A Sample Business Plan for Starting and Operating a Road Logistics and Transportation Business for Fuel/Petroleum Products in Tanzania

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 1. Executive Summary

Company Overview

ARA Transport is a fully indigenous enterprise that plays a pivotal role in the energy, logistics, and transportation sectors in Tanzania and the broader East and Central African regions. The company is registered and licensed to transport petroleum products, offering comprehensive logistics services that meet local and regional demands. Founded in response to the growing need for efficient and reliable petroleum transportation, ARA Transport has built a reputation for safety, reliability, and customer satisfaction.

Market Rationale

The formation of ARA Transport is driven by the increasing demand for petroleum products across Tanzania and its neighboring landlocked countries, including Malawi, Zambia, Uganda, Burundi, Rwanda, and the Democratic Republic of Congo (DR Congo). The rapid economic growth in these regions has led to heightened energy consumption, necessitating robust logistics and transportation solutions to ensure an uninterrupted supply of petroleum products. ARA Transport aims to bridge this gap by providing state-of-the-art transportation services tailored to the unique needs of its clients.

 Services Offered

ARA Transport specializes in the road transportation of a variety of petroleum products. The company’s portfolio includes the following:

  1. Automotive Gas Oil (AGO) – Diesel: Commonly used for fuel in diesel engines, particularly in commercial vehicles such as trucks and buses.
  2. Premium Motor Spirit (PMS) – Petrol: Essential for the operation of motor vehicles powered by gasoline engines.
  3. Illuminated Kerosene (IK): Often used for lighting and cooking purposes, especially in regions where electricity access is limited.
  4. Jet-A1: Aviation fuel utilized by aircraft, critical for both domestic and international air travel
  5. Heavy Fuel Oil (HFO): Used in power generation and in the marine sector.
  6. Industrial Diesel Oil (IDO): Employed in industry for machinery and other diesel-powered equipment.

 Operational Excellence.

To ensure optimal service delivery, ARA Transport maintains a fleet of clean, well-maintained trucks that are regularly inspected to meet stringent safety and comfort standards. The company’s drivers are highly trained and certified to handle hazardous materials, adhering to both local and international safety protocols.

The emphasis on maintaining high safety standards is reflected in routine inspections and maintenance of the transportation fleet. This proactive approach helps to preclude operational disruptions and uphold the company’s commitment to safety and reliability.

Target Customers

ARA Transport serves a diverse clientele, including:

  1. Businesses: Companies requiring timely and efficient delivery of petroleum products to support their operations.
  2. Government: Public sector entities that depend on a consistent supply of fuels for various functions and initiatives
  3. Oil Marketing Companies: Firms involved in the distribution of petroleum products that rely on third-party transportation services to reach their end consumers.

4.Petroleum Transportation Companies: Entities specifically focused on the logistics of petroleum products, which can subcontract ARA Transport for their hauling requirements.

 Strategic Importance

Positioned as a key player in the Tanzanian and regional fuel supply chain, ARA Transport contributes significantly to the economies of the countries it serves. Efficient fuel logistics are critical for economic stability and growth, as they influence the cost and availability of energy, which in turn affects all other sectors of the economy.

 Regional Scope

Tanzania, due to its strategic location and developed infrastructure, serves as a central hub for petroleum transportation. This enables ARA Transport to efficiently transit petroleum products to landlocked neighboring countries, facilitating regional trade and energy distribution. The company’s services support these countries’ import needs by leveraging Tanzania’s access to the Indian Ocean and its well-established network of pipelines and railways.

 Technological Integration

ARA Transport employs advanced logistics management systems to optimize routing, ensure timely deliveries, and manage maintenance schedules. By integrating technology into their operations, they can maintain high levels of efficiency, minimizing delays and reducing operational costs. Real-time tracking systems also provide clients with up-to-date information on their shipments, enhancing transparency and trust.

Competitive Advantage

Several factors set ARA Transport apart from its competitors:

  1. Safety and Compliance: By strictly adhering to local and international safety standards, the company ensures the safe handling and transportation of hazardous materials.
  2. Reliability: With a well-maintained fleet and trained drivers, ARA Transport guarantees timely and efficient deliveries.
  3. Customer-Focused Service: The company’s proactive customer service approach ensures that clients’ specific needs are met, and any concerns are promptly addressed.
  4. Regional Expertise: ARA Transport’s deep understanding of the regional market dynamics and regulatory frameworks allows them to navigate the logistical and bureaucratic challenges unique to East and Central Africa effectively.

Sustainability and Corporate Responsibility

ARA Transport is committed to sustainable business practices. This includes minimizing the environmental impact of their operations through the use of fuel-efficient vehicles and implementing best practices in waste management. The company also engages with local communities, contributing to social and economic development initiatives in the regions they operate.

