Illegal trade—also known as illicit trade—is causing serious problems for Tanzania’s economy, security, and local industries, according to senior government officials and business leaders.
The warning was issued during a stakeholders’ workshop held on Monday in Dar es Salaam, where top officials from the Ministry of Industry and Trade, the Fair Competition Commission (FCC), and Tanzania Cigarette Company (TCC Plc) gathered to discuss the growing threat of fake and smuggled goods in the market.
During the meeting, Mr. Sempeho Nyari, Acting Permanent Secretary in the Ministry of Industry and Trade, explained how illicit trade weakens local manufacturing. He said that when fake or illegally imported goods enter the market, it becomes difficult for honest businesses to compete.
These illegal goods are often sold at lower prices because they avoid paying taxes and quality control fees.
“Illicit trade leads to unfair competition and causes the government to lose billions in tax revenue,” said Mr. Nyari.
Officials also pointed out that illicit trade doesn’t just affect the economy—it also puts people’s health and safety at risk. Products like counterfeit cigarettes, alcohol, and medicines are often made with poor-quality materials and can be harmful to consumers.
Ms. Khadija Ngasongwa, Acting Director General of the FCC, warned:
“This is not just about money. Fake products can endanger lives. We must strengthen inspections and increase public awareness.”
Moreover, illegal trade is often connected to larger organized crime networks, posing a threat to national security.
Ms. Patricia Mhondo, Director of Corporate Affairs and Communication at TCC Plc, emphasized the need for public-private collaboration. She called for closer cooperation between the government and companies to track illegal products, especially at borders.
Ms. Roberta Feruzi, Head of Communications at the FCC, added that education campaigns are needed to help consumers identify genuine products and understand the dangers of buying illegal ones.
The Tanzanian government has taken several steps, including:
Strengthening border security and customs checks
Introducing digital product verification systems
Working with regional and international partners to stop smuggling
However, stakeholders at the workshop agreed that more needs to be done, especially in enforcement and public education.
Illicit trade remains a serious challenge for Tanzania. It damages the economy, puts people’s lives at risk, and benefits criminals at the expense of hardworking businesses. But with stronger cooperation between the government, businesses, and citizens, the fight against illegal trade can be won.