What is a Petrol Station Business and Why Should Anyone Look Inside This Recession Proof Business

/in /by

 

The filling station business, otherwise known as the petrol station business. A petrol station business involves three parts, selling fuel such as diesel, petrol, kerosene, lubricant oil/ engine oil.

And also petrol station make an additional income doing side business related to petrol station like a car was mechanic workshop etc.

Also, the other part of petrol station is offering variety of products from Soda, waters, milk to snack food.

If you are wondering why you should get into this line business, then the answers are simple,

It is a true recession proof business
To be totally honest with you, since the year 2008 to date, the economy around the globe has not improved as much we would like to think it has, everyone has a small pocket, so some businesses are suffering from short sales.But petrol station owners will agree even the business slow down, but never just went away. Whether people have job or not they need fuel for their cars. Even people who have got laid off will need water, soda, and foods.
You get the picture, if you run a petrol station business you are selling necessities to our communities

It is a tangible investment and tangible return
Unlike buying stock or investing in Forex markert where your investment just liquidates. Even if you stop running your station there would still be something tangible to hold on to

Low risk. The risk of failure is to lower compare to other retail business, this is because you are selling necessities to our everyday life. Fuel isn’t a luxury in the car. With unreliable power supply in Tanzania. All business owners have standby generators so as to have steady power supply when unexpected happens. And all these generators are powered by diesel which they buy from petrol stations

So now how to get into this recession-proof business in Tanzania? How much it cost to start a mini petrol station with only two pumps. What are costs of the equipment and where to find them in Tanzania? How much capital do you need to go into this business? What are the license and permit you should have to go into this venture?

 

 

Those are few of the very many questions you may be asking yourself now. But that’s fine.

Because…

Introducing…

What if you could learn the requirements of starting a petrol station without wasting precious years? What if you could learn what it takes to run a filling station? What if you could do that without begging, bribing, or cajoling anybody? What if you could do that now?

This books answers all your questions concerning this subject. Below are some of what you’ll learn in the book:

  • Three ways to start a filling station business in Tanzania, and the easiest among them.
  •       The steps and procedures to obtain licenses and permits to setup a petrol station.
  •        The list of certificates you need to run a petrol station.
  •        The cost of setting up a petrol station in Tanzania.
  •        The equipment and machines you need to have a complete filling station, their prices, and where you can buy them.
  • The factors determining the profit margin of petrol stations.
  • Three ways to become a dealer of oil companies in Tanzania.
  • How to setup a petrol station using the brand name of major oil companies in Tanzania such as Total, PUMA, etc.
  • The marketing strategies you should employ for your station.
  • How to control theft and avoid robbery in your station. (Ignore this and watch robbers flock in every now and then.)
  • The challenges associated with running a petrol station.

The Complete Guide for Just a Token

Not TZS 200,000.

Not TZS 100,000.

Not even the regular TZS 50,000.

Get this guide now for a token of TZS 35,000.

To buy the book, make a payment of TZS 35,000 through Tgo pesa, M-pesa to any of these numbers

  1. +255655376543
  2. +255689955711

Once your payment is done, send an SMS to +255689955711 or +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.

 

Frequently Asked Questions

What kind of book will I receive?

The book will be in PDF format, delivered digitally via email. There are not physical copies of the book sold at this time.

What happens after payment?

Once a payment has been made, you will receive an  email,  with attachment of your purchased copy which you will  obtain a copy of the PDF book.

 

Meet the Author

Hello, my name is Hussein Boffu, and I’m the author of How to Start and Run a Profitable Petrol Station Business in Tanzania. I’m also the founder of TanzaniaPetroleum.com

I am an entrepreneur specializing in the oil-and-gas supply chain. For quite some time now, I’ve been consulting a lot of businesses, both local and international, regarding starting a business in Tanzania’s oil and gas sector.

I have been approaching and talking to executives, and have been selling goods and equipment to various oil-and-gas companies in Tanzania.

What Others Are Saying About Me

“I was amazed when I first found his informative article on the internet. My reaction? Wow. It was the absolute best anyone could offer the petroleum industry. So, I emailed him for a face-to-face interview. And we met. Seriously, I have a strongly feeling about him. Hussein Boffu enlightens people who are passionate about doing business in the oil and gas sector in Tanzania.” –Mussa J. Mlindwa, Commercial Assistant, American Embassy, Tanzania.

 

“I have found Hussein to be a veritable fountain of information with a vast and useful network of senior contacts when I first sought information about the Tanzania’s oil and gas industry. Also, Hussein has a newsletter and website that is arguably one of the international community’s first stops when considering investment into Tanzania.” –Daniel R. Butler, Consultant and CEO of MelbourneSRO, The Czech Republic.

This Offer is Time Sensitive

This offer wouldn’t be around forever. The discount runs until 4th February, 2018. So, hurry!

To buy the book, make a payment of TZS 35,000 through Tgo pesa, M-pesa to any of these numbers:

  1. +255655376543
  2. +255689955711

Once your payment is done, send an SMS to +255689955711 or +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.

Comment

 

 

My Brother Invested into MLM and Lost: Is the Petrol Station Business Risk-Proof? [Plus a Special Discount]

/in /by

Could you believe it?

My brother invested money into some multi-level marketing scheme and lost all his money. Aw!

