TICGL

| Economic Consulting Group

TICGL | Economic Consulting Group
Is Tanzania Fully Harnessing Its Blue Economy?
January 21, 2026  
Is Tanzania Fully Harnessing Its Blue Economy Potential? | TICGL Economic Analysis 2025 Is Tanzania Fully Harnessing Its Blue Economy Potential to Drive Inclusive and Sustainable Economic Growth? Updated: January 2025 GDP Contribution: 11-12% Employment: 4.5-6M Jobs Value: USD 9.6-10.5B USD 10.5B Blue Economy GDP 11-12% of National GDP 6M Jobs Created Direct & Indirect […]
Is Tanzania Fully Harnessing Its Blue Economy Potential? | TICGL Economic Analysis 2025

Is Tanzania Fully Harnessing Its Blue Economy Potential to Drive Inclusive and Sustainable Economic Growth?

Updated: January 2025
GDP Contribution: 11-12%
Employment: 4.5-6M Jobs
Value: USD 9.6-10.5B
USD 10.5B
Blue Economy GDP
11-12% of National GDP
6M
Jobs Created
Direct & Indirect Employment
27.7M
Port Cargo Tonnes
+34% YoY Growth
917K
Tourist Arrivals
+24.5% in Zanzibar

Tanzania stands at a pivotal moment in its economic development journey. Uniquely endowed with a 1,424 km Indian Ocean coastline, an Exclusive Economic Zone of 223,000 km², and major freshwater systems including Lakes Victoria, Tanganyika, and Nyasa, the nation possesses one of the largest and most diverse blue economy resource bases in Eastern Africa. By 2025, this sector has emerged as a transformational force, contributing USD 9.6-10.5 billion (11-12% of national GDP) and supporting 4.5-6 million jobs across fisheries, tourism, ports, and coastal value chains.

With national GDP growing at 6.0% annually, the Blue Economy serves as both a growth accelerator and an employment engine. In Zanzibar, this sector's dominance is even more pronounced, accounting for nearly 60% of GDP. Yet critical questions remain: Is Tanzania fully harnessing this potential? Can persistent challenges in climate resilience, overfishing, infrastructure capacity, and gender inclusion be overcome to unlock truly transformational growth through 2030 and beyond?

Tanzania's Marine and Aquatic Resources

Resource CategorySpecificationArea/LengthStrategic Importance
CoastlineIndian Ocean1,424 kmTourism, fishing, trade gateway
Exclusive Economic ZoneMarine territory223,000 km²Fishing rights, gas exploration
Lake VictoriaFreshwater (shared)49,000 km²Fisheries, regional trade
Lake TanganyikaFreshwater (shared)32,900 km²Fisheries, tourism potential
Lake Nyasa/MalawiFreshwater (shared)29,500 km²Fisheries, biodiversity
Coral Reef SystemsTotal coverage~3,580 km²Tourism, ecosystem services
Mangrove ForestsCoastal protection~158,000 hectaresCarbon storage, fish nurseries
Marine Protected AreasConservation zones15+ MPAsBiodiversity, sustainable fishing
Ecosystem Services Value: Tanzania's blue economy ecosystem services are valued at over USD 104 billion, including fisheries habitats, mangroves, coral reefs, and freshwater systems. These provide critical contributions to climate resilience, food security, and long-term sustainability.

Blue Economy Contribution to National GDP

Indicator2020 Value2025 ValueGrowth RateNotes
Total Blue Economy GDPUSD 7.74 billionUSD 9.6-10.5 billion+6.0% annual11.9% (2020) → 11-12% (2025) of GDP
National GDP (Nominal)USD 65 billionUSD 87.44 billion+6.0% annual2025 growth rate: 6.0%
Ecosystem Services ValueUSD 104.24 billionUSD 104+ billionStableFreshwater lakes dominant
Zanzibar Blue Economy~30% of Zanzibar GDPApproaching 60%High growthTarget: 60% by 2025

Sector-Specific GDP Contribution (2025)

