Interest to Invest In Tanzanian Petrol Station Sector Remains Strong, Although Evolving Risks Could Dampen the Flow Of Investment

.Tanzania has registered steady yearly petroleum product growth driven mainly by petrol, diesel, and LPG.

Based on this growth, many investors, especially locals, have been gaining appetite to invest in retail petrol stations.

This is why Mr Hussein Boffu, founder of Tanzaniapetroleum.com, a consultancy agency that provides a comprehensive source of energy sector projects, business intelligence, and insights, believes that the interest to invest in Tanzania’s petrol sector remains strong.

“The rising number of petrol stations in the country, including the participation of first-time investors, indicate that retail petrol station represents an attractive and resilient investment. ”

“Look around your neighborhood, and you will discover many petrol stations in operation. And when you move around town, you will see more fuel petrol stations in operation or under construction,” Said Mr.Hussein Boffu

Mr. Boffu was of the view that investors struggle to see a way ahead to accelerate impacts on profit and people.

“Like any investment, the petrol station is subject to unforeseeable events and incidents that dramatically impact prosperity and profit. Due to their unpredictable nature, investors cannot prepare for these specific events.

But, through insights strategizing, and an open-minded approach, they can restructure their organization and practices in order to mitigate (or even take advantage of) the impact of such events.” Said Mr.Hussein Boffu

Mr Boffu added, “The second issue is the timely availability of affordable and suitable lands that can give an investor a high return on investment and achieve sustainable growth.”

“The other challenge is funding. Building sustainable petrol stations requires substantial capital investment, which may be the biggest stumbling for locals and foreign investors.” He remarked.

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