AEF 2000 Industries

completed

The project is a greenfield project which will construct a confectionery factory. As well as providing high-quality confectionary to Tanzania, a significant proportion of output is expected to be exported to neighboring countries. The project has a strong development impact: (a) While Kenya''s competitiveness as the industrial center for East Africa has declined markedly in recent years, that of Tanzania has instead improved significantly. Despite this, inward investment in industrial projects has been limited. The proposed project should help demonstrate the attractiveness of Dar es Salaam as an industrial location; (b) The project is forecast to create 150 jobs; and (c) Generate foreign currency earnings of over $ 2 million per annum within five years, as well as saving forex currently spent on confectionery imports. IFC''s Role is : (a) Long-term lending: in Tanzania there is a dearth of term finance; (b) Catalyst: IFC’s participation in the project is expected to be instrumental in bringing in a domestic financial institution; and (c) Marketing and business development assistance: in particular, the IFC consultant has helped the management of 2000 Industries map out an export strategy and refine their business strategy. Also, the IFC project team has been exploring ways in which the distribution and marketing methods used can have a positive social impact.