SectorGDP Contribution% of National GDPKey Metrics
Fisheries (Mainland)USD 1.57 billion1.8%430,000 direct jobs
Fisheries (Zanzibar)USD 420 million4.8% of Zanzibar GDPCritical for island economy
Coastal Tourism (Zanzibar)USD 1.0+ billion~30% of Zanzibar GDP917,167 arrivals (2025)
Maritime TransportUSD 950-1,100 million~1.1-1.3%27.7M tonnes at DSM Port
Marine ServicesUSD 200-250 million~0.2-0.3%Growing sector
TOTAL~USD 9.6-10.5 billion~11-12%Multi-sectoral contribution

Fisheries Sector Performance

Fish Production Statistics (2020-2025)

YearTotal Production (MT)Aquaculture (MT)Exports (Tonnes)Export Value (USD M)Key Developments
2020410,500~30,000N/A185Baseline year
2021419,700~42,000N/A195Aquaculture growing
2022431,000~68,000N/A208Steady growth
2023~376,000122,09642,371225Aquaculture surge
2024599,200*N/A59,746289.641% export increase
2025~510,000132,243**>59,746300 (target)Record exports expected

*Up to April fiscal year 2024 | **Up to April 2025, includes seaweed

Fisheries Demand-Supply Analysis (2025)

IndicatorValue
National Fish Demand715,606 metric tons
Total Production~510,000 metric tons
Supply Gap~205,000 tons
Aquaculture Contribution8.5% of total
Direct Employment430,000 workers
Indirect Employment4.5 million

Critical Insights

  • The 205,000-ton supply gap signals strong potential for aquaculture expansion
  • Current aquaculture at only 8.5% of production offers massive growth opportunity
  • Export targeting USD 300 million demonstrates international competitiveness
  • Seaweed farming employs 25,000 workers (70-80% women) in Zanzibar

Major Fish Export Destinations (2023-2025)

Country/RegionExport Volume (Tonnes)Value (USD Million)Market Share (%)
European Union8,5009542.2%
Middle East5,2005223.1%
Asian Markets4,8004821.3%
African Countries2,100188.0%
Others1,200125.4%
TOTAL21,800225100%

Coastal & Marine Tourism

Zanzibar Tourism Performance (2023-2025)

YearInternational ArrivalsRevenue (USD Million)Direct EmploymentBed Occupancy RatePeak Period
2023638,498~90050,00068-72%N/A
2024736,755~90050,00070-75%Pre-December
2025917,167~1,000+50,000+74-81%Dec: 100,729
Growth Highlight: Zanzibar recorded a remarkable 24.5% increase in international arrivals from 2024 to 2025, with December 2025 alone attracting 100,729 visitors—demonstrating the sector's explosive growth trajectory.

Tourism Market Composition (2025)

Market SegmentShare (%)Key MarketsStrategic Notes
European Visitors68-70%Italy, UK, Germany, FranceDominant source market
Other International30-32%Middle East, Asia, AmericasGrowing diversification
Average Occupancy74-81%Year-round averageHigh seasonal variation
Hotel Infrastructure709+ hotels (cumulative through 2023) - Continued expansion

Top Marine Tourism Destinations in Tanzania

DestinationAnnual VisitorsRevenue (USD Million)Key Attractions
Zanzibar Archipelago650,0001,200Beaches, diving, cultural heritage
Mafia Island45,00085Whale sharks, world-class diving
Dar es Salaam Coast180,000320Urban beaches, business tourism
Pangani & Saadani35,00065Wildlife, pristine beaches
Tanga & Pemba55,000105Diving, coral reef systems
Kilwa & Mtwara25,00048UNESCO sites, beaches

Maritime Transport & Ports Infrastructure

Port Cargo Throughput Performance (2023-2025)

PeriodDar es Salaam Port (Million Tonnes)Growth RateContainer Throughput (TEU)Key Achievements
2023/2423.69Base year700,000-1,000,000Infrastructure enhancements
2024/2527.7+15%700,000-1,000,000Record throughput; private partnerships
2025 (Jul-Nov)13.97+34% YoYN/AOn track for 30M target
2030 Target30-54ProjectedExpandedTPA strategic plan

Port Development & Investment (2025)