I told him. I warned him. But he wouldn’t listen.

“This platform will shake the country more than MMM did,” he told me. I could see his eyes sparkle at the idea.

I was pained, no doubt.

But what pained me most was that my brother invested millions into the MLM scheme. And he lost big time.

Every Business is a Risk

My brother, an egotistical man he was, came up with a defense. “Every business is a risk.”

Whew! Really? Maybe I agree a little, but there are businesses with a much lower risk.

Even if the business failed, there would still be something tangible to hold on to.

One of such businesses is the filling station business, otherwise known as the petrol station business.

Consider this:

  1. You’re not marketing any product because consumers already abound.
  2. You would surely make a lot of income doing side businesses related to the petrol station business like car wash, mechanic workshop, etc. And you don’t have to be present physically.
  3. Big companies like DSTV, MTN, etc. rent office space from petrol stations. And we haven’t talked about shopping malls, too.

You see, everywhere you turn under the petrol station business, there are opportunities waiting for you to grab them.

“How do I start?”

“Who do I contact?”

“What kind of area should I buy my land?”

“How would I get supplies to sell?”

Those are few of the very many questions you may be asking yourself now. But that’s fine.

Because…

Introducing…

What if you could learn the requirements of starting a petrol station without wasting precious years? What if you could learn what it takes to run a filling station? What if you could do that without begging, bribing, or cajoling anybody? What if you could do that now?

This books answers all your questions concerning this subject. Below are some of what you’ll learn in the book:

  •  Three ways to start a filling station business in Tanzania, and the easiest among them.
  •         The steps and procedures to obtain licenses and permits to setup a petrol station.
  •          The list of certificates you need to run a petrol station.
  •          The cost of setting up a petrol station in Tanzania.
  •          The equipment and machines you need to have a complete filling station, their prices, and where you can buy them.
  • The factors determining the profit margin of petrol stations.
  • Three ways to become a dealer of oil companies in Tanzania.
  • How to setup a petrol station using the brand name of major oil companies in Tanzania such as Total, PUMA, etc.
  • The marketing strategies you should employ for your station.
  • How to control theft and avoid robbery in your station. (Ignore this and watch robbers flock in every now and then.)
  • The challenges associated with running a petrol station.

The Complete Guide for Just a Token

Not TZS 200,000.

Not TZS 100,000.

Not even the regular TZS 50,000.

Get this guide now for a token of TZS 35,000.

To buy the book, make a payment of TZS 35,000 through Tgo pesa, M-pesa to any of these numbers

  1. +255655376543
  2. +255689955711

Once your payment is done, send an SMS to +255689955711 or +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.

 

Frequently Asked Questions

What kind of book will I receive?

The book will be in PDF format, delivered digitally via email. There are not physical copies of the book sold at this time.

What happens after payment?

Once a payment has been made, you will receive an  email,  with attachment of your purchased copy which you will  obtain a copy of the PDF book.

Meet the Author

Hello, my name is Hussein Boffu, and I’m the author of How to Start and Run a Profitable Petrol Station Business in Tanzania. I’m also the founder of TanzaniaPetroleum.com

I am an entrepreneur specializing in the oil-and-gas supply chain. For quite some time now, I’ve been consulting a lot of businesses, both local and international, regarding starting a business in Tanzania’s oil and gas sector.

I have been approaching and talking to executives, and have been selling goods and equipment to various oil-and-gas companies in Tanzania.

What Others Are Saying About Me

“I was amazed when I first found his informative article on the internet. My reaction? Wow. It was the absolute best anyone could offer the petroleum industry. So, I emailed him for a face-to-face interview. And we met. Seriously, I have a strongly feeling about him. Hussein Boffu enlightens people who are passionate about doing business in the oil and gas sector in Tanzania.” –Mussa J. Mlindwa, Commercial Assistant, American Embassy, Tanzania.

 

“I have found Hussein to be a veritable fountain of information with a vast and useful network of senior contacts when I first sought information about the Tanzania’s oil and gas industry. Also, Hussein has a newsletter and website that is arguably one of the international community’s first stops when considering investment into Tanzania.” –Daniel R. Butler, Consultant and CEO of MelbourneSRO, The Czech Republic.

This Offer is Time Sensitive

This offer wouldn’t be around forever. The discount runs until 31st January, 2018. So, hurry!

To buy the book, make a payment of TZS 35,000 through Tgo pesa, M-pesa to any of these numbers:

  1. +255742856060
  2. +255655376543
  3. +255689955711

Once your payment is done, send an SMS to +255742856060 or +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.

Earn Your First $ 100,000 as Service Provider In The East African Crude Oil Pipeline(EACOP) Project Challenge Announcement

/in /by

The massive discovery of natural gas in Tanzania and crude oil in Uganda, has made East Africa the hub and lucrative market for investment.

Large investment has been made in East African specifically Uganda and Tanzania after the significant discoveries of gas and oil in the countries.

The 3.5 billion East African Crude Oil pipeline (EACOP) is another the huge project in East Africa.

The pipeline project will increase the inflow of foreign direct investment(FDI) by 60 percent in both countries during the construction phase.

The project provides vast opportunities across the different sector of the economy.
The pipeline will benefit companies, communities, and individuals seeking to utilize opportunity available across all phase of the project.