Future Prospects

Looking forward, ARA Transport plans to expand its fleet and extend its services to more countries within East and Central Africa. Continuous investment in technology and staff training will ensure that it remains at the forefront of the industry. As demand for petroleum products grows, so too will the opportunities for ARA Transport to augment its service offerings and clientele.

ARA Transport’s blend of reliable service, strategic regional presence, and commitment to safety and efficiency positions it as a trusted partner in the petroleum logistics and transportation sector. The company’s clear vision and robust operational framework augur well for its sustained growth and success in the dynamic energy landscape of Tanzania and beyond.

Mission Statement

Our mission is to provide reliable, safe, and efficient petroleum transport services. This mission statement elaborates on our company’s aspirations, commitment, and operational ethos in fulfilling this goal.

Operational Scope

Our operations extend beyond national borders, serving countries like Malawi, Zambia, Uganda, Burundi, Rwanda, DR Congo, and Kenya. With a primary focus on transporting petroleum products—from oil depots to various destinations—we ensure a consistent supply of essential fuels such as premium motor spirit (PMS), diesel, kerosene, jet fuel (Jet – A1), heavy fuel oil (HFO), and industrial diesel oil (IDO).

Core Values and Principles:

1. Reliability:
– Consistency: ARA Transport pledges to provide uninterrupted and timely delivery of petroleum products, essential for the socio-economic development of the regions we serve.
– Dependability: We aspire to be a reliable partner to our clients, ensuring our logistics solutions meet their specific needs every time.

2. Safety:
– Hazardous Materials Handling: Safety is paramount. Our drivers are fully trained and licensed to handle hazardous materials, adhering to stringent safety standards to prevent accidents and ensure the well-being of people and property.
– Vehicle Maintenance: Our fleet of trucks is regularly inspected and meticulously maintained for safety and operational efficiency.

3. Efficiency:
– Operational Excellence: We employ best practices in logistics and transportation to maximize efficiency, minimizing delays and optimizing fuel consumption.
– Customer-Centric: Our services are designed to be responsive and adaptable, aligning with the dynamic requirements of our diverse clientele, including businesses, government entities, oil marketing companies, and other petroleum transport firms.

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In the full version, you will have access to the following table of contents:

 1. Executive Summary

  • Company Overview
  • Mission Statement
  • Goals and Objectives.

 2. Company Description

  • – Business Background
  • – Key Services
  • – Target Market

3. Market Analysis

  • – Industry Overview
  • – Market Needs
  • – Competitive Analysis
  • – SWOT Analysis

 4. Organizational Structure

  • – Leadership Team
  • – Employee Roles
  • – Training and Compliance

 5. Services and Operations

  • – Service Process:
  • – Fleet Management
  • – Safety and Regulatory Compliance

 6. Marketing Strategy

  • – Target Audience
  • – Brand Positioning
  • – Marketing Channels
  • – Sales Strategy

 7. Financial Plan

  • – Start-up Costs
  • – Revenue Model.
  • – Financial Projections:
  • Funding requirements.

  1.  Risk Management

  • – Risk Identification       
  • – Mitigation Strategies.

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42+ Great Business Ideas and Opportunities in the Oil and Gas Sector in Tanzania and Africa

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There are boundless oil and gas opportunities in Tanzania and Africa waiting for men and women with courage and fortitude. Initial costs of setting up some of these businesses may be high.

But with a great business plan, it is easier to secure cooperation from investors and banks as they are already aware the demand for fuel and energy is huge in Tanzania and Africa.

A person is interested in pursuing business opportunities in the industry. should acquire as much knowledge as they can.

If you don’t have a background in the industry, you may work together with a person who has the experience, because valuable insider knowledge could potentially save you monetary and legal problems.

Educating yourself on the kind of business opportunities you’d like to make allows you to choose the most profitable option for you.

So, I’m going to make it simple by laying out the different types of opportunities in the oil and gas industry.

 1.Establishment of Gas Cylinder Manufacturing Plant: It will interest you to know that Tanzania imports the LP Gas cylinders from India. So, there is no functional LP Gas cylinder manufacturing facility in Tanzania, and this presents immense opportunities for aspiring entrepreneurs with a sizable amount of capital to set up gas cylinder manufacturing plants in Tanzania.

 2. Start a Profitable LP Cooking Gas Retail Shop: The LP Gas retail shop is popularly known as LP Gas dealer or LP Gas reseller. As you walk along the streets of Tanzania, you will notice that there are retail shops at every corner. It is cheap to start this business. You need TZS 2 million to TZS 6 million to start an LP Gas retail shop in Tanzania. The key factors to success in this business are location and your marketing skills. A prime location is a key determinant of the success of an LPG retail shop. Good location and excellent customer services are crucial to success in this business.

