Uganda plans new rail link to Tanzania for mineral export boost

Uganda is planning to connect a new railway line under construction to Tanzania’s network, potentially creating a fresh export route for minerals such as gold, copper, and iron ore, according to a government document seen by Reuters.
A security guard stands between the Standard Gauge Railway (SGR) line constructed by the China Road and Bridge Corporation (CRBC) and financed by Chinese government ahead of the launch of the cargo train in Kenya's coastal city of Mombasa, May 30, 2017. REUTERS/Stringer/File Photo
A security guard stands between the Standard Gauge Railway (SGR) line constructed by the China Road and Bridge Corporation (CRBC) and financed by Chinese government ahead of the launch of the cargo train in Kenya's coastal city of Mombasa, May 30, 2017. REUTERS/Stringer/File Photo

Currently, most of Uganda’s commodity exports travel through the Kenyan port of Mombasa, with a Standard Gauge Railway link to Kenya already underway. The new plan would extend Uganda’s rail connectivity to Tanzania and the port of Dar es Salaam.

Rail corridor to Dar es Salaam

The Ugandan Ministry of Works and Transport document indicates that the railway would run from the border with Tanzania through the south and southwest of Uganda, terminating at the town of Mpondwe on the Democratic Republic of Congo border.

"The main objective of the project is to connect the vast and mineral-rich regions of both countries (Uganda and Tanzania) to the port of Dar es Salaam ... whilst saving time and transportation costs," the document said.

It also notes that the African Development Bank (AfDB) could provide funding, and that the Democratic Republic of Congo might link to the line in the future.

A spokesman for the Ugandan ministry could not immediately be reached for comment.

The AfDB told Reuters it was considering a request to fund "preparation activities" for the rail project.

"The bank may consider financing the project, depending on the outcomes of the studies, if the project is found to be bankable," bank official Epifanio Carvalho de Melo said.

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Reporting by Elias Biryabarema;Editing by Alexander Winning, William Maclean.

 
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