But the simple truth is that getting the business in the prestigious project like this isn’t simple as it sounds. It seems there are many reputable firms are eyeing to get business in this project. So it needs good strategies, commitment and expertise.

The hard truth is that, lack of information and awareness is the biggest obstacle that will hold back 80 percent of people from participating in the EACOP even if they would like to. This because when it comes to the huge project like this, you will never get the detailed information about the project.

There are some important information restricted by a certain group in the oil and gas. This information is withheld internationally from general public.

If you would like to participate in the EACOP project but don’t know where to get started, don’t worry you are not alone. Many people out there are on your shoes, trying to figure out the best way to be on the EACOP map.

As you know my mission is to help more people participate in the EACOP, I announce Earn Your First $ 100,000 In The EACOP As Service Provider challenge

Here Is What You Will Discover In This Challenges
1. Project Description
2. How pipeline Will be Constructed and Operated
3. Studies and Survey That has been carried out along the pipeline route
4. Financing structure of the project
5. Stages Of The Construction Of The Project
6. List of Temporary and Permanent Facilities That Will be Constructed along the pipeline Route
7. Benefit of the project for the individuals, companies and host countries
8. Purchasing procedure in the EACOP project
9. Powerful strategies to Pursue To pursue Big Opportunities and get repeated business in the project
10. Key business opportunities emerge in the project throughout the life of the project
11. List of goods, tools/Equipment, and services you can offer in the project
12. Contact information

13. The progress and development update of the project

Here is how you can participate in this Challenge.

1.Don’t miss an update.
I will officially launch this challenge on 16th January of 2017. I will post an article each day on this blog for as long as this challenge will be on. So make sure you revisit this blog every now to make sure you are not missing an update.

2. Don’t hesitate for help
As a way to help you get the results, I will be answering all questions related to this challenge. So send your queries via Hussein.boffu@tanzaniapetroleum.com

The Most Anticipated Tanzania’s Oil and Gas Trend To Look To In 2018

/in /by


This is our prediction for the Tanzania oil and gas in 2018. The  prediction helps you realize the trend of the Tanzanian oil and gas whether will move in your favor or against you.
It helps you understand where the Tanzania oil and gas is going and help you capitalize opportunities of 2018 in the oil and gas space in Tanzania. Here are predicted trends of Tanzania’s oil and gas market

  1. Higher gas demand In Tanzania
    We have seen the gas demand stabilized in 2017.The increased emphasis of the government on the industrial sector and the substitute of hydropower to natural gas for electric power generation will trigger the gas demand in Tanzania.

The ongoing construction of 240 MW Kinyerezi-2 power station which is expected to be completed in Q3 2018. And the commission of extension of 185 MW Kinyerezi -1 Once fully operational, more gas will be required to generate power from these facilities.

Also, the increasing of factories built in the countries will increase the gas demand in Tanzania.

In 2017 Tanzania Petroleum development corporation (TPDC) finalized the commercial agreement to supply gas to the Dangote Cement plant. Also, TPDC started the delivery of gas From Manzibay gas field to a newly constructed tile factory named Goodwill ceramic.

Also the as the miners ordered to build smelters in the region, this will triple gas demand in Tanzania. We forecast the gas demand will be high in 2018. So for those who want to make fortune in Tanzania’s oil and gas, you can capitalize opportunities through helping to meet the gas demand in Tanzania.

2.A lot of deals in pipelines
A lot has been done in 2017 in the proposed East African Crude Oil Pipeline (EACOP),

Uganda and the United Republic of Tanzania have already signed the Intergovernmental agreement (IGA) for the East Africa Crude Oil pipeline (EACOP) project. And president John P. Magufuli and his counterpart Museveni have laid the foundation of Uganda- Tanzania crude oil pipeline.

The Front-end engineering and design report are in the completion stages.

Once released and Final Investment decision (FID) is reached the construction stage will begin. The project starts in Q1 2018 if all goes into the plan.

This project will create immense opportunities for individuals, companies, communities and host countries So In 2018, keep your eyes close to this prestigious project and you will uncover enormous opportunities to capitalize.

Also, there will be an opportunity for modernizing of existing TAZAMA pipeline (1710 kilometer pipeline that moves oil feedstock from Tanzania to Ndola Zambia) or building a parallel pipeline for moving natural gas

3.Increasing of the upstream activities
You don’t need to be the rocket scientist to recognize that the drop in oil and gas prices has slowed down the upstream oil and gas activities in Tanzania.

The oil prices are still low. But is good for everyone now as it ranges $ 50 to 65$. We see the international oil and gas companies have started to spend money.

This will lead to many drilling programs in Tanzania. Statoil Tanzania hired ocean rig as a drilling contractor for his offshore well that starts in Q1 2018.

4.development program and employment opportunities
Our view is that the year 2018, will be the year of training programs.

And Tanzanian youth will benefit the most from these programs.

As the government of Tanzania wants its citizen to benefit from various oil and gas projects, more training programs will be on board to help Tanzanians benefit from the prestigious oil and gas projects.

Many of these programs will range from the fabrication and welding training.

