By Mwanamkasi Jumbe
The leadership of Kisarawe District Council has issued a formal invitation to private investors to install processing machinery in a newly constructed factory, as the district moves to industrialise its agricultural sector.
The District Investment Officer, Mr Joachim Costa, stated that the council is seeking a public-private partnership (PPP) model to operationalise the facility. Under the proposed arrangement, the government provides the infrastructure while the private partner supplies the technology and technical expertise.
A strategic investment in value addition
The factory, which has cost TSh 2.9 billion to date, is currently 89 percent complete. Once fully operational, it is designed to add value to the raw cashew nuts (RCN) produced within the district, moving away from the traditional export of raw crops.
“We view this as a significant opportunity for the private sector,” Mr Costa explained. “We are offering the physical building and infrastructure; the investor brings their machinery and we begin production. We are open to negotiating flexible terms on how the operations and profit-sharing will be managed.”
He emphasised that the council is eager to review applications from both local and international investors to ensure the factory, which has a processing capacity of five tonnes of cashews per day, begins work as soon as possible.
National context and industrialisation
This move aligns with Tanzania’s broader national industrialisation drive. Despite being one of the world’s largest producers of cashew nuts, Tanzania has historically exported over 90 per cent of its crop in raw form, primarily to Vietnam and India, for processing.
By processing locally, Kisarawe aims to capture a larger share of the global cashew market value, create employment for local youth, and reduce the post-harvest losses that often plague smallholder farmers. Value addition – which includes shelling, peeling, and grading – can significantly increase the export value of the crop compared to selling raw nuts.
Kisarawe’s agricultural footprint
Kisarawe is a key player in the cashew sector within the Coast Region. During the recently concluded 2025/2026 harvesting season, the district produced 700 tonnes of cashew nuts. Local officials believe that having a dedicated processing plant within the district will incentivise farmers to increase production, knowing they have a reliable, high-value market nearby.
Speaking to Business Insider, Kisarawe District Commissioner, Petro Magoti, noted that the cashew factory is just the beginning of a wider economic awakening for the area.
“The district is blessed with diverse investment opportunities beyond agriculture,” Mr. Magoti said. “From livestock ranching and large-scale farming to mining and eco-tourism, Kisarawe is strategically positioned near the commercial hub of Dar es Salaam, making it a prime location for savvy investors.” As the factory nears its final 11 percent of construction, the council’s call for partners signals a shift towards a more business-friendly local government, aimed at transforming Kisarawe into a regional industrial hub.
