness. The paper shows that manufacturing growth over the last ten years has helped to sustain GDP growth. The growth in manufacturing notwithstanding, it remains largely undiversified, and vulnerable to variations in agricultural production and commodity prices. The most dynamic subsectors in terms of output growth, export growth, production innovation and product diversity are food products, plastic and rubber, chemicals, basic metal work, and non-metallic mineral products. Nevertheless, the domestic value addition is limited by the dependence of imported intermediate goods, signifying limited inter-industry linkages that are important for promoting domestic manufacturing base and employment. Various technological, financial, policy, and administrative constraints remain unresolved and therefore, limiting faster industrial growth and transformation.
This research is funded by the Norwegian Embassy in Tanzania, which is gratefully acknowledged. We are also grateful to Odd-Helge Fjeldstad, Kendra Dupuy, Siri Lange, Jan Isaksen and participants at the REPOA Annual Workshop 2016 for useful comments.
The purpose of this article is to analyze Africa's progress along the developmental path in the past few decades, to understand what factors were responsible for such success and to identify the risk factors that may compromise further development in the region in the years to come. We advance three basic claims: that Africa has experienced an almost unprecedented (by its standards) level of economic success in the first 15 years of the new millennium, that this success was made possible by a combination of domestic and supranational conditions, and that some of the enabling conditions that supported Africa's growth and development in the new millennium may be disappearing. The study also suggests that while African countries may not be able to influence the global conditions on which their economic success depends, they do have the ability to influence the domestic conditions. This is why, we suggest, in addition to ensuring longer and healthier lives for their citizens, African countries should consolidate democracy and promote good governance.
For most of the post‐WWII era, scholars have attempted to understand, define, and measure development. A large and growing body of work has in fact investigated its causes and the consequences and has dissented as to whether tourism represents a proper determinant of growth and development. Yet, while scholars have started investigating the contribution that tourism can make to economic growth and development from the 1970s onward, considerably less attention has been paid to assessing whether tourism‐induced growth is pro‐poor or not—that is, whether tourism‐induced growth and development contribute to the reduction of poverty and income inequality.
Building on data collected from several institutional sources and on the insights gathered in the course of several interviews with the officials from the Ministry of Natural Resources and Tourism, we wish to investigate the relationship between the development of the tourism industry, economic development, employment and income inequality in Tanzania.
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