Our industry is now experience labor shortage. This is the result of hiring a lot in the good times (when prices are high) and laid off many employees when oil prices drop. Many Tanzanians have been downsized since the June 2014. But there are brighter days in 2018. As the companies begin to spend money, Tanzanians will get into oil and gas workplaces

To put together 2018, will be the prosperous year in the oil and gas industry in Tanzania. The midstream (pipeline) segment of the industry will continue to evolve and will be booming.

hussein.boffu@tanzaniapetroleum.com

+255655376543

5 Ways Technology is Changing the Oil, Gas and Mining Industries

/in /by

 

 

 

 

 

The extractive industries are, by their very nature, pretty high tech. yes for some reasons, they often seem to be left behind in discussions of how technology is changing industries.

Just as any other industry however this one has seen some pretty big changes, and most, if not all of them, were driven by technology. Some of the changes are ongoing, some are already complete and others maybe won’t be affecting the industry for a little while yet.

We’re here to talk about 5 of the biggest ways technology is affecting the extractive industries.

1.Faster Drilling

Wireless drill steering is set to sweep the oil drilling industries. As reported in the New York Times last year, the company Pioneer Natural Resources is very much living up its name, as it pioneers new drilling methods, including remote monitoring for drill sites.

The typical rig that was only drilling 9 wells a year is, with their software, now drilling up to 16 – and shaving 25% of the operating costs.

2.Robotics

The extraction industry, across oil mining and natural gas, is a relatively high risk working environment – especially at the business end of extracting these resources. It’s therefore slightly surprising that the industries have not really embraced robotics to a major extent.

Read also.7 Profitable Investment Opportunities In Tanzanian Oil and Gas Sector

Neither in their deployment nor their research have the extraction industries led the way in the past, but this is finally begging to turn around. National Oilwell Inc, as just one example, has now full automated the risky job of connecting drill pipes on drilling rigs.

3.Drones

Drones are another area where automation and technology can save considerable amounts of time and labor. They are increasingly to be found amongst expedition teams where their ability to quickly scout landscapes with greater detail and far better precision than satellite imagery is really shaking things up.

They can also be employed on equipment checks, such on rigs and remote drilling platforms, providing quick and easy eyes on access for engineers who can be remotely placed and checking on several platforms all at the same time.

 

4.AI

Maybe not necessarily at the business end of extracting oil and gas as the technologies above are, but none the less the extractions industries are increasingly turning to AI to assist in efforts to streamline their business.

As profit margins shrink, it will be the industry that adapts most successfully to this that will thrive – and AI can give the edge. Whether it is automating processes or monitoring production to find inefficiencies, the ability of AI to continually repeat, and hone, tasks means it is a superb tool in the fight to streamline operations and maximize profits.

5.The Cloud

So we’ve discussed how drones can capture far more information far more quickly than has been possible before. We’ve also looked at how AI can de deployed to gather data for streamlining and smooth operation.

But where does all that information go?

Into the Cloud. As the extraction industries become more and more technologically advanced, as they begin to harvest and use vast amounts of data they will need to migrate their IT platforms into the cloud. This will also have the benefit of connecting field workers to company data instantly, anywhere in the world – vastly improving working and decision speeds at every point of the extraction process.

 

Jen Starr is part of the community team at Next Day PC. Jen enjoys staying on top of the latest tech trends and sharing how new tech can positively impact people’s lives.

 

Hussein.Boffu@tanzaniapetroleum.com

+255655376543

 

 

 

 

Realistic Reasons Why Your Business Needs A Website

/in /by

Having a website is the best thing you can do for your business. A website is an essential marketing tool for your business. It can help you to connect with influencers, decision makers and also it is a great tool for lead generation.

Why You Need A Website For Your Business
Here are the benefits having a website for your business

1.It helps to establish trust with your clients,
Many clients you are reaching out to, will google your business before meeting you in person.

So they look for online to find out whether you are the business they can trust. So if they found your company website online and gain more information about your business they establish trust, which results in the relationship and sales. It keeps your clients, partners, shareholders, and investor more informed about the business
Your website can serve as important tools to educate clients about your offering

2.It essential tool for lead generation.
Believe me or not, there are hundreds of clients looking for the products and services you offer.

Most of them go online for research about specification, cost and related issues about the products they are looking for. Procurement managers and engineers in oil and gas sector they first look for products online to understand the specification of the products before they recommend to their managers,

if you have a website that you post an informative article to educate your clients about your products and services, you will increase your success rates.

3.your business professional feel.
Client don’t take seriously people who reach out to them via emails associated with like “Gmail” ‘yahoo” “Hotmail “
. If you use unprofessional email like hussein2005@gmail.com to reach out client in oil and gas. I guarantee your email going unread. Or even if they read, nobody will reply.
To stand out you have to use professional emails that associated with your website.

How Your Business Website Should Look Like

Now, let see how your company website should look like
1.An “Our services” page

you offer On your company website you need to highlight the services or products you offer. But listing 10 products or services you sell isn’t enough, you have to provide with description of each service services render.
2.An “About Us” Page
In this page you will tell your client who you are, you will describe everything people have to know about your company.
3.An “Our Clients “page
If you have already offered the services or products to other clients. List clients in you have served on this page. This increase your business reputation and can help you to get client
4.A “Contact” page
In this page, you will entail email address, phone number and physical address where people can reach out to you.

