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Indian food manufacturing giant BL Agro Industries has unveiled a comprehensive plan to invest Rs 70 billion (approximately US$739 million) in Tanzania over the next ten years. The strategic move marks the Bareilly-based company's first major international production expansion, aiming to develop an integrated food production ecosystem serving Tanzania and the broader East African region.
The cornerstone of this investment is a large-scale vegetable oil processing complex featuring oilseed crushing, solvent extraction, and refining facilities. The plant is designed with a processing capacity of 1,100 tonnes of oilseeds per day and is expected to become operational within three years, pending regulatory approvals. BL Agro has allocated an initial US$158 million for this project, with plans to source raw materials through both local farmer partnerships and its own cultivation operations.
This initiative is poised to significantly enhance Tanzania's domestic processing capabilities, particularly for sunflower producers, while helping the nation reduce its reliance on imported edible oils. Beyond the oils and fats sector, the company plans to inject approximately US$210.6 million into cattle breeding and livestock development over a seven-year period.
An additional US$158 million has been earmarked for agricultural infrastructure, which may include the local manufacturing of tractors and other farming equipment. BL Agro is also exploring vegetable production, export-centric agriculture, and the development of robust agricultural supply chains through contract farming models.
Ashish Khandelwal, Managing Director of BL Agro, emphasised that Tanzania offers significant opportunities to boost agricultural productivity by integrating Indian technology and processing expertise through long-term partnerships. The proposal follows high-level meetings between a company delegation and Tanzanian government officials to align the projects with national economic goals.
The investment coincides with a broader push to strengthen bilateral trade between India and Tanzania. BL Agro estimates that the phased programme could generate roughly 100,000 direct and indirect jobs across the farming and manufacturing sectors. The company anticipates that its Tanzanian operations will begin contributing significantly to corporate revenue by 2030, positioning the country as its primary hub for East African market operations.
Source: Food Business Middle East & Africa