India-Tanzania relations

Category: International Relations

India-Tanzania relations

Exchange of Visits

The diplomatic relationship between India and Tanzania is characterized by a robust and ongoing exchange of visits involving Foreign Ministers and high-ranking government officials. These visits serve as a crucial platform for fostering bilateral ties, enhancing cooperation, and addressing mutual concerns. Such engagements have not only strengthened political relations but have also facilitated discussions on trade, investment, and development projects that benefit both countries.

In recent years, the exchange of visits has included prominent political figures and leaders from both nations. For instance, Indian Prime Ministers, Ministers of External Affairs, and other key policymakers have toured Tanzania to explore new avenues for cooperation and reaffirm existing commitments. Similarly, Tanzanian leaders have visited India, engaging with their counterparts to articulate their national priorities and seek partnerships in areas such as technology transfer, agriculture, and healthcare.

These high-level interactions not only symbolize the commitment of both nations to strengthen their partnership but also lay the groundwork for collaborative initiatives. In particular, the shared interests in the fields of education, trade agreements, and cultural exchanges have gained significant momentum through these visits. Both countries recognize the importance of harnessing their historical ties for contemporary benefit, which is evident through ongoing dialogues and strategic alliances.

Looking ahead, the sustained exchange of visits indicates a promising trajectory for India-Tanzania relations. Both countries are likely to intensify their collaboration in addressing global challenges such as climate change, public health crises, and sustainable development, thereby ensuring that their partnership remains dynamic and relevant in the international arena. With a focus on mutual growth and shared prosperity, the visits reflect a commitment to nurturing a long-term relationship grounded in trust and partnership.

Bilateral Agreements

The foundation of India-Tanzania relations has been strengthened through various bilateral agreements, notably the establishment of the Joint Permanent Commission (JPC) on 17 January 1975. This platform has facilitated ongoing dialogue and cooperation between the two nations. The Seventh JPC convened in New Delhi from 13 to 14 January 2009, marking a significant step towards enhancing collaboration in multiple sectors, including trade, investment, and development.

In addition, both countries have made strides in economic collaboration through the Agreement on Avoidance of Double Taxation and Prevention of Fiscal Evasion, initially signed in 1979. This agreement aims to encourage cross-border trade and investment by eliminating double taxation issues. The third round of talks to review this agreement took place in New Delhi from 28 to 30 April 2009, culminating in the signing of a new agreement in Dar es Salaam on 27 May 2011, reflecting the dynamic nature of their economic partnership.

Further cementing their ties, the Agreement on Friendship and Technical, Economic and Scientific Cooperation was signed on 28 January 1966, laying the groundwork for collaborative efforts in various fields, particularly in technical and scientific learning. In the realm of air travel, an Air Services Agreement was initially established in 1995 and discussions to update this agreement were held in Dar es Salaam in April 2006, emphasizing the importance of connectivity between the two nations.

The partnership extends to agriculture as well, encapsulated in the Memorandum of Understanding (MOU) for Cooperation in the field of Agriculture signed on 16 December 2002, coinciding with the visit of President Benjamin William Mkapa to India. This agreement illustrates the commitment to enhance agricultural practices and food security in Tanzania.

Significantly, during the visit of Tanzanian President Jakaya Kikwete to India, a loan agreement was established between the Export-Import (Exim) Bank of India and the Tanzanian government, amounting to $268.35 million for the extension of a critical pipeline project. This collaboration showcases India's role in assisting Tanzania with its infrastructure needs.

Both countries also coordinate in areas such as hydrology, tourism, and agriculture, aligning their interests towards sustainable development and mutual growth. These collaborative efforts signify a deepening of ties that continue to evolve, reflecting shared goals and values between India and Tanzania.