IndicatorValue/StatusDetails
Current Annual Capacity27.7 million tonnes2024/25 achievement
2030 Capacity Target30-54 million tonnesExpansion underway
Private Sector InvolvementDP World & othersBerth management & operations
Container Handling700,000-1,000,000 TEUAnnual throughput
Regional Trade RoleCritical hubServes landlocked neighbors
Infrastructure StatusUpgradingBerths, storage, equipment

Maritime Transport Revenue Streams (2023)

Revenue SourceAmount (USD Million)Percentage
Port Services & Tariffs28535.6%
Cargo Handling24530.6%
Ship Services12015.0%
Container Operations9511.9%
Warehousing354.4%
Other Services202.5%
TOTAL800100%

Offshore Gas & Renewable Energy Development

Natural Gas Development (2025)

IndicatorValueStatus/TimelineEconomic Impact
Offshore Gas Reserves57 Trillion Cubic Feet (TCF)Proven reservesMining/quarrying sector growth
LNG Project InvestmentUSD 42 billionNegotiations near completion (Oct 2025)Major FDI attraction
Target LNG Production10 million tons/yearDevelopment phaseExport revenue potential
Fifth Licensing Round26 blocks offeredClosed December 2025Offshore & Lake Tanganyika focus
Ntorya Gas Project280 MMscf/d productionRevised development planDomestic supply enhancement

Renewable Energy Strategy (2025)

Energy SourcePotentialPolicy TargetNotes
Solar PowerHighNational Energy PolicyDecarbonization by 2050
Wind EnergyModerate-HighPart of renewable mixCoastal areas favorable
HydropowerEstablishedContinued expansionExisting infrastructure
GeothermalUnder developmentExploration ongoingLong-term potential
Decarbonization Goal2050 target - National strategy aligned with global climate goals

Employment Impact Across Blue Economy Sectors

Employment by Blue Economy Sector (2020-2025)

Sector2020 Employment2025 EmploymentGrowthKey Notes
Fisheries (Direct)~350,000430,000+23%Mainland + Zanzibar
Fisheries (Indirect)~2 million4.5 million+125%Value chain expansion
Tourism (Direct - Zanzibar)40,00050,000+25%Growing sector
Tourism (Indirect)~150,000180,000++20%Hospitality, transport
Zanzibar Labor Force in Blue Economy~30%~33%IncreasingCritical for island economy
TOTAL BLUE ECONOMY~2+ million4.5-6 million+150%+Direct & indirect combined
Gender Impact: Seaweed farming in Zanzibar employs 25,000 workers, with 70-80% being women, demonstrating the Blue Economy's potential for female empowerment and income generation in coastal communities.

Major Blue Economy Investments (2025)

$227M
World Bank TAFSAM Project
Marine resource management & livelihoods (2025-2030)
€110M
EU Blue Economy Support
Climate-resilient management & job creation
$42B
LNG Development
Gas extraction & export infrastructure (negotiations 2025)
$500-800M
Port Infrastructure
Expansion to 30-54M tonnes by 2030

Key Blue Economy Investment Programs (2025)

Program/ProjectFunding SourceAmount (USD)TimelineObjectives
TAFSAM ProjectWorld Bank$227 million2025-2030Marine resource management, livelihoods
EU Blue Economy SupportEuropean UnionEUR 110 million (~$120M)2025+Climate-resilient management, job creation
LNG DevelopmentPrivate sector + Gov't$42 billionNegotiations 2025Gas extraction & export infrastructure
ZADEP (Zanzibar)Multiple sourcesN/AOngoing60% GDP target, sustainable tourism
Fisheries Sector PlanGovernmentN/A15-year planSustainability & production growth

Investment Focus Areas (2025-2030)

Focus AreaEstimated Investment NeedPriority LevelExpected Outcomes
Port Infrastructure$500-800 millionHighCapacity: 30-54M tonnes by 2030
Fisheries Sustainability$227 million (TAFSAM)CriticalClimate resilience, stock recovery
Tourism Infrastructure$150-250 millionHighSustainable growth, job creation
Marine Conservation$120 million (EU)HighEcosystem protection, climate adaptation
Gas & Energy Development$42+ billionStrategicExport revenue, energy security