 3. LP Gas Distribution and Logistics: Opportunities in the segment is to involve in distributing the LPG and its cylinders through tank trucks to different LPG gas dealers and LPG refilling centers in Tanzania

4. Cooking Gas Site Installation Services

Consumers like Schools, hotels, army campuses, and colleges buy LP cooking Gas in bulk. So they always need bulk tanks and a network of pipelines and cookers to enable to use of LPG for boiling and cooking

You can join forces with a team of a talented individual who has a technical capability and expertise and offering to provide and install LPG infrastructures such as above-ground LPG storage tanks 

5 . Cooking Gas Products and Accessories

Offering LPGas products and accessories like cookers and fitting is another lucrative business opportunity in Tanzania.

 

6.LPG (Cooking Gas Wholesale) Distribution

Eligible entrepreneurs can apply to become a large oil marketing company’s super dealer who will work partly with them in the sale of the LPG, cookers, Fittings, and site installation in your target region.

Your supplier(large oil marketing company) will supply you full gas cylinders in bulk at a fair wholesale price and in turn, you will sell and earn a fair profit margin and you may decide to sell at retail price to double profit.

As a super dealer, you will have to make sure that you have enough full gas cylinder stock at any point to meet the orders of your clients instantly. You will also have at least one supply carrier to ensure effective supply. The initial capital investment for this venture ranges from Tsh 35,000,000 to Tsh 60,000,000.

 

7.Start a lubricant Production Company/Build lubricant Production Plants.

Local market production of lubricants is very few in the country.  

There are only six lubricant plants in the country that are insufficient to meet the region’s existing and growing demand for lubricant. 

Entrepreneurs looking to participate in the oil industry come in and fill that gap by building a lubricant plant with innovative design.  

 There has been a proliferation of substandard lubricants in the country, causing loss to consumers by damaging their cars and machinery. 

To win in the lubricants market in Tanzania, you need to produce and package high-quality lubricants. That will be your competitive advantage.

Although before venturing into this project, it is essential to determine where your lubricant plant will be located, where you will procure materials, and what type of products you expect to produce to meet market demand. 

And what licenses and permits are required to start operations. So conducting a proper feasibility study will ensure your way to success.

8. Start Lubricating Oils Retail Shop 

This is easy to start a business in the lubricants industry. If you can secure a place and set up a shop nearby garages, you will be in a position to build a profitable business. 

This is because vehicle owners regularly change oils at the garages. That’s why setting up your shop there can guarantee you sustainable profits. Engine oil, grease, and brake fluids are fast-moving items in most lubricant retail shops.

The best marketing strategy for this business is to build a relationship with mechanics, as most vehicles owners and motorists rely on them for advice on what type and where they should buy lubricants for their cars.

9.Set up Lubricants wholesale distributions business

Eligible entrepreneurs can apply to become a significant oil marketing company’s super dealer who will work partly with them to sell their lubricants in the market.

Your supplier(large oil marketing company) will supply you a wide range of lubricants in bulk at a fair wholesale price, and in turn, you will sell and earn a modest profit margin, and you may decide to sell at retail price double profit.

As a super dealer, you will have to make sure that you have enough warehouse to keep the lubricants products.

10. Start Importation of lubricant oil 

Importation of lubricant is a thriving and lucrative business in Tanzania. As an oil importer, you can dictate your own price in the market and have the power of introducing your own packaging and new brand in the market

You need to rent a space secured enough to house your products. Due to the proliferation of substandard lubricants, there are many licenses and permits you will need to connect with from regulatory agencies before starting operations. The aim is to ensure that all imported oils meet local and international standards.

11.LPG Gas Plant:

 This is a lucrative investment opportunity in Tanzania’s LPG value chain. This kind of investment has multiple sources of income. As a large LP Gas marketer, you import, store and sell LP Gas to super dealers, gas refilling station owners, and you can also sell in bulk to commercial customers like hotels, lodges, schools, and colleges. Furthermore, you can earn additional income by offering installation services of bulk tanks and pipeline networks to schools and hotels that need to use LP Gas for cooking.

The initial capital requirement for this storage terminal is huge: it will require not less than TZS 1.5 billion. However, the business is more profitable as you’d sell the LPG in bulk.

12.Oil and Gas Mediator

Oil and gas companies often make deals with equipment and/or service providers, and whenever they do this, the intermediary earns a handsome commission for every successful transaction carried out. The disadvantages of this business model is minimal because it requires next to no startup capital. All you need are contacts of customers in the industry for whom to serve as intermediary and reputable vendor.

