BL Agro Plans US$740 Million Investment in Tanzania’s Agriculture Sector

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Indian food and agribusiness company BL Agro Industries plans to invest approximately US$740 million in Tanzania over the next decade, marking its first major international expansion and creating potential opportunities across East Africa’s agricultural value chains.
The proposed investment will span edible oil processing, crop production, dairy, livestock development, agricultural research and manufacturing. The company aims to establish an integrated food production ecosystem in Tanzania, positioning the country as a gateway to the wider East African market.
Headquartered in Bareilly, India, BL Agro plans to focus initially on edible oil production, taking advantage of Tanzania’s sunflower and other oilseed resources.
US$158 million edible oil processing complex planned
The first phase will involve a vegetable oil processing complex incorporating oilseed crushing, solvent extraction and refining facilities. The plant is designed to process approximately 1,100 tonnes of oilseeds per day and is expected to become operational within three years, subject to the necessary approvals.
The project is estimated to require an investment of approximately US$158 million.
BL Agro intends to source oilseeds from local farmers while also exploring its own cultivation operations to help secure a reliable supply of raw materials. The development could expand Tanzania’s domestic processing capacity, create new markets for sunflower producers and reduce dependence on imported edible oils.
Investment extends to livestock and agricultural manufacturing
Beyond edible oils, BL Agro plans to invest approximately US$210.6 million in cattle breeding and livestock development over seven years. A further US$158 million has been earmarked for agricultural infrastructure, including potential local tractor manufacturing and other farming-related activities.
The company is also exploring opportunities in vegetable production and export-oriented agriculture, broadening the potential scope of its operations beyond food processing.
These plans follow a visit to Tanzania by a five-member BL Agro delegation, which met government officials and other stakeholders to discuss investment opportunities and project implementation.
Local farmers and employment in focus
BL Agro is considering partnerships with Tanzanian farmers through contract farming and agricultural supply-chain development. The approach could provide producers with additional market opportunities while helping the company secure consistent supplies for its processing operations.
The proposed programme is expected to create approximately 100,000 jobs across farming, food processing, manufacturing and related activities, although the employment figure will depend on the implementation and scale of the planned projects.
BL Agro managing director Ashish Khandelwal said Tanzania offered significant opportunities to improve agricultural productivity through Indian technology, processing expertise and long-term partnerships.
The investment also comes as Tanzania and India seek to strengthen bilateral trade and economic cooperation. BL Agro expects its Tanzanian operations to begin making a meaningful contribution to revenue around 2030.
If implemented as planned, the investment could support Tanzania’s efforts to add value to locally produced agricultural commodities, expand food processing and strengthen links between farmers and industrial markets.
However, the US$740 million programme remains a phased investment plan, with individual projects dependent on regulatory approvals, development schedules and implementation decisions.











