Zanzibar launches $300mn Mangapwani port to boost regional trade

Zanzibar has launched construction of the Mangapwani Integrated Port, a major maritime infrastructure project aimed at strengthening the archipelago’s role in regional trade and logistics.

The $300 million development, located in North Unguja, was officially launched by Zanzibar President Hussein Mwinyi, who said the project will address longstanding port capacity challenges while supporting economic growth across the islands. The new facility is expected to transform Zanzibar into an important logistics and transport gateway linking East and Central Africa. The Mangapwani project is designed to reduce congestion at Malindi Port.

Expanding port capacity
Once operational, the new port will be capable of accommodating ultra-large container vessels and is expected to handle more than 200,000 containers annually. The facility will also process over one million tonnes of cargo per year, significantly increasing Zanzibar’s cargo handling capacity, according to a report by Tanzania Insight.

The development is part of broader efforts to modernise maritime infrastructure and strengthen the archipelago’s integration into regional supply chains.

Integrated logistics and energy infrastructure

Beyond cargo operations, the project also includes fuel storage facilities with a capacity exceeding six million litres, aimed at improving energy supply stability and reducing fuel costs for businesses and residents.

The port will also host strategic oil and gas storage infrastructure, which will be developed through a partnership between One Petroleum and the Zanzibar Ports Corporation.

Several energy companies, including Puma Energy, Gapco, and Zanzibar Petroleum, are expected to relocate their storage facilities to the new port complex as part of the development.

In addition, the project includes plans for a 200-megawatt power generation plant, which authorities say will strengthen the island’s electricity supply and support industrial development.

Construction and timeline
Construction of the Mangapwani Integrated Port is being carried out by China Harbour Engineering Company Limited, with the project valued at approximately 778.6 billion Tanzanian shillings (around $300 million).

Officials expect the port to be completed by 2028, although the first phase of construction is scheduled to be finished by September this year.

According to project representatives, work is progressing in line with international engineering standards and timelines.

Economic impact and regional competition
Zanzibar’s Minister for Works and Transport, Dr Khalid Salum Muhammed, described the port project as a major step forward for the archipelago’s economic development, noting that it will create employment opportunities for local communities while strengthening the island’s logistics sector.

The project is also expected to stimulate new investment in shipping, logistics, and related industries, supporting Zanzibar’s efforts to diversify its economy beyond tourism and agricultural exports.

The Mangapwani port initiative comes as East African countries increasingly invest in maritime infrastructure to capture growing regional trade flows.

Once completed, the facility is expected to reduce transport costs, improve supply chain efficiency, and enhance Zanzibar’s competitiveness as a regional trade hub within the East African Community (EAC).

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