Non-Governmental Agreements

The relationship between India and Tanzania has been bolstered by various non-governmental agreements aimed at fostering cooperation in critical sectors. One such significant agreement was in the field of Health and Medicine, signed on 16 December 2002, during the visit of then-President Benjamin William Mkapa to India. This agreement underscores the mutual interest in enhancing healthcare systems, sharing expertise, and facilitating medical technology transfer between the two nations. An Exchange Program on Cooperation in Higher Education was also established on 27 April 2003, further indicating a commitment to educational ties and collaborative academic ventures.

Trade has been a cornerstone of India-Tanzania relations, with a Trade Agreement signed on 14 January 2000 leading to the formation of a Joint Trade Committee, which convened its second meeting in New Delhi from 16 to 18 May 2007. This committee aims to streamline trade processes and enhance economic collaboration between the two countries. Furthermore, the MOU on Defense Cooperation, signed on 1 October 2003 in New Delhi, reflects the strategic partnership between India and Tanzania, focusing on military training, technology transfer, and defense procurement.

India has demonstrated goodwill towards Tanzania through initiatives like the Duty Free Tariff Preference Scheme, which has been beneficial for Tanzania since 22 May 2009, easing trade barriers and fostering exports. Additionally, the two countries entered discussions for a Bilateral Investment Promotion Protection Agreement (BIPPA), with the first meeting held in New Delhi in January 2010. Although the finalization of this agreement is still pending, it indicates a mutual desire to protect and encourage bilateral investment.

Recent Developments

Significant agreements were also announced during former Prime Minister Manmohan Singh's visit to Tanzania in May 2011. India pledged a US$100,000 grant for school laboratory equipment and an additional US$10 million for capacity building in social and educational sectors. Furthermore, a commitment was made to establish a Vocational Training Centre in Zanzibar, enhancing skill development opportunities. A line of Credit facility of US$180 million for water projects was extended, focusing on improving water supply in Dar es Salaam and its environs, as well as infrastructure enhancements in other regions.

Cooperation has also extended to tax matters, as evidenced by the signing of an agreement on the Avoidance of Double Taxation and Prevention of Fiscal Evasion regarding income taxes. In the business sector, a Joint Action Plan between the Small Scale Development Organisation (SIDO) in Tanzania and the National Small Industries Corporation Ltd (NSIC) in India was signed, aiming to promote and support small enterprises. Additionally, a preliminary joint venture agreement between Apollo Hospitals and NSSF Tanzania illustrates growing cooperation in healthcare infrastructure.

Education and Technology Collaboration

A landmark development in the educational sector was inaugurated during the Prime Minister's visit, with the India-Tanzania Centre of Excellence in Information and Communication Technology opened at the Dar es Salaam Institute of Technology. This centre aims to enhance ICT skills and promote innovation in technology. Furthering cooperation, a Memorandum of Understanding (MoU) was signed between the Zanzibar Institute of Financial Administration (ZIFA) and the Indian Institute of Applied Manpower Resources (IAMR) to facilitate knowledge sharing and training.

Moreover, various agreements have been signed between business and trade organizations, including the establishment of a Joint Business Council between FICCI & ASSOCHAM and the Tanzania Chamber of Commerce, Industry & Agriculture (TCCIA) in 1997, as well as cooperation agreements between the Indian Merchants’ Chamber (IMC) and TCCIA since July 1995. These engagements reflect a robust framework aimed at enhancing bilateral trade and investment.

India's support has also seen $100 million dedicated to improving the water supply in Dar es Salaam and an additional $280 million aimed at enhancing water supply networks from Lake Victoria to various towns, showcasing India's commitment to infrastructure and community development in Tanzania. Furthermore, the two nations are in talks to establish a Joint Working Group to counter terrorism, reflecting a commitment to national and regional security.

Lastly, acknowledging India's growing international stature, Tanzanian President Kikwete has publicly supported India's bid for permanent membership in the United Nations Security Council, emphasizing the solidarity among African nations in backing India's candidacy. This affirmation reflects the deeper political ties and shared aspirations for influence within global governance systems, strengthening the relationship between India and Tanzania.