13. Maintenance and Servicing

This is another profitable business because oil and gas companies have many facilities including depots, gas plants, tank farms, power plans, gas wells. So, they will always need to fix and maintain them.

And that is where you come in.
However, and most importantly, you need sufficient technical knowledge and you have to assemble a strong team of service engineers and technicians to fully satisfy your clients.

14. Human Resources (Manpower Management)

Companies in the oil and gas industry are busy with operations and productions such as drilling, extracting etc. They want to focus on their core business and that’s why hiring a recruitment agency will save time and hassles with hiring workers.

Bear in mind that companies in the industry hire many people when they have new projects. So, to stand out in this business, you need keep abreast of what new project is forthcoming in the industry and be the first person to approach the clients for manpower management services.

15. Consulting

While many consulting firm in Tanzania and East Africa focus on engineering and project consulting, there is a gap in the market in need of providing guidance, support and resources for the investors who own or want to start a business in this industry.

So, you fill this gap by starting your own consulting firm, consulting and providing business support for the people who want to build a sustainable business in the oil and gas industry. This business is ideal for people who don’t have a huge capital to venture into an expensive oil and gas business but have in depth knowledge of the oil and gas industry.

16. Products (Fuel) Haulage and Logistics

Due to the increasing demand for petroleum products in East African countries, transportation of these products (for example, premium motor spirit (PMS), diesel, kerosene, and other petroleum products) has opened a lucrative investment opportunity for entrepreneurs. This business is about using fuel tankers (trucks) to distribute petroleum products with transport charges depending on the distance to be covered and the capacity of the truck.

You will have to obtain a license from EWURA to be allowed to transport fuel across the country or to neighboring countries. You will have to purchase a truck and hire a qualified and experienced driver who will haul petroleum products for marketers from depot to their desired destination.

I would recommend you start with transporting petroleum products from depots to filling stations locally across the country. As your business expands, you can acquire a new license to transit fuel to neighboring countries such as Uganda, Kenya, Rwanda and Congo DRC.

17. Gas Retailing/Distribution

Cooking gas or LPG distribution is one of the most profitable oil and gas business opportunities. Yes, it demands medium scale capital investment. You also need to have proper licensing from the relevant government agency. Also, the market for cooking gas distribution is increasing.

18. Build a Website

The website should focus on the oil and gas industry. Do reviews, interviews and write original content. Monetize your traffic through advertisements, referrals and affiliate programs.

19. Start a Petrol Station

If you’re brainstorming in order to find a perfect business idea in Tanzania and East African oil and gas sector, investing your cash in the petrol filling station business is a wise decision.
This business ensures steady profit in a reasonable time from setting up. You might feel the market is already flooded, but you can come in and have a go at it. Petrol stations are in every street corner because they make insane profit.

Don’t get me wrong. I am not saying this to brag. Instead, I am telling you this because I’ve carried out solid research. So, I can confidently tell you that this is one of the right business opportunities to pursue.

The filling station market emerged in tandem with the automobile industry.
Most important is the emerging mode of transportation. There are tricycles or “boda-boda,” as everyone calls it, and it has increased the demand for petroleum products in Tanzania. The good news is that, all these vehicles and generators run on diesels or petrol.

With petrol station in every street corner, you might feel the market is already saturated. But with a good location, commercial expertise, systematic marketing and a wide range of services, new entrepreneurs like you can win the competition in this business.

20. Oil and Gas News

You can make money sharing news and information on latest developments, investment ideas, petroleum business challenges, entrepreneur interviews, etc. through online and offline means such as blogging, publishing periodic magazines, creating an oil and gas job portal, starting TV shows targeting the oil and gas sector and lots more. This is a perfect online oil and gas business for everyone.

21. Oil and Gas Brokerage Services

Even if you have no money to venture into the oil and gas business, you can still profit from the industry by offering brokerage services between buyers and sellers of petroleum products.

22. Start a TV Show Production

You can also launch a TV show targeting the oil and gas sector. You can profile and interview entrepreneurs in the oil sector, review the challenges in the petroleum sector, etc.

23. Blogging on Oil and Gas-Related Issues

Another easy-to-start business in the oil and gas value chain is to start blogging on oil and gas-related issues. It is interesting to note that there are loads of people out there who are making millions annually from blogging. If you are an oil and gas professional or someone who has sound knowledge in the oil and gas industry, one of the businesses that you can consider starting is to start blogging on oil and gas related subjects. The truth is that if your blog has useful and helpful content, you will attract loads of traffic and if you have loads of traffic on your blog, you can easily secure good advertising deals from stakeholders and other businesses in your blog. Just ensure that you update your blog regularly and you will continue to attract traffic.

