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Newly Planned Uganda-Tanzania Railway Set to Open Up New Export Route

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Uganda has set plans to connect its new railway line to Tanzania. This is expected to provide direct access to the port of Dar es Salaam. Also, it will create a new export route for minerals such as gold, copper, and iron ore. This Uganda-Tanzania Railway project will be part of the East Africa SGR Project that will foster economic integration.

The development of the railway line was reported by Reuters on Monday, citing a government document from Uganda’s Ministry of Works and Transport.

According to the report, the proposed railway connection will integrate Uganda’s network with Tanzania’s system, reducing the country’s reliance on Kenya’s main seaport while lowering transport time and export costs for its mineral sector.

SGR Development in Uganda Underway

Furthermore, according to the Reuters report, Uganda is building a Standard Gauge Railway (SGR) to connect its mineral-producing regions to Kenya. However, the authorities now want the line to also connect with Tanzania’s railway network and the port of Dar es Salaam. Furthermore, the new connection would provide an alternative outlet for mineral exports beyond Kenya’s port of Mombasa.

“Uganda wants to link a new railway line it is building to one under construction in neighbouring Tanzania, a government document seen by Reuters showed, potentially opening up a new export route for minerals like gold, copper and iron ore,” the report read in part.

Significance of the Railway

The railway project is designed to connect mineral-rich areas in both countries to Dar es Salaam. This will potentially save time and cut transport costs, while the African Development Bank may fund feasibility and preparation studies.

Additionally, the railway connection is seen as part of a wider regional integration agenda within East Africa. By connecting Uganda, Tanzania, and potentially the Democratic Republic of Congo, the project could enhance cross-border trade and logistics efficiency.

The railway connection is seen as part of a wider regional integration agenda within East Africa
The railway connection is seen as part of a wider regional integration agenda within East Africa

DRC to Connect to the Railway in the Coming Future

The Democratic Republic of Congo could link to the railway network in the future. This would further expand its regional reach.

If completed, the railway could strengthen trade ties between East African countries and reduce overdependence on a single export corridor.

Uganda-Tanzania Railway Project Factsheet

Project name: Uganda–Tanzania SGR Extension (Central Corridor Link)

Primary objective: To create a new, high-capacity export route for minerals (gold, copper, iron ore) and reduce transit costs for landlocked Uganda.

Cost: TBD (Part of Uganda’s broader $12.8 billion SGR master plan).

Funding partner: The African Development Bank (AfDB) is currently reviewing requests to fund “preparation activities” and feasibility studies.

Contractors: While Yapı Merkezi (Turkey) is handling the Malaba–Kampala leg, specific contractors for the Tanzania link have not yet been finalized.

Companies that will Play a Role in the Development of the Project

Yapı Merkezi: The lead contractor for Uganda’s Malaba–Kampala section. They are also building most of Tanzania’s SGR phases.

CCECC (China Civil Engineering Construction Corp): currently constructing Lot 6 (Tabora–Kigoma) of Tanzania’s SGR.

CRCC (China Railway Construction Corp): Partnered with CCECC on the Tanzanian segments and involved in the feasibility of regional spurs toward the DRC.

CREGC / CREDC (China Railway Group): Signed the January 2025 contract for the Uvinza–Musongati line (Tanzania–Burundi).

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