THE Tanzania-Zambia Railway Authority (TAZARA) is set for its biggest transformation in decades following the launch of a US$1.4 billion rehabilitation programme aimed at restoring the railway's competitiveness and reinforcing its role as a strategic regional trade corridor.

The investment comes as Tanzania seeks to expand the capacity of the Port of Dar es Salaam and strengthen regional logistics through integrated transport infrastructure.

Speaking in Dar es Salaam yesterday ahead of TAZARA's 50th anniversary celebrations, Temeke District Commissioner Sixtus Mapunda said revitalising the railway is a strategic investment that will enhance Tanzania's position as a regional logistics hub while improving the efficiency of the Port of Dar es Salaam.

He said years of ageing infrastructure, inadequate rolling stock, rising maintenance costs and stiff competition from road transport had weakened the railway's operational performance and reduced its market share.

"The rehabilitation of TAZARA is a strategic and fundamental decision that will enable the Port of Dar es Salaam to provide world-class services, reduce pressure on road transport and lower logistics costs across the region," he said.

Under the programme, the governments of Tanzania and Zambia have entered into a Public-Private Partnership (PPP) with the China Civil Engineering Construction Corporation (CCECC) to finance and implement large-scale infrastructure upgrades.

The project includes rehabilitation of the railway track, modernisation of signalling systems, procurement of locomotives and wagons, and operational improvements aimed at increasing efficiency, reliability and freight capacity.

TAZARA Managing Director Engineer Bruno Chinga'ndu said the investment is designed to reposition the railway as a commercially viable transport corridor capable of meeting growing regional demand for efficient freight services.

He said the modernisation programme would enhance operational efficiency while generating broader economic benefits for key sectors, including mining, agriculture, manufacturing, logistics and tourism.

TAZARA Regional Manager Fuwad Abdallah said the rehabilitation would eliminate long-standing infrastructure bottlenecks that have constrained the railway's performance for years.

He said upgraded infrastructure and modern rolling stock would increase train speeds, reduce cargo transit times and lower transport costs, making rail freight more competitive while providing exporters and importers with a more efficient and reliable supply chain.

The investment comes as regional trade volumes continue to expand, driven by growing mineral exports and increasing demand for efficient transport corridors across Southern and Central Africa.

Once completed, the rehabilitation is expected to restore TAZARA's strategic role in facilitating cross-border trade, deepen regional economic integration and support Tanzania's ambition to become a leading logistics and maritime gateway.