24. Publication of Oil and Gas Magazine

Another of the several businesses is to start publishing oil and gas magazines. Information is key in any industry and all you need to do to be able to gain ground with this type of business is to ensure that you have relevant contents in your magazine per time. Part of the information that you should make available in your oil and gas magazine are the various business opportunities in the oil and gas industry, the latest trends, news and information as it relates to the industry, and advisory services to investors who are looking towards investing in the oil and gas industry.

25. Lubrication Oil Retail Shop

Selling egine oil, brake fluid and hydraulic oil et al. is a profitable and highly thriving business venture an entrepreneur who is interested in making money from the oil and gas business value chain should consider. The fact that vehicle owners subject their vehicles to servicing at regular intervals creates a market for lubrication oil products. In recent times, there is an increase in the lubrication oil production sector as it is one business you can readily go into with the hope of making great profit. The various needs of lube oils in homes, organizations, factories and industries just cannot be overemphasized because the population of people who have mechanical need for oil have continued to increase over the years. So, for you to start out in this trade, have an expert carry out good feasibility studies.

26. Start Manufacturing Cooking Gas Cylinders

Another profitable and thriving oil and gas-related business that an entrepreneur who is looking towards investing in the industry should consider starting is to go into the manufacturing of cooking gas cylinders. There is indeed a large market for cooking gas cylinder. As a matter of fact, households no longer rely on just one cylinder; they prefer to have one or more backups. This is indeed a capital intensive kind of business. It also requires loads of expertise to be able to stay afloat in this type of business.

27. Start a Filling Station Construction/Building Company

Another lucrative business in the oil and gas business value chain that an entrepreneur should consider starting is filling station construction/building company. It is important to state that you can only successfully start this type of business only if you have the required training, experience and technical skills. The fact that investors are investing in filling station business means that there will always be a market for engineers who are into the construction of filling stations.

28. Go into the Retailing and Supply of Pumping Machines

If you have visited a gas station/filling station before, you will notice that the means of retailing fuel, diesel, gas and kerosene et al. is via a well calibrated pumping machine. This goes to show that there is a market for pumping machines.

29. Health and Safety Trainings for Oil and Gas Workers

Another thriving and profitable business in the value chain is health and safety training for oil and gas workers. If you have the required background (experience and qualifications) to train on health and safety, then you should consider starting an organization that trains oil and gas personnel. In point of fact, health and safety is taken seriously in the oil and gas industry simply because of the risk and hazard that workers in the industry are subjected to in a bid to carrying out their jobs.

30. Manufacturing and Sale of Oil and Gas Machines and Equipment

Manufacturing and sale of oil and gas machines and equipment is yet another thriving and profitable oil and gas related business that an investor who is looking towards starting a business in the industry should consider. Oil drilling and exploration equipment, pumping machines, casing and pipe stacking and handling equipment, pumps, slush, oil and gas rig, gauges and meters, valves, actuators, regulators, cranes and lifting equipment, hazardous area electrical equipment and several other equipment and machines are marketable. So, if you are looking for a business to start in the oil and gas industry, then one of your options is to go into the manufacturing and sale of oil and gas machines and equipment.

31. Welding Services for Oil and Gas Companies

Another profitable and thriving business in the oil and gas industry that an entrepreneur who is looking towards starting a business in the industry can successfully start after acquiring the required training is to offer welding services. Welding is one of the services that are needed in the oil and gas industry to deliver precision welding jobs. So, if you are looking for a business to start in the oil and gas industry, then one of your options is to provide welding services for oil and gas companies.

32. Oil Farm/Depot

Imported fuel as stated above are stored in tank farms. Most oil marketers don’t own tank farms and, as a result, always need to store their petroleum products in other tank farms. With a large operating capital, you can construct a tank farm for the sole purpose of leasing it out to oil marketers who bring in petroleum products.

33.Open a Training School/Institution

There are very few colleges and universities that offer specialized training in the oil and gas sector. Starting an institute focused on the oil and gas industry is a good idea. Choose a niche, hire trained instructors, lease property and provide a robust curriculum.

34. Sell Equipment

The oil and gas industry uses lots of machinery to carry out their activities. You can buy or fabricate equipment targeted at a sector. The business is lucrative and requires lots of investment in money, technical knowledge and testing.

35. Supplying Safety Equipment

Every sector of the oil and gas industry needs lots of safety equipment. Safety is a major concern and a priority in the business. The companies need to buy equipment regularly. This is where your company comes into the picture. You can buy safety gears from major manufacturers and supply companies in the industry.

36. Insurance

The industry is very hazardous so they need proper insurance cover. You can hookup with an insurance company as a sales representative. You make money through the payment of commissions. The more insurance premiums you sell, the higher your profit.

