ABSTRACT
Data on annual gross fixed capital formation in the manufacturing sector is available; it is difficult to isolate the source of funds. The value of gross fixed capital formation in Tanzania's manufacturing sector is given in Table 6.1 for the period 1966 to 1972 - accurate data was not available for earlier years. Gross fixed capital formation in any year is equal to the annual change in the value of depreciated assets, plus depreciation during the year plus and profit on the sale of assets. The deflator adopted for a gross fixed capital formation was the implied deflator for non-residential buildings and machinery and equipment for the economy as a whole. In 1967 gross fixed capital formation fell in the chemicals and non-metallic minerals industries; the state acquired a 50 per cent shareholding in Tanzania Portland Cement Co. Ltd., as part of the nationalisation measures following the Arusha Declaration in this year.
