China’s CCECC will invest $1.4 billion to upgrade the Tanzania-Zambia railway (TAZARA) under a 30-year concession, addressing logistical challenges in exporting critical minerals like copper and cobalt from central Africa.
The China Civil Engineering Construction Corporation (CCECC) has announced a significant investment of $1.4 billion for a 30-year concession aimed at upgrading the Tanzania-Zambia Railway (TAZARA). This initiative reflects the growing competition for Africa’s vital mineral resources, particularly copper and cobalt.
TAZARA serves as a crucial transportation route for copper exports originating from central Africa, allowing exporters to circumvent logistical challenges prevalent in South Africa. As a result, this railway enhancement is viewed as essential for improving the flow of these critical minerals to market.
Bruno Ching’andu, the CEO of TAZARA Authority, commented on the investment, stating, “The decision to grant a concession follows an in-depth evaluation of TAZARA’s challenges over the years, which necessitated urgent intervention.” This underscores the railway’s longstanding operational issues and the urgent need for modernization.
Last year, China pledged support for revitalizing TAZARA, coinciding with the United States’ focus on a competing mineral transport corridor known as Lobito, associated with an Angolan port.
In conclusion, CCECC’s investment in the TAZARA railway is pivotal for enhancing logistics for copper and cobalt exports from central Africa. This development addresses long-standing operational challenges while increasing competitiveness in the mineral industry. The collaboration underscores China’s commitment to African infrastructure, particularly in light of emerging rival transport initiatives.
Original Source: thefinancialexpress.com.bd