37. Retail Kerosene

Kerosene business is profitable and has a huge market. People use kerosene to cook meals and light fires.

38.Oil and Gas Enterprise Software Application

Technology companies are equally not left out as they can build tech solutions specifically targeting the oil and gas industry, and license the software to companies in the sector.

39. Oil and Gas Exploration

Oil and Gas exploration is capital intensive and not for the faint-hearted. You need to get an exploration license or block. Exploration involves lots of demographic data, drilling and experts in exploration. You can also secure contracts from other oil companies to use your drilling equipment.

40. Cooking Gas Reseller Shop

Liquefied petroleum gas (LPG) market (popularly known as cooking gas) is expected to grow by fifty percent in the near future due to the wide adoption of LPG as a source of energy for cooking in residential areas, replacing other traditional cooking fuel such as charcoal and firewood.

The first option to go into the LP Gas business is to set up a retail shop in highbrow areas. Location is a key driver to success in starting cooking gas reseller shop. To start this LP gas business, you need at least 22 to 35 pieces of gas cylinders (preferably 15Kg and 6Kg gas cylinder), regulators and hose, and weighing scale. You will buy the cooking gas from major dealers/superdealers and resell them to households in your target location.
I often wonder how they make a profit seeing that there is intense competition in this business. But the best part is that, as the number of the household switching to this fuel increase, demand increase and more customers arise.

41. Offer Legal Services

There are legal practitioners who are well-vested in the business of oil and gas. This set of lawyers are specialized in oil and gas law, and they are making the most out of life in the industry. What they do is to offer legal advice to those in the industry who desire their services. This aspect of business opportunity in the oil and gas industry, according to findings, is a well-acknowledged service and it is a lucrative job for lawyers in the oil and gas industry, and that the job is reserved only for lawyers. So, lawyers, this is an opportunity in the oil and gas industry for you.

42. Start a Crude Oil Refinery

Tanzania import millions of tons of refined petroleum products annually. By building a crude oil refinery using limited stock feed supply in Tanzania, you will not only reduce the amount of petroleum products import in the country but also cater to the booming consumer demand by providing Tanzanians with affordable petrol, diesel, jet fuel and other petroleum products.
Setting up a crude oil refinery requires a huge startup capital, but it is very profitable business if you can pull up resources to start this business.

43. Host Industry Events and Conferences

If you don’t have the massive capital to venture into those expensive oil and gas businesses but you have passion for the oil and gas industry, you may consider putting together industry events and help professionals and companies learn about new development across the industry and build relationship that are valuable for career and business development.
If your event can attract relevant decision makers in the industry, you will make handsome money from attendees and sponsorship from companies who are looking for visibility and exposure across the oil and gas industry.

I hope this helps

+255(0)655376543 or Hussein.boffu@tanzaniapetroleum.com

 

 

A Sample Business Plan for Starting and Running Industrial Training Institution in Tanzania

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Executive Summary

AFRI Training Limited will be a training and development company in Dar es Salaam, Tanzania that offers training services to experienced and newly hired personnel to EPC Contractors,  pipeline operators, operators, mining companies and construction companies, with skills and knowledge required to succeed in the natural, construction and infrastructure sector.

This business plan will be used to define the scope of our services, as well as a means of gaining the necessary investment to open the company. It will also be used continually  in the evaluation of AFRI Training Limited’s mission, goals and objectives.

The key to success for AFRI Training Limited is the ability to market effectively,  creating high-quality learning environment where people enjoy themselves, and hiring qualified  and experienced instructors to aid in the running of our courses.

The discoveries of massive natural gas in Tanzania, along with the resulting investments in infrastructure such as ports, oil and gas pipelines and renewable energy projects, have created a significant demand for local workers in Tanzania. The sad reality is that operating companies find it difficult to attract highly qualified local people for implementation of the projects in the region.

AFRI Training Limited hasave equip itself in this challenge and has assembled a strong team of qualified and knowledgeable instructors to fully satisfy the needs for highly qualified workers by developing workers and moving them from just local level to world class professionals and industry leaders.

AFRI Training Limited is projecting  a modest net profit in its first year  of operation with this increasing steadily  by the end of the third year.

Company Summary

AFRI Training Limited is a new manpower development company that provides training services to new to experienced and newly hired personnel to EPC Contractors,  pipeline operators, operators, mining companies and construction companies with skills and knowledge required to succeed in the natural, construction and infrastructure sectors.

Company Ownership

AFRI Training Limited will be duly registered as a limited liability company financed partially by direct owner investment.

Mohamed Aboud: Owner and Managing Director; will own 45% of the company.

