INDUSTRIAL GROWTH PATH DURING THE

COLONIAL SITUATION

Industrial :Growth during the pre Colonial period

1. There were industries in pre colonial Africa/
Tanganyika.
2. The level of development and technical sophistication
was lower than that achieved in mercantile Europe
then.
3. But had clear virtues –it was wholly endogenous and
was the result of local social transformation.
4. Main industrial activities, coverage and processes:
i. Iron and steel works;
ii. Textile production;
iii. Salt manufacture
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• If Tanganyika was not colonized during the mid 1800’s and
the pre colonial growth path were to continue uninterupted:
Do you think Tanzania to day would have Been more
industrially advanced or Otherwise!!!!!!!

Learning Points:
i. There were industries in Tanganyika/ Africa before colonization;
ii. The genesis for the growth of those industries was endogenous – they
developed and grew as part of the social development process taking place
within the societies concerned;
iii. Growth of the industries was based on locally sourced technology,
knowledge, expertise , raw materials etc
iv. Industries produced goods and services to cater for the needs of the society
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Colonial Period:
1. German Colonial Administration(1884 -1918)
At Economy Level.
 German colonial admin intended to develop a dependent economy in
the colony – one which will produce primary products and minerals as
raw materials; ready market for imported finished manufactures;
bases for foreign investment; military bases.
 Need for Plantation Agriculture, Land Alienation, African Labor Force.

At Industry Level.
 Li ttle effort was made to develop real industrialization in the colony.
 Much of industrial activities established had to do with processing of
primary produce – Coffee curing started in Moshi in 1910; sisal
decortication started in Amboni, 1911; cotton ginning established in
Kilosa and Morogoro the following year.
 Continued
 Machinery, equipment, technology and expertise needed for establishing
and operating these establishments were foreign sourced.
 Largely foreign capital for industrial investment
 Main reasons for processing these products are: (i) reduce shipment costs;
(ii) preserve quality and shape of products for export.
 2. British Colonial Administration, 1918 -1961
At Economy Level
 Initially at least, there has been no significant change in the pattern of
economic growth – primary produce and minerals to meet external
market – cofee, sisal, cotton, gold, diamonds etc

At industry Level
 Initially, continuation of industrial growth path pursued during the
German colonial admin – processing primary products to meet externaln
markets.
 Machinery, equipment, technology and expertise needed for establishing
and operating these establishments were foreign sourced.
 Largely foreign capital for industrial investment.
 Main reasons for processing these products are: (i) reduce shipment costs;
(ii) preserve quality and shape of products for export
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Noticeable Changes, however, after Second World War:
(i)The period, 1940 – 1945 (Import Substitution)
To substitute imports with local production of essential goods
eg food items, soap, quinine and other medicaments, soap,
candles, blankets, rubber products etc
(ii) The period, 1945 – 1950 (Worsening Terms of Trade)
The need to raise funds to meet rising costs of colonial admin.
Colonies were forced to raise money to supplement costs for
Running the colonies. This led to the establishment of:
(a) Meat processing plant at Kawe in 1949; and
(b) a Tin can plant (Metal Box Coy Ltd) at Pugu Road in the same
year to produce tin cans for storage and packaging processed
meat for sale abroad to earn foreign exchange.
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(iii) The period, 1950’s to 1961
 Local private industrialists (mainly of Asian origin) – the likes
of Chande and Madivan groups make inroads in the scene.
 Mainly production of luxury consumer items:
(i) Tanganyika Bottlers Coy Ltd – for the production of soft drinks -
coca cola, potelo, etc;
(ii) Sapa Chemicals Ltd – production of soap, chemicals etc;
(iii) Processing of foodstuffs - East African Vegetable Industries Ltd,
Express Dairy etc
(iv) Bread making, confectionaries, cakes etc – Tanganyika Millers;
(v) Paints, colours etc - Robialac Paints Company Ltd
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SUMMARY:
Industrial growth path during the colonial period was
Typically dependent and colonial:
i. Initially, processing primary products to meet outside interests;
ii. Later on, import substitution – to produce locally initially imported good;
iii. Industial output consisted mostly of export products and luxury products
iv. Capital investment – was largely private and foreign sourced;
v. Technology was foreign sourced;
vi. Technical and Managerial expertise to set up and operate industrial plants was
dominantly expatriate, foreign based and sourced.
vii. No effort was made to build a capability for the local manufacture of capital
goods and intermediate goods;
viii. Industrial structure exhibiting a basic link between the sector producing for
export and the sector producing for luxury goods. It is a structure foreign
propelled and has limited growth potential.