Abstract

The motivation for movement struggle to end colonialism in Tanzania was to put in our own hands the development destiny of the country.  The development destiny of Tanzania will be in our control through industrialization.  This book is an attempt by many Tanzanian scholars and development practitioners to provide policy options on tracking industrialization and ultimately achieve the goals of Tanzania’s Development Vision (TDV) 2025.  The TDV 2025 aspires a nation that is characterized by high quality and sustainable livelihoods; peace, stability and unity; good governance a

The context of Tanzania is such that there is close link between achieving industrialization and achieving agricultural transformation. Increased growth in agricultural productivity, output and income contributes to a rapid reduction in rural poverty, supplies raw materials to industries and makes agriculture a market for industrial outputs. Policies that fail to take into account this nexus are bound to have little if any, impact in the overall national development.

Smart Industrialization in Tanzania: The Process

Industrialization entails structural transformation of a traditional economy dominated by primary activities into a modern economy where high-productivity activities in manufacturing assume an important role. Invariably this process remains a defining feature of economic development. This definition suggests that economic growth and development requires shifting production factors from low-productivity to high- productivity activities that allow for learning, externalities and higher profits and wages. But this process is not spontaneous or automatic.

This chapter assesses the prospects of regional value chains (RVCs) in car manufacturing in Africa, focussing specifically on Southern Africa (because of relatively advanced regional integration there).

China increasingly dominates global manufacturing and South Africa, while the largest industrial power in Africa, has lagged with the manufacturing sector’s share of GDP declining in a low growth economy. China’s industrial development has been synonymous with SEZs which operate on a vast scale. Chinese firms are increasingly investing in Africa and a growing share of this investment is in the manufacturing sector and also within SEZs.

The interdependence between agriculture and industry sectors has increased in developing countries where smallholder farmers dominate agricultural production.