The other limited partners will own   30% and 25%.

Mission 

The mission of AFRI Training Limited is to develop and transform local workers from just being users to be world-class professionals and industry leaders.

Our purpose is to move the local industry professionals from just users and followers to ex-pat experts and to professionally independent focal point which will produce local leaders of the industries, and they will able to lead the industrialization phases execution accordingly.

Vision

AFRI Training Limited is seeking to be a training hub in East Africa by providing training that meets industry standards and requirements.

Objectives

  • To achieve a substantial sales revenue during the first year of operation.
  • Increasing sales modestly  during the second year of operation.
  • Increase customer base by 25% by the end of the third year.

Keys to Success

Effective Marketing: We will market AFRI Training Limited as a distinguished name in Tanzania and we will do it creatively so that our services  will reach each of our market segments.

Knowledgeable and Experienced Trainers and Management: By providing trainees with knowledgeable and qualified staff who show genuine interest in the participants, clients will be confident that AFRI Training Limited will meet all their manpower development needs and requirement.

Up-to-Date Curriculum:  By offering an up-to-date industry curriculum, students, employers and the society can be confident that the program meets the quality standards that produce highly qualified workforce.

Table of Contents

Executive Summary

Objectives

Mission

Vision

Company Summary

Company Ownership

Start up Funding

Products and Services

Market Analysis

Market Segmentation

Competition

Competitive edge

Marketing Strategies

Management and Personnel Plan

Financial Plan

Get the Full Version Now

Make a payment of US $200 (TZS 400,000) through Tgo pesa, M-pesa to any of these numbers

  1. +255768183677
  2. +255655376543

Once your payment is done, send an SMS to +255768183677or +255655376543 with the following details:

  • Your full name.
  • Your email address.

Alternatively, send an email with the above details to info@tanzaniapetroleum.com The moment we receive your email or SMS, and we confirm your payment, the eBook will be delivered to your email address (in PDF format) within ten minutes. You can then download it and read it on your Smartphone or computer.

If you’re not in Tanzania, send an email to info@tanzaniapetroleum.com and we will devise a payment option for you.

7 Steps Involved in Starting a Profitable Petrol Station Business in Tanzania

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The growth demand for fuel due to the county’s economic growth and expansion of transportation sector create ample opportunities for the petrol station investments in Tanzania.

 

Starting a petrol station in Tanzania requires careful planning and adherence to regulatory requirements. Here are some steps to consider:

1. Research and Planning:
– Conduct market research to assess the demand for fuel in your chosen location.
– Identify potential sites that are accessible, have sufficient traffic, and meet safety requirements.
– Analyze the competition and their pricing strategies.
– Estimate the initial investment and ongoing operating costs.

2. Legal and Regulatory Requirements:
– Obtain the necessary licenses and permits from the relevant government authorities, such as the Energy and Water Utilities Regulatory Authority (EWURA).
– Comply with safety and environmental regulations set by EWURA and other relevant agencies.
– Register your business as a company or partnership with the Business Registration and Licensing Agency (BRELA).

3. Secure Financing:
– Develop a comprehensive business plan to present to potential investors or lenders.
– Explore financing options such as loans from banks or financial institutions or seeking out private investors.

4. Land Acquisition and Construction:
– Identify and acquire suitable land for your petrol station, ensuring it meets all legal and safety requirements.
– Design and construct a fuel station layout that includes fuel pumps, tanks, convenience store, restrooms, and other necessary facilities.
– Seek out experienced contractors and professionals to handle the construction process.

5. Equipment and Supplies:
– Purchase high-quality fuel dispensers, tanks, safety equipment, and other necessary hardware from reputable suppliers.
– Establish relationships with fuel suppliers to ensure a reliable and consistent fuel supply.

6. Staff Hiring and Training:
– Determine the required staffing needs, such as fuel attendants, cashiers, and security personnel.
– Advertise and conduct interviews to hire qualified employees.
– Provide training on safety protocols, customer service, and daily operational procedures.

7. Marketing and Operations:
– Develop a marketing strategy to attract customers, such as offering competitive pricing, loyalty programs, or various payment options.
– Install clear signage to promote your petrol station.
– Establish partnerships with local businesses to attract more customers.
– Implement efficient inventory management systems and maintain proper records for fuel stock and sales.

Remember, it is crucial to consult with professionals, such as legal advisors, financial advisors, and experienced petrol station operators, to ensure compliance with the specific requirements and regulations in Tanzania.

A Sample Business Plan for Starting an LP Gas (Cooking Gas) Distribution/Wholesale and Retailing Business in Tanzania: A Business Plan for one Quick Gas Limited

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Our sample LPG  business plan helps business owners and entrepreneurs like you create a business plan in less time for investor funding, bank loan, compliance with government authorities and for self-learning. 

