How Tanzania’s multibillion-dollar infrastructure bet is paying off at Dar Port

TUESDAY June 23, 2026

By Adam Ihucha

Tranquillity News Correspondent, Tanzania

For more than two decades, East Africa’s logistics landscape has been shaped by a fierce rivalry between two ports separated by less than 300 miles of coastline:

Today, the Tanzania’s Port of Dar es Salaam and the Kenya’s Port of Mombasa‘s rivalry appears to be entering a new phase.

After years of heavy investment in port infrastructure, cargo-handling equipment, transport corridors, and operational reforms, Tanzania is beginning to see tangible returns on its infrastructure strategy.

The clearest evidence yet comes from the latest global port performance rankings, where Dar es Salaam has recorded one of the most dramatic improvements anywhere in the world.

According to the 2025 Container Port Performance Index (CPPI), published by the World Bank in partnership with S&P Global Market Intelligence, the Port of Dar es Salaam climbed 105 places globally, rising from 360th in 2024 to 255th in 2025.

The jump makes Dar es Salaam the highest-performing port in East Africa on the efficiency index.

Meanwhile, the Port of Mombasa moved in the opposite direction, falling from 375th place to 396th over the same period, underscoring a widening divergence between the region’s two principal maritime gateways.

For investors, logistics operators and policymakers, the rankings represent far more than an operational scorecard.

They provide early evidence that Tanzania’s multibillion-dollar investments in ports, railways, and trade infrastructure are beginning to reshape regional commerce and challenge Mombasa’s long-held dominance as East Africa’s primary gateway.

The dividend from strategic investment

The rise of Dar es Salaam is not the result of a single project. Rather, it reflects a coordinated effort to modernize Tanzania’s logistics ecosystem.

Over recent years, the government has invested heavily in port modernisation, cargo-handling equipment, berth upgrades, transport connectivity and trade facilitation reforms.

These investments have been complemented by broader infrastructure projects, including the expansion of the Standard Gauge Railway (SGR), one of the largest transport investments currently underway in Africa.

The Dar es Salaam–Dodoma section alone represents a $3.1 billion investment and forms part of a planned 2,561-kilometre rail network designed to connect the port with inland markets and neighbouring countries, including Burundi and the Democratic Republic of the Congo (DRC).

The strategy is straightforward: Reduce logistics costs, shorten transit times, and position Tanzania as the preferred gateway for East and Central Africa’s growing economies.

According to Tanzania Ports Authority (TPA) Director General Plasduce Mkeli Mbossa, those investments are already translating into measurable performance gains.

“Port efficiency has increased by approximately 98 per cent due to the reduction in vessel service times,” said Mr. Mbossa.

“This is a sign that Tanzania has begun to reap the benefits of the substantial investments made in the port sector under the leadership of the President, Dr Samia Suluhu Hassan, where increased efficiency means transport costs can decline, cargo reaches markets faster, and the competitiveness of trade both domestically and internationally increases,” he added.

His assessment points to a broader economic reality: Infrastructure investments create value only when they improve productivity.

For ports, productivity is measured in time. Every hour saved in vessel turnaround lowers shipping costs, improves asset utilisation and increases the attractiveness of a trade corridor.

In a sector where margins are thin and reliability is increasingly prized, efficiency can become a decisive competitive advantage.

Why Dar Port matters to seven economies

Dar es Salaam Port’s significance extends far beyond Tanzania’s borders.

The port serves as a primary gateway for several landlocked economies, including Zambia, DRC, Rwanda, Burundi, Malawi, Uganda, and Zimbabwe.

Together, these countries represent a market of more than 300 million people and some of Africa’s most resource-rich economies.

Official statistics show that in the 2024/25 fiscal year, Tanzanian ports handled approximately 12.6 million tonnes of transit cargo destined for neighbouring countries.

“Port efficiency has increased by approximately 98 per cent due to the reduction in vessel service times,” Tanzania Ports Authority Director General Plasduce Mkeli Mbossa.

The DRC accounted for nearly 6 million tonnes, Zambia 3.5 million tonnes, and Rwanda 1.7 million tonnes, with additional cargo moving to Malawi, Burundi, Uganda, and Zimbabwe.

These figures underscore why the competition between Dar es Salaam and Mombasa is worth billions of dollars.

