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Tanzania

The original report was published in the USA Today on Thursday, February 17, 2011
         

Expansion through innovation in steel roofing products

ALAF continues to push the industrial sector through innovation and identifying opportunities
Sharad N. Salgar, Chief Executive of ALAF Ltd
Last year marked the golden jubilee of the country’s leading manufacturer and supplier of a wide range of steel roofing products to Tanzania’s construction industry. Established in 1960, Aluminium Africa Limited – ALAF – pioneered steel roofing products here and was the first company to set up a totally integrated state-of-the-art production facility.

Based in Dar es Salaam and Arusha, ALAF operates through its four divisions – Steelco, Galco, Pipeco and Aluco. In 2009, ALAF became the first company in Tanzania to issue an unsecured bond listed on the Dar es Salaam Stock Exchange (DSE). “We have neither guaranteed nor offered any security on bonds and we have raised Tsh 15 billion ($10.5 million) on the DSE,” says Sharad N. Salgar, chief executive of ALAF Ltd.

In 1997 ALAF produced and sold approximately 15,000 tons of steel and aluminum. In 2009 this figure had risen to 51,500 tons, of which only 7% to 8% was exported. However, in December 2009 ALAF invested $35 million in a new galvalume line, called Zincal. Using technology provided by Bluescope U.S.A., a long lasting combination of zinc and aluminum is coated onto the steel instead of a traditional zinc layer. ALAF is only the second company in Africa to adopt this process. The move has added 70,000 tons to ALAF’s capacity and new opportunities beckon in neighboring landlocked countries.


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LOCATION:
Eastern Africa, bordering the Indian Ocean, between Kenya and Mozambique

CAPITAL:
Dar es Salaam

AREA - comparative:

slightly larger than twice the size of California

DISPUTES - international:

Tanzania still hosts more than a half-million refugees, more than any other African country, mainly from Burundi and the Democratic Republic of the Congo, despite the international community's efforts at repatriation; disputes with Malawi over the boundary in Lake Nyasa (Lake Malawi) and the meandering Songwe River remain dormant

GDP - composition by sector:
agriculture: 28.4%
industry: 24%
services: 47.6% (2010 est.)

AGRICULTURE - products:

coffee, sisal, tea, cotton, pyrethrum (insecticide made from chrysanthemums), cashew nuts, tobacco, cloves, corn, wheat, cassava (tapioca), bananas, fruits, vegetables; cattle, sheep, goats

IMPORTS:
$6.73 billion (2010 est.)
country comparison to the world: 105
$5.834 billion (2009 est.)
 
EXPORTS:

$3.97 billion (2010 est.)
country comparison to the world: 116
$3.365 billion (2009 est.)

EXPORTS - commodities:

gold, coffee, cashew nuts, manufactures, cotton

EXPORTS - partners:

India 12.1%, China 9.4%, Japan 6.7%, Netherlands 5.9%, UAE 5.4%, Germany 4.9% (2009)