High value leather manufacturing creates significant numbers of jobs as the leather sector overall is labour-intensive, providing strong job-creation benefits. The activity has scope for innovation to cater for fast changing customer needs in the footwear and other leather products. The leather sector is therefore a basic “starter” sector for industrialization in Tanzania (13).

Through high value leather manufacturing, Tanzania moves towards utilising its potential of producing about 90 million square feet of leather with its available raw material. If two thirds of this amount was to be further processed, at least 20 million pairs of shoes and over 2.5 million pieces of assorted leather goods could be locally generated (13).

Investment in modern leather processing activities leads to increased knowledge and adoption of environmentally sound animal husbandry practices, slaughter and tanning techniques and effluent treatment practices (2, 4, 7, 10).

High value leather manufacturing may create large scale pollution if there are no deliberate efforts to develop shared effluent treatment infrastructures for the processing activities.

The limited availability of high quality skins and hides due to poor animal husbandry, flaying technique and abattoir management may limit the availability of sufficient levels of raw material, which would impact the scale and depth of the expected impact.

If no deliberate efforts are in place to enhance the skill base of casual labourers, women and youth, as required by the a specialized activity like leather manufacturing, the processing activities may provide opportunities to those already served and hence limit the expected impact.

Enhance economic utilization of domestic livestock population for increased value addition towards Tanzania's industrialization.

Third National Five-Year Plan (FYDP 3): Classifies the leather sector as a “lead sector”, as is the case for the textiles sector, which qualifies tanneries and producers of footwear and leather goods for financial incentives (5, 10).

Leather Sector Development Strategy, 2016-2020: Emphasises on the conditions for developing a favourable expansion of the industry so as to contribute to overall socioeconomic development. It calls for synchronization of activities across the public sector, private sector, and non-governmental organization communities in order to create sustainable results (4).

The National Export Strategy, 2009: Highlights leather and leather products as a target sector for Tanzania. Specific focus is on improving the marketing delivery infrastructure for livestock and all associated products; establishing a system that ensures consistent production and quality for all livestock products; expanding livestock plants’ processing capacities; and creating a larger range of livestock products (4, 29).

Integrated Industrial Development Strategy, 2011: Specifies leather and leather products as targeted subsectors. It sets the targets of eliminating exports of raw hides and skins from 2015 and eliminating the export of semi-processed leather by 2025 in order to boost production of finished leather, footwear and leather goods more than tenfold by 2025 (4, 30).

Financial incentives: Tanzania is a beneficiary to the Trade Mark East Africa Industrialization project, which focuses on developing strategies for increasing investment in the leather value chain and enabling the region to retain more than 50% of the potential value of the industry by 2028 (27).

Financial incentives: Tanzania is a beneficiary to the Trade Mark East Africa Industrialization project, which focuses on developing strategies for increasing investment in the leather value chain and enabling the region to retain more than 50% of the potential value of the industry by 2028 (27).

Fiscal incentives: Tanzania has imposed a 80% export levy on the export of raw hides and skins. This is a government measure and commitment to protect and continue to create enabling environment for both local and foreign investors (4, 31).

Other incentives: The government established dedicated schemes to facilitate sector operators’ access to financial instruments, including the Export Credit Guarantee Schemes. The government is also considering using the Livestock Development Fund (LDF) (4).

Hides, Skins and Leather Trade Act, 2008: Develops and regulates the production and preservation of hides, skin and leather, promotes trade in hides, skins and leather, and provides for related matters (21).

Environmental Management Act, 2004: Requires all investment in new facilities for leather production to undertake an environmental impact assessment, since the leather sector is considered by the Act as likely to have significant adverse environmental impacts (23).

Investment Promotion Act No. 6, 2004: Promotes and facilitates investment by assisting investors in obtaining the licenses necessary to invest and by providing other assistance and incentives and for related purposes. This also applies to the leather processing industry (22).

Himo Tanners and Planters Ltd, JAE Tanzania Ltd, Africa Tanneries Ltd (formerly Mwanza Tanneries Ltd), Moshi Leather Industry.

Ministry of Livestock and Fisheries, National Environmental Management Commission (NEMC), Tanzania Bureau of Standards (TBS), Tanzania Investment Centre (TIC), Export Processing Zones Authority (EPZA), Small Industries Development Organization (SIDO).

United Nations Industrial Development Organization (UNIDO), World Bank Group (WBG).

Leather Association of Tanzania (LAT).

45% of the 28.8 million cattle are found in the Central Zone, while 42% and 13% are in the Coastal and Lake and the Highland zones, respectively. The 5 million sheep and 16.7 million goat, on the other hand, are more concentrated in the Coastal and Lake Zone followed by the Central Zone (26). The Central livestock production zone represents agropastoral and semi-arid production systems (26).

The Coastal and Lake Zone represents mixed rainfed-subhumid and humid production systems (26).