The stakes extend beyond port revenues. Transit cargo supports customs collections, warehousing, trucking, rail transport, insurance, logistics services, and industrial development throughout the supply chain.

The port that captures these flows becomes a magnet for investment, business activity, and job creation.

The significance of these trade corridors is amplified by the nature of the economies they serve.

The DRC is home to some of the world’s largest reserves of copper, cobalt, and other critical minerals that are essential to electric vehicles, battery manufacturing, and the global energy transition.

Zambia remains one of Africa’s leading copper producers, while Rwanda, Uganda, Malawi, and Burundi are among the region’s fastest-growing consumer markets.

As global demand for critical minerals and manufactured goods increases, efficient access to international shipping routes is becoming a strategic economic advantage.

Geography is finally working in Tanzania’s favour

Infrastructure alone does not explain Dar es Salaam’s ascent.

Geography remains one of the port’s most underappreciated strengths.

Located on the Indian Ocean and positioned along major shipping lanes linking Africa with Asia, the Middle East, and Europe, Dar es Salaam offers a natural gateway into Central Africa’s vast hinterland.

Its strategic location is becoming increasingly valuable as global shipping companies seek efficient trade corridors connecting mineral-producing regions of the DRC and Zambia with international markets.

The port’s integration with the Tanzania-Zambia Railway Authority (TAZARA) network and the expanding Standard Gauge Railway further strengthens its position by reducing inland transport bottlenecks that have historically constrained regional trade.

For exporters of copper, cobalt, and other critical minerals, even modest reductions in transit times can translate into significant commercial gains.

The President – Dr. Samia – factor

Dar es Salaam’s rise also reflects the broader economic agenda of the President, Dr Samia Suluhu Hassan, whose administration has placed infrastructure development at the centre of Tanzania’s growth strategy.

Ports, railways, roads, and logistics networks are increasingly being viewed not as standalone projects but as components of a larger economic platform designed to attract investment, stimulate industrialisation, and deepen regional integration.

“TPA is taking major and deliberate steps to expand infrastructure across all its ports in order to address these challenges and ensure that the economic growth of Tanzania and the countries that use our ports is supported by world-class port services,” Tanzania Ports Authority Director General Plasduce Mkeli Mbossa.

The latest CPPI rankings suggest that the strategy is beginning to yield measurable results.

More broadly, the improvements strengthen Tanzania’s ambition to position itself as a regional logistics and trade hub at a time when East Africa is among the world’s fastest-growing economic regions.

The challenge ahead

Yet, success creates its own pressures.

Cargo volumes continue growing and maintaining efficiency gains will require sustained investment in capacity expansion, digital systems, and multimodal transport links.

“Despite this rise, we still face challenges and we understand that cargo volumes continue to grow.

“TPA is taking major and deliberate steps to expand infrastructure across all its ports in order to address these challenges and ensure that the economic growth of Tanzania and the countries that use our ports is supported by world-class port services,” said Mr Mbossa, a man who works extra time to make things happen quickly.

The warning is well founded.

History is filled with examples of ports that improved performance only to see congestion return as demand outpaced infrastructure capacity.

The next test for Dar es Salaam will not be whether it can climb the rankings, but whether it can sustain its gains while accommodating rising trade volumes from one of the world’s fastest-growing regions.

To maintain momentum, Tanzania will need continued investment in berth capacity, cargo-handling technology, customs modernisation, rail connectivity, and digital logistics systems capable of supporting growing regional demand.

The bigger picture

Dar es Salaam’s rise from 360th to 255th globally — and Mombasa’s decline from 375th to 396th — signals more than a change in rankings.

It suggests that East Africa’s trade map is being redrawn.

For decades, geography helped establish Mombasa as the region’s dominant maritime gateway.

Today, operational efficiency, infrastructure quality, connectivity, and service reliability are emerging as equally important determinants of competitive advantage.

The implications extend beyond Tanzania and Kenya.

The contest between Dar es Salaam and Mombasa will help determine how trade, investment, and supply chains evolve across East and Central Africa over the coming decade.

If current trends continue, Dar es Salaam could emerge not only as East Africa’s most efficient maritime gateway but also as one of Africa’s most strategically important logistics hubs.

The World Bank rankings may therefore be remembered not simply as a measure of port performance, but as an early indicator of a broader shift in the balance of economic gravity across East and Central Africa.