Bilateral Relations

The relationship between India and Tanzania has a rich history that dates back to the 1960s and extends into the modern era. During the initial decades, this relationship was heavily influenced by shared ideological commitments towards anti-colonialism and a form of socialism that resonated with both nations. The leaders of both countries espoused the values of South-South cooperation, recognizing the need for collective advancement among developing nations. This foundation paved the way for a strong political alliance that supported various initiatives aimed at combating colonial legacies and promoting socio-economic development.

As time progressed, the Indo-Tanzanian relationship has transitioned into a more modern and pragmatic partnership characterized by increased and diversified economic engagement. India has emerged as one of Tanzania's leading trade partners, playing a crucial role in the supply of essential machinery and pharmaceutical products. The bilateral trade dynamics have strengthened, reflecting mutual interests and collaborative efforts to enhance economic growth on both sides. Indian companies are significantly involved in various sectors within Tanzania, further cementing economic ties between the two nations.

Indians have established a prominent presence in Tanzania, forming the largest expatriate community, which is estimated to comprise between 50,000 to 60,000 Persons of Indian Origin (PIOs) along with approximately 10,000 Indian expatriates actively contributing to the local economy. These individuals are primarily engaged in entrepreneurship, establishing businesses, and enhancing trade between the countries. Their contributions to Tanzania’s socio-economic development encompass a range of sectors, including manufacturing, agriculture, and services, and their positive impact is well recognized and appreciated by the local population.

Formal agreements have played a significant role in shaping the Indo-Tanzanian relationship. In 1966, a friendship treaty focusing on technical, economic, and scientific cooperation was signed, followed by a cultural agreement in 1975 which aimed to promote cultural exchange and mutual understanding. Most recently, in 2008, a memorandum of understanding on tourism was established, highlighting the importance of tourism as a means to bolster people-to-people contacts and economic exchange. As both countries navigate the complexities of the global economy, the enduring relationship continues to evolve, reflecting their shared aspirations for development and progress.

The Indian community in Tanzania has a rich history dating back to the post-World War I era, coinciding with the time when Tanzania was established as a British protectorate under the League of Nations. This influx of Indians was primarily driven by the demand for labor and expertise in various sectors, resulting in a vibrant diaspora that is now estimated to number about 40,000 individuals. The majority of this community is concentrated in key urban centers such as Dar es Salaam, Arusha, Dodoma, Morogoro, Mwanza, Mbeya, and the historically significant Zanzibar. Over the years, the Indian diaspora has played a crucial role in Tanzania's economic development, thriving in commerce, agriculture, and various industries while also maintaining cultural ties and contributing to the local society.

The historical and diplomatic relations between India and Tanzania have been characterized by a strong mutual respect and cooperation across various fronts. Tanzania's leadership has welcomed Indian investments, which have significantly supported infrastructure and technological advancements in the country. Notable leaders from both nations have engaged in regular dialogues that have further strengthened their ties. Noteworthy figures from Tanzania include President Mwalimu J.K. Nyerere, who served multiple terms from 1971 until 1996, and President Ali Hassan Mwinyi, in office from 1989 to 1993, both of whom significantly emphasized the importance of collaboration with India for Tanzania's growth and development. More recently, President Samia Suluhu Hassan's administration, which took office in 2021, continues to prioritize enhancing bilateral relations with India, focusing on trade, technology, and education.

From India's side, historical connections have also been maintained through visits from various high-ranking officials. Indian Presidents and Prime Ministers, including V.V. Giri in 1972, Indira Gandhi in the mid-1970s, and more contemporary leaders like Prime Minister Narendra Modi in 2016, have fostered goodwill and partnerships with their Tanzanian counterparts. These interactions reflect a shared vision for sustainable development, demonstrating both nations' commitment to fostering stronger economic and cultural ties. As this partnership evolves, the growing Indian diaspora in Tanzania remains a vital link, contributing to the socio-economic fabric of the nation while bridging cultural ties between the two countries. The ongoing collaboration hints at a promising future, where mutual benefits can be harnessed to improve the living standards of both Tanzanians and Indians residing in Tanzania.