chapter  16
TRADE AND INDUSTRIALIZATION IN TANZANIA
A review of experience and issues
ByBenno J. Ndulu, Joseph J. Semboja
Pages 39

Tanzania’s articulation of the motivations for and the intended process of industrialization are contained in two long-term strategic statements, The Long-Term Plan: 1964-80 (URT, 1964a) and the Basic Industrialization Strategy (URT, 1976a). Three operational documents characterize the phasing of the strategies. The First Five-Year Plan, 1964-69 (URT, 1964b) proposed a wide range of import-substituting industrial investments, concentrating on the relatively easy ‘first stage’ of import substitution-pre-dominantly in consumer goods. Although a shift towards intermediates and construction materials was encouraged, the emphasis was on a maximum growth strategy concentrating on quick-high yield areas. The Second Five-Year Plan, 196974 (URT, 1969) emphasized structural change. Relative expansion of sectors producing intermediates and capital goods as well as pre-export processing were emphasized (Wangwe, 1983). The Third Five-Year Plan, 1967-81 (URT, 1976b), drawing on the Basic Industrialization Strategy, emphasized the deepening of domestic resource-based import substitution and the expansion of manufactured exports as an extension of the home market.