Key Challenges Facing Tanzania's Blue Economy

🌡️ Climate Change & Ocean Warming

Severity: 9/10

Impact: Fish stock decline

Affected Areas: Fisheries, coastal communities

Mitigation: TAFSAM project, EU funding (EUR 110M)

🐟 Overfishing & Stock Depletion

Severity: 8/10

Impact: 205,000 ton demand gap

Affected Areas: Food security, livelihoods

Mitigation: 15-year fisheries plan, aquaculture expansion

🏗️ Infrastructure Capacity Strain

Severity: 7/10

Impact: Port congestion

Affected Areas: Trade, regional competitiveness

Mitigation: TPA expansion to 54M tonnes

👥 Youth Unemployment

Severity: 8/10

Impact: Underutilized workforce

Affected Areas: Economic inclusion

Mitigation: ZADEP, job creation programs

⚖️ Gender Gaps in Blue Economy

Severity: 7/10

Impact: Limited women's participation

Affected Areas: Equity, productivity

Mitigation: Seaweed farming (25,000 women employed)

🏭 Limited Processing Capacity

Severity: 8/10

Impact: Lost value addition

Affected Areas: Export revenues

Mitigation: Investment in processing facilities

Growth Opportunities (2025-2030)

⚡ LNG Export Development

Investment: $42 billion secured

Impact: 10M tons/year production

Timeline: 2025-2030+

Status: Negotiations near completion

🚢 Port Capacity Expansion

Investment: TPA investments

Impact: 30-54M tonnes capacity

Timeline: By 2025 target

Status: On track

🛢️ Offshore Gas Licensing

Investment: 26 blocks (5th round)

Impact: Attract exploration investment

Timeline: 2025+

Status: Licensing closed Dec 2025

🌊 Climate-Resilient Fisheries

Investment: EUR 110M (EU) + TAFSAM

Impact: Sustainable production increase

Timeline: 2025-2030

Status: Funded & launching

Future Projections (2025-2030)

Indicator2025 Baseline2030 TargetAnnual Growth RateKey Drivers
Blue Economy GDP ContributionUSD 9.6-10.5 billion (11-12%)USD 15-18 billion8-10%LNG, tourism, fisheries growth
Total Employment4.5-6 million6.5-8 million6-7%TAFSAM, tourism, gas sector
Fish Production~510,000 tonnes715,000+ tonnes6-8%Close demand gap via aquaculture
Tourism Revenue (Zanzibar)USD 1.0+ billionUSD 2.0-2.5 billion12-15%Sustainable tourism expansion
Port Throughput (DSM)27.7 million tonnes30-54 million tonnes8-12%TPA expansion, regional trade
Fisheries ExportsUSD 300 millionUSD 450-550 million8-10%Value addition, new markets
LNG ProductionDevelopment phase10 million tons/yearN/A$42B project completion

Strategic Outlook: Tanzania Development Vision 2050

With continued focus on sustainability, climate adaptation, and infrastructure development, Tanzania's Blue Economy is projected to reach USD 15-18 billion by 2030, cementing its role in achieving Tanzania Development Vision 2050. The sector's transformation from a high-performing contributor to a transformational pillar depends on addressing climate resilience, closing the fish production gap, enhancing value addition, and ensuring inclusive growth that benefits coastal communities, women, and youth.

Key Policy Framework & Strategic Initiatives

Policy/ProgramYear LaunchedInvestment/BudgetKey Objectives2025 Status
National Blue Economy Policy2020N/AFramework for sustainable ocean economyActive implementation
TAFSAM Project2025$227 million (World Bank)Marine resource management, livelihoodsLaunched
EU Blue Economy Initiative2025EUR 110 millionClimate resilience, job creationActive
15-Year Fisheries Sector Plan2025Government budgetSustainability, production growthImplementation phase
ZADEP (Zanzibar)OngoingMulti-source60% GDP target, eco-tourismApproaching targets
Fifth Gas Licensing Round2025Revenue from licensesAttract exploration investmentClosed December 2025
TPA Expansion StrategyOngoingPrivate + public30-54M tonnes by 2030On track
Marine Protected Areas Program2020+Conservation budgetEcosystem protectionExpanding coverage