5.”Our Team” section
If you have qualified staff in your team, just list the name of the management with their profile
6.”Mission and Vision Statement”Page
This is an important part of your company website. Vision is the direction of your business in the future. To write a powerful vision statement find out where you see your business in the next 10 to 20 years to come. Vision is the map describing where you are going.
Mission
This explains daily activities in your company or business does. If you want to write mission statement close your eyes and see what you do in dailuy business for your business

Next Steps
So if you don’t have online presence you are losing potential clients for your business
So you have seen the how the website is essential for your business. If you need the help for the good design of your business or company website, please reach out to me via hussein.boffu@tanzaniapetroleum.com
Whatsapp +255655376543

A Million Dollar Export and Import Business Opportunities In Tanzania In 2018 .

/in /by


You don’t need to be the rocket scientist to recognize that Tanzania is a land that blessed with massive business opportunities

The reason why the export and import is the profitable sector because, no any nation in the world can satisfy everything for herself. Since Tanzania is the growing market, the population is increasing by 3 percent each year so growing the middle class and urbanization trigger for more import opportunities in the region
If you have been racking your brain on the lucrative business idea to start in Tanzania, then inside article you will find the top products you can import or export abroad
So here are the import and export business opportunities in Tanzania

Top Import Opportunities In Tanzania
Now, let’s talk first about import opportunities and the last part will be export opportunities in the region

1.Clothes importation
You already know that clothes are one of the human necessities, we can’t live without clothes that are the reason why this profitable business in Tanzania. This is a business that thrives in any economy.

Because even in bad economy Tanzanians look for the clothes to wear. To stand out in this business sell the used clothes, this is because, since the year 2008 to date, the economy around the globe has not improved as much we would like to think it has.

So everyone has small pocket these days, for this reason, more people prefer to buy used clothes rather than getting new ones. To double your profit margin in this business offer variety of related products, so you can also import bags, shoes, and watches, your target audience for this business in Tanzania are women, men, and kids.

You can source the used clothes from China, India Dubai, and the USA and resell in Tanzania at high rates.

2.Electronics Items Importation
The growth of the economy by 7.1 percent in 2017 in Tanzania has led to the rise of a number of mobile users in the country.

So source the smartphones and resell them in Tanzania can be a great opportunity to pursue. Also laptops and other profitable electronics items.

You can source from China at wholesale prices and resell in Tanzania to consumers

3.Solar power products importation
Reliable and affordable electricity is a major challenge in Tanzania, also the desire of clean energy to replace the firewood and charcoal is increasing the demand for solar power products in Tanzania. So you can make fortune by importing solar power products such as panel, solar batteries, charge controller and solar inverters.

Also Read.   How To Register Your Business in Tanzania – 5 Steps

4.Fuel/ Petroleum Products Importation.

Fuel importation. The demand for refined petroleum products (diesel, petrol, kerosene, liquefied petroleum gas (LPG) and lubricant oil is extremely high in Tanzania. As of 30th of December 2016, Tanzania consumed 33 millions liters of petroleum products (Petrol, diesel, kerosene, and Jet-A1 ) This a large number. In this business to make out ahead, you should have tank farm to store fuel products.

Since Tanzania use bulk procurement system to import all petroleum products (Diesel, kerosene, Petrol Jet oil) so, you must be a member of Petroleum Importation Coordinator (PIC), which is the company responsible for coordinating petroleum products in the country.

Also, they prepare periodic petroleum tender to get the winner of the tender.So you will bid for the importation of oil. And the lowest bidder will be given a contract to import petroleum products.
Once you got a job to import fuel, you store in tank farm and sale to wholesalers. Petrol stations owners, a large truck will be your potential customers.

Importation of fuel is a lucrative business in Tanzania.

However, a solid infrastructure and fuel depot and need huge capital startup. But it has a solid return for those who are creative in raise money for this kind of investment. Also, this is regulated business. To operate in this business you have to get and permit and licenses from the Energy, Water and Utility Authority (EWURA).

Read :.[eBook] The Complete Guide to Starting a Petrol Station in Tanzania

5.Health products Importation
Diseases are the greatest challenges in many developing countries including Tanzania, if you have products or drugs that can cure people you will be on your way in the profitable business.

The products might range from those that are treating skin diseases, diabetes etc. You can import this health product from China. And if you do a hard work in promoting them you will make a decent profit.But once you import the product in the country you will never allow to resell them until you register your drugs with Tanzania Food and Drugs Authority.

6.Beauty products importation
Looking good is the desire of every human being. So importation of skin lotions, eyeliners, hair dye, perfumes are one of the most profitable businesses in Tanzania.

7.Become import/export consultant.

Like any other business opportunity, import and export have its own barriers and obstacles. If you don’t want to miss out an opportunity in this market you can provide consultation services to the entrepreneurs who are in this business. You can help them to understand the legal requirement for the business etc.

8.Become country representative
If you know the products or major distribution that are selling like hot cake in other countries and the manufacture are not marketing it in Tanzania. Just reach out to manufacture and affiliate with them to represent their products and distributions in Tanzania.

The point is you should not represent whatever product. But you should reach out to manufacturers who are offering the best products. That way, your products will see the outcome soon

Top Export Opportunities In Tanzania
1.Cashew nuts exportation
This is lucrative business opportunities in Tanzania. Since Tanzania produce cashew nuts than other countries in Africa. Since cashew nuts are the most consumed product in the world, so there is high potential in this business.

According to cashew nut Board of Tanzania (CBT), Tanzania export volume of cash nuts is 158,000metric tones in 2012. The most consumed countries of cashew nuts both USA and Holland. You can either involve In this business through exporting raw cashew nuts or kernelsA

2.Coffee exportation
Tanzania ranks 19 positions for producing coffee in the world.The export coffee brings a total of $ 60 million per year in Tanzania economy. So engaging in this business will bring you enough money.
3.Cotton exportation
Tanzania is the 2nd producer of cotton in the world after Brazil. The best part is that the demand for cotton in the foreign countries are extremely high, so you can come in and make a go of it

4.Mineral Exportation. T The mining sector has grown by 8.5 percent in the country in 2017. Since Tanzania is blessed with immense natural resources, you can make fortune simply by exporting minerals such as gold, Tanzanite gemstones to other geographic regions.
5.Agro- products exportation
Agriculture will remain to be the backbone of Tanzania economy, since many farmers in the country are engaging in the food crops like rice, maize, sweet potatoes, banana and cash crops like sisal and tobacco,

I hope that helps, if you have suggestion or question do not hesitate to reach out to me at hussein.boffu@tanzaniapetroleum.com
Or WhatsApp +255655376543 I will be glad to discuss with you

A Quick Spotlight On The Downstream Oil and Gas Activity In Tanzania

/in /by

 

This is a last part in the series of article focusing on oil and gas value chain In Tanzania. So you have an idea of the upstream  Upstream and Midstream   part of oil and gas value chain in Tanzania. Now let’s talk about the last segment. That is a downstream

 

Table of Content

  • What is a downstream
  • Main activities in downstream
  • The consumption of petroleum products  (kerosene, diesel, jet fuel, lubricants and liquefied petroleum gas in Tanzania)
  • High  Potential Business Opportunities In The downstream sector In Tanzania
  • Main Players In the downstream sector In Tanzania.

 

Let’s dive in

What is a downstream ?
Downstream refers to the process of refining crude oil and processing of natural gas into finished products. Downstream also involves marketing and selling products derived from crude oil and natural gas such as diesel, petrol, lubricants etc.
Downstream stage directly touches consumers because is the stage provides products we use in our daily lives.
The most common products derived at this stage are diesel, kerosene gasoline, petroleum products and liquefied petroleum gas (LPG) or cooking gas as everyone calls it.
Other products derived from crude oil and gas natural gas such as fertilizers, plastics, asphalt and synthetic rubber are unknown by the majority of the people.

Main activities in downstream segment of the oil and gas
The downstream stage involves four stages include:
1.Refining: To turn oil into usable materials such as diesel, lubricants, petrol etc. crude oil extracted from the producer regions sent to the refineries where is converted into the different substances that we can use. The purpose of the refined crude oil is to remove unwanted materials associated with crude oil and collect usable products only. So once the complex chemicals contained in crude oil is heated all unwanted materials are removed and we collect useful product only
2.Process:

Also natural gas is processed to remove impurities such as water, hydrogen sulfide and Nitrogen in the processing plants. The processed products delivered from natural gas include fertilizers.

3.Market and distribution
Marketing and distribution of the product made from crude oil and natural gas are in the downstream stage. This is where refined and processed products are delivered to the market. The oil and gas marketing companies distribute and sell the products Also downstream involve retail selling of the oil and natural gas such as diesel kerosene and cooking gas to the consumers

The downstream is highly regulated in Tanzania. Energy, water and Utility Regulatory Authority (EWURA) is a government agency responsible for regulating the downstream segment In Tanzania. Anybody considering to start a business in the downstream sector in Tanzania must license by the EWURA
Also other government agencies such as Tanzania Bureau of standard (TBS) which is national standard body. And it works in collaboration with EWURA to check the quality of the imported petroleum products

Total consumption of The Petroleum Products In Tanzania

Diesel, kerosene, Petrol  and Jet-A1
Tanzania consumed 33 millions liters of petroleum products (Petrol, diesel, kerosene, and Jet-A1 ) in 2016.
Consumption of the petrol has increased by 13 percent and the use of kerosene has increased by 16 percent.
The main driver for the increase of the consumption of petrol is the increase of importation of motor vehicles in the country.

While an increase of cost of charcoal and the scarcity of firewood has made many Tanzanians to shift into the use of kerosene.

Lubricants Consumption in Tanzania
The consumption of lubricant oil in Tanzania has increased by 8 percent from 2015 to 2016.

As of 2016 the total of both imported and that manufacture in the local market reached to 36 million litters

Liquefied Petroleum Gas (LPG) Consumption In Tanzania

The liquefied petroleum gas (LPG cooking gas as everyone call it has increased by 29 percent in 2016.
In 2015, Tanzanians consumed 70,063 metric tones. In 2016 Tanzanians consumed 90,296 Metric tonnes
This is the increase of 29 percent to the volume imported in 2015

However, the consumption of heavy oil has been decreased in the country, due to the reducing the use of heavy oil in the production of the electricity. As the country mostly relying on natural gas to generate electricity, the consumption of heavy fuel in the country is decreasing at a rapid pace.

        High Potential Business Opportunities In The Downstream Sector In Tanzania
1.Start a Lubricant Business
2.Set up a fuel station.  Click the link to get the guide on how to start fuel station in Tanzania eBook] Discounts: The Complete Guide to Starting a Petrol Station Business in Tanzania
3.Sell Liquefied petroleum Gas (Cooking gas)
4.Engage In natural gas distribution in various cities in Dar es Salaam. Tanzania Petroleum development corporation(TPDC) as national oil and gas companies has been inviting both local and foreign investor in the distributing of the natural gas to the end users in Dar es Salaam

5.Construction of offloading terminals
6.Supplies of maintenance and repair operation equipment, such as pumps, flow meters etc.
7.Mechanical and fabrication services
8. HSSE services
9.Heavy industrial construction such as construction of the offloading terminals

The Main Players In The Downstream Sector

Here are  18 lists of the players in the downstream segment of the oil and gas sector In Tanzania

  1. PUMA Energy and
  2. Oryx Energies
  3. GBP
  4. CAMEL OIL
  5. Lake oil
  6. ToTAL
  7. MOIL
  8. GAPCO
  9. OIL COM
  10. STAR OIL,
  11. MOGAS,
  12. ACER
  13. MT. MERU
  14. HASS,
  15. PETROL FUELL
  16. ENGEN,
  17. PETRO
  18. AFRICA DELTA

 

I hope this help, if you find the article informative, share with friends or just leave your comment below as I love to hear your thought.

+255655376543

Hussein.boffu@tanzaniapetroleum.com

 

A Quick Spotlight On The Midstream oil and gas Activity In Tanzania

/in /by

These are series of articles focusing on value chain in the oil and gas in Tanzania. If you missed out the previous article regarding the first part of oil and gas value in Tanzania, I strongly recommend to read it first before you move to this article. Follow the link to access it Tanzania upstream oil and gas value chain

Now you have in depth understanding of the first part of the oil and gas value chain, let’s talk about the next part of the oil and gas value chain in Tanzania. That is a midstream.

 Table of Content

  •  What is Midstream
  • Main activities In The Midstream
  • Characteristics of the midstream part of the oil and gas value chain
  • The Midstream Infrastructure in Tanzania

 

What is midstream?
Midstream is a middle part of the crude oil, and gas value chain that involves transporting and storage of the oil and gas. Once the oil and gas is produced should be sent to the refinery or processing plants
So midstream is a link among oil and gas producing regions and processing plants, refinery and consumers.

The main activities in the midstream.
Now you know the meaning of the midstream, now let’s talk about the activities in the midstream segment of the value chain. The activities in the midstream include

1.Processing
To make the transportation of oil or natural gas easy, the petroleum will be pre-processed in the production region before they get to the refineries or processing plants for complete processing. These are done to remove impurities such as water, hydrogen sulfide that associated with raw materials.

 

Also Read: How To Register Your Business in Tanzania – 5 Steps

2.Transportation
This is a main activity of the midstream, oil and gas can be transported across the sea by tankers and barges, also can be pumped through pipelines. Railroad and car-truck are also transportation mode. Companies realize the best way to move oil and gas is to pump in the pipe. That is a reason the most common mode of oil and gas transportation is via pipeline.

3.Storage
The last components of the midstream are storage facilities. These are facilities constructed to store crude oil and petroleum products. Because of the high pressure, natural gas is stored in the underground reservoir until is ready for the transportation to the market. The storage facilities for crude oil and oil substances include:

  • Tank Farms
  • Holding Tanks
  • Bulk terminals

Characteristics of The Midstream part Of The Oil and Gas Value Chain
Let’s talk about the main characteristics of the midstream business

1.Less Risk
Midstream part of the oil and gas value chain is considered as a low risk when you compare with other oil and gas value chain midstream doesn’t have the risk, exactly them as that in upstream business

2.Highly regulated.
The midstream is highly regulated in Tanzania specifically, pipeline components. For example, before you build a pipeline you should get all permits and agreements of all people affected by it.

                                               Tanzania Oil and Gas Midstream Infrastructures
Now that let’s talk about how crude oil, petroleum products, and natural gas are transported in Tanzania

Trucking: Up to 2016 the road trucks was the main mode of transportation of the petroleum products from the port, receiving terminal to the outlay regions in the country
Also, the road was used to transport petroleum products to other countries mainly Rwanda, Burundi, Uganda, and the Democratic Republic of Congo.

Pipeline:
In the most cases pipeline has been transporting natural gas in the country. Here are the main oil and gas pipeline in Tanzania.

In Tanzania midstream part we have four main oil and gas pipeline that move oil and gas to the various destination. Here are the main oil and gas pipeline in Tanzania:

1. Songa Songa Pipeline
This is a 207-kilometer long pipeline that transports natural gas from the Songo Songo gas field in Lind region to Dar es Salaam. The pipeline has the capacity to transport 35 million cubic feet of the natural gas per day. The pipeline is owned by a private company called Songas Limited. The construction of the pipeline started and 2003 and completed in 2004.

2. Mtwara-Dar es Salaam Pipeline
The second pipeline is 532km long that pump natural gas from Mnazi Bay gas field in Mtwara to Dar es Salaam. The pipeline has the capacity to transport 210 million cubic feet of gas a day The construction started In July 2012 and completed in 2015

3. Tazama-Zambia Pipeline
The pipeline is 1710 kilometer in length that transport petroleum feedstock from Dar e Salaam In Tanzania to Ndola, Zambia. Tazama pipeline built to transport petroleum product. But it has been transporting petroleum product until the Ndola refinery was built in 1973 when it turned and started to move petroleum feedstock.The pipeline has the capacity to pump 2200 barrel of petroleum product. Also, the pipeline is operated by the government of Tanzania and Zambia in which Zambia government has interest rates of 67 percent and Tanzania government has 33 percent.