EXECUTIVE SUMMARY

Overview

There has been a substantial raise in the consumption of liquefied petroleum gas (LPG) in the last ten years. The annual LPG consumption in Tanzania has grown from 5,500 metric tonnes in 2005 to 145,800 metric tonnes in 2019. Furthermore, with continued economic development in Tanzania as well as increasing awareness in the use of LPG as the best alternative to firewood and charcoal, the consumption of LPG will grow to a significantly high level in both urban and rural areas. And with the Tanzanian government’s ambition to scale up the use of LPG across the nation, it will lead to increase in LP Gas demand and supply to hotels, homes, factories, boarding schools, army camps, mines as well as petrol stations.

Although competition in the LP Cooking gas business has increased over the past few years in Tanzania, with our effective marketing and supply strategies, building close client relationship as well as providing complementary services, the newly-established LP Gas retailer like Quick Gas can still be profitable and assured of recovering its entire investment.

Customer Problem

Our business aims to solve the problem of limited access to clean and affordable energy for cooking and  purposes in Tanzanian households. Many households rely on traditional fuels such as firewood and charcoal, which are not only expensive but also harmful to health and the environment.

The Company

Quick Gas Limited is a newly-established LPG distributor/retailer in the Kasulu District of the Kigoma Region in Tanzania. Our mission is to provide clean and affordable energy solutions to address the problem of limited access to such resources in Tanzanian households.

Products and Services:

Our products and services include:

  • LP Gas (cooking gas) in 6kg, 15kg, 30kg and many other volumes.
  • LPG cylinders of various sizes, colour and design.
  • Cookers and fittings such as pipes, gauges etc.
  • Site installation services.
  • Home delivery of products and services.

Customers/clients:

Quick Gas will deliver LP Gas to household, industrial and commercial customers in Kasulu District in the Kigoma Region and will expand to other location of the city after three years of services.

Competition

Quick Gas Limited will have both direct and indirect competitors but our competitive advantage is that majority of the population will opt for LP Gas rather than buy firewood or charcoal, and there are more customers to go round.

Financial Considerations

The financial projection of this business plan is attached as an spreadsheet file.

Objectives

The underlying objectives of QUICK GAS limited is stated as follows:

  • To be known as a top quality, safe and reliable LP Gas delivery service provider in Tanzania.
  • To achieve and preserve a high gross profit margin.
  • To expand to other location within the city after three years of service in the Kasulu district of Kigoma Region.
  • To achieve 25% of the market share within the first three years.
Form of Business: Limited Liability Company
State of Business: Start-up (new business)
Managing Director: Lawrence Mambo
Business Development Consultant: Hussein A. Boffu
Opening Hours: Mondays to Saturdays: 7 AM – 7 PM.

Sundays: 12 PM – 6 PM

Get the Full Version Now

In the full version, you will have access to the following table of contents:

EXECUTIVE SUMMARY

  • Overview
  • The Company
  • Products and Services
  • Customers/clients

BUSINESS DESCRIPTION

  • Problem Statement
  • Mission
  • Vision
  • Objectives
  • Our Values
  • Keys to Success

PRODUCTS AND SERVICES

MANAGEMENT TEAM

MARKET ANALYSIS AND TRENDS

  • Market Research
  • LP Gas Import in Tanzania
  • LP Gas Industry Trends
  • LP Gas Industry Outlook
  • Our Target Market
  • Core needs and pain points
  • Behavior Patterns

COMPETITOR ANALYSIS

  • Direct Competition
  • Indirect Competition
  • Competitive Advantage

SALES AND MARKETING PLAN

OPERATIONAL PLAN

  • Opening Days/Hours
  • Location
  • Setup Cost
  • Machinery/Equipment Requirement

SWOT Analysis

PEST Analysis

Risks and Mitigation

  • Identified Risks
  • Mitigation Strategies

FINANCIAL PLAN AND PROJECTION

 

For the complete business plan for starting and running a LP Cooking gas business in Tanzania, make a payment of $200 (or its equivalent in Tanzanian Shillings TZS 400,000) through Tgo pesa, M-pesa to this number: +255655376543.

Once your payment is done, send an SMS to +255655376543 with the following details:

  • Your full name.
  • Your email address.

Alternatively, send an email with the above details to info@tanzaniapetroleum.com. The moment we receive your email or SMS and we confirm your payment, the plan will be delivered to your email address (in docx) within fifteen minutes.

You can then download it and read it on your smartphone or computer.

If you’re not in Tanzania, send an email to info@tanzaniapetroleum.com and we will devise a payment option for you.