Critical Success Factors & Recommendations

2025 Performance Highlights

  • Record Achievements: Blue Economy contributes USD 9.6-10.5 billion (11-12% of GDP), up from 11.9% in 2020
  • National GDP Growth: 6.0% with blue economy as central driver
  • Employment Impact: 4.5-6 million jobs supported (direct and indirect)
  • Port Performance: Dar es Salaam Port handled 27.7 million tonnes (34% increase July-November 2025)
  • Tourism Boom: Zanzibar recorded 917,167 international arrivals (24.5% increase)
  • Export Growth: Fisheries exports targeting USD 300 million (record high)
  • Ecosystem Value: Services valued at USD 104+ billion

Strategic Priorities for 2025-2030

  1. Climate Resilience: Implement TAFSAM and EU funding (EUR 110M) for climate-adaptive fisheries management and coastal protection
  2. Aquaculture Expansion: Bridge the 205,000-ton fish demand gap through sustainable aquaculture development (currently only 8.5% of production)
  3. Infrastructure Scaling: Achieve TPA target of 30-54 million tonnes by 2030 through enhanced public-private partnerships
  4. LNG Monetization: Complete the $42 billion LNG project to achieve 10 million tons/year export capacity
  5. Sustainable Tourism: Support Zanzibar in achieving the 60% GDP contribution target through eco-tourism and marine conservation
  6. Gender Inclusion: Expand women's participation beyond seaweed farming (currently 25,000 employed) to other blue economy sectors
  7. Regional Integration: Leverage Tanzania's strategic position as a gateway for landlocked neighbors (Zambia, Malawi, DRC, Rwanda, Burundi)
  8. Value Addition: Invest in fish processing facilities to capture higher export values and create more jobs

Remaining Challenges to Address

  • Close the 205,000-ton fish production gap through sustainable methods
  • Address youth unemployment and create pathways for young people in blue economy sectors
  • Build climate resilience in vulnerable coastal communities
  • Enhance value addition and processing capacity to maximize export revenues
  • Maintain sustainable practices while scaling production to meet growing demand
  • Reduce gender disparities and ensure equitable participation across all sectors

Final Assessment: Is Tanzania Fully Harnessing Its Blue Economy Potential?

Tanzania has made remarkable progress in developing its Blue Economy, with record-breaking performance across all sectors in 2025. The sector now contributes over USD 10 billion annually and supports millions of livelihoods. Strategic investments totaling over $42.3 billion position the sector for transformational growth.

However, the answer to whether Tanzania is fully harnessing this potential is nuanced: while the foundation is strong and momentum is building, significant opportunities remain untapped. The 205,000-ton fish supply gap, limited value addition, gender disparities, and climate vulnerabilities indicate that Tanzania is on the right trajectory but has not yet maximized its blue economy potential. Success through 2030 will require sustained investment, policy implementation, and inclusive approaches that ensure coastal communities, women, and youth benefit equitably from this blue revolution.

Data Sources & Methodology

Official Sources: Tanzania National Bureau of Statistics, Ministry of Livestock and Fisheries, Tanzania Ports Authority, Zanzibar Commission for Tourism, World Bank TAFSAM Project, European Union Blue Economy Initiative, Tanzania Investment Centre, National Energy Policy

Last Updated: January 2025 with official 2025 performance data

Coverage Period: 2020-2025 with projections through 2030

Prepared by: TICGL - Tanzania Investment Centre for Global Leadership

#TanzaniaBlueEconomy #InclusiveEconomicGrowth #SustainableDevelopmentTZ #OceanEconomyAfrica #BlueGrowthStrategy #ClimateResilientEconomy #MaritimeEconomy #CoastalLivelihoods #Vision2050Tanzania #GreenBlueTransition

Subscribe to TICGL Insights

Stay informed and gain the crucial information you need to make strategic decisions in Tanzania's vibrant market.
Subscription Form
crossmenu linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram