Client: Masco Sawmills (T) Ltd
Project summary: Masco Sawmills (T) Ltd plans to expand the existing saw mill factory, at a cost of US$5.5 million to be able to meet the high demand for Brachylaena hutchinsii, a well known timber product locally referred to as "muhuhu". The company also wishes to improve the overall quality of its export products as well as gaining managerial expetise. The preferred type of invesment is a joint venture collaboration to modernise operations, and maintain its tree plantation of over 2133 hectares, which is the main source of raw material for the sawmill.
Products and potential export market: Principal business is timber processing including flooring parquets, with a potential export market to Germany, Japan and Italy. Other products manufactured include plywood, flush boards, railway
slippers and engineering and carpentry works.
Company description: MASCO Saw Mills Ltd was formed in January 1997 after the acquisition of 100% shares in the former Sikh Saw Mills by the current owners. MASCO Saw Mills was prior to privatisation state-owned by the Tanzania Wood Industries Company.
Timber industry: There has been a positive investment atmosphere in Tanzania's timber industry and a number of big international forestry companies have invested in both commercial forest plantations and wood based industry. The country has about 33.5 million hectares of forests and woodlands, 13 million of which have been gazetted as forest reserves. Tanzania's hardwoods have been commanding high prices internationally, compared to timber from west and central Africa.
For further information contact the Tanzania Investment Centre, TIC.
Key contact:
Raymond Mbilinyi
Director, Investment Promotion
Email: rmbilinyi@tic.co.tz