4. East African Crude Oil Pipeline (EACOP)
This is 1445 kilometer long pipeline, proposed to pump crude oil from Kabaale-Homa in Uganda, to Chongeleani Peninsular near Tanga port in Tanzania. The construction of the pipeline is expected to start in January after the final decision is reached in December 2017.
Once the pipeline is completed will be capable to move 216,000 Barrel of oil per day, The The USD 3.5 billion associated with construction of this pipeline will increase inflow of Foreign Direct Investment by 60 percent in Tanzania and Uganda.

I hope this help, if you find this information please share with friends.

Mobile   +255655376543

Email: Hussein.Boffu@tanzaniapetroleum.com

 

Relationship Are The Heart Of Oil and Gas Business In Tanzania This is how To establish them Right Way

/in /by


Would like to get a client in the oil and gas in Tanzania or somewhere in East Africa? Would love to get repeat business in the oil and gas sector?
If your answer to either question is “Yes” you are in the right place.
The oil and gas sector is the relationship industry, people in the industry prefer to do business with people they like and know. so relationship is the key to success in the industry.

As my friend, Mark LaCour says “This is an industry of people doing business with people” This statement prove truth
So your ability to build to keep the relationship in the industry will make you the most in the industry

4 Reasons Why Relationship Is A Key To Success In The Oil and Gas

1. It is a personal contact industry
This is an industry of people doing business with people. People in oil and gas prefer to do business with people they know and like. Resume, cover letter, and brochures alone are too impersonal,

2. Stiff Competition
Job listing and vendor listing in oil and gas tend to draw thousands of applicants, which put you in intense competition with all those people. Networking you a recommended number of a much, much smaller group.

3. Often Opportunities in oil and gas not advertised

 

Often business and jobs opportunities in oil and gas are not advertised. Relationship leads to information, sales and job leads often before a formal job description is created or job is posted on a website or invitation to apply for expression of interest(EOI)

4. BIG money industry
Oil and gas are the capital-intensive business, People put billions of dollar  in the oil and gas projects. So they put a lot of risks to work or do business with people they don’t know. So they want to build a kind of trust before award you a contract.

Now that, you have an idea why relationship is critical in the oil and gas, now let’s talk about how to establish it

 5 Realistic Ways How To Build and Keep Relationship In The Industry
Here are the realistic ways to build a strong relationship in the oil and gas sector.

1.Attend industry events and join associations and clubs

The best way to network in Tanzania oil and gas sector is to go places that people you want to connect to oil and gas are frequent congrats.
This include joins associations and attends the same event and conference they attend. To establish relationship with people at the event and associations the first thing thing is to introduce yourself and give your names to people you meet in the event
Ask a great question that will build trust with that person. Say something like “ Where do you work” “Do you have children” How long have you been in Tanzania” Is this your first time to attend this event”
Ask for a business card. Never exchange business card and leave like many people do. Once they gave you a card, treat it with care. Read it. And comment on a card. Say “Looks like a great company”

The following day, after meeting sends them a thank you email. Say “It has been pleasure meeting yesterday. I enjoy talking to you. And I strongly believe will talk again soon.

A Quick Rule To Remember To Get Most Of The Relationship
A key rule in building a relationship is an “EXCHANGE”. And it goes like this “You help enough people to get what they want and you will get everything you want” In another word, Networking is a give and receive. You are helping someone they are helping you. So make sure it’s an equal exchange

So when you meet new person avoid to ask for a favor in initial networking activities. Make no attempt to ask for a job or promote your services once you meet new people in Initial networking activities. It will never work out. This is because a new person you meet has two kinds of fear. Fear to be taken advantages of or to be manipulated. So your job is to eliminate these fear In your initial conversation with a person you come in contact. And the best way to achieve that is by ask question about themselves.

Like where are you come from? What are you doing? Which company you work, who are your customers?
Once you ask this kind of questions, people feel you care about them. This build friendship and relationship that result in information about job or business opportunities
So once you meet people find out how you can help them, rather than looking at what you can get from them. And never make it too complicated. You might assist them in getting customers, give them a knowledge or you can offer them a good book.etc.

If you meet a person in the meeting for the first time, and then you offer him your resume or brochure. He can’t help you. Because oil and gas are the personal contact industry, You should first build trust and connect with that person in human level, and ask for a favor later.

2.Have a regular physical presence at oil companies‟ offices.
You should repeatedly oil and gas companies’ premises that way you will keep your face in their mind, have a repeated meeting with your clients is an effective way to establish the relationship because they will start to like and trust start you and they will become a friend of your business.

3.Give something back
This might sound unethical but the relationship is given and receive. So give something back to your prospect works really well not only in East Africa but across the world. I call this is an “International tradition” And here is how it works, give a gift to your prospects or special clients, bring them out for a launch, dinner or entertainment.

4.Be prompt in your response.
If your prospect sends you an email response to them quickly, if the client has sent you the request for proposal, please send them your quotation quickly. Your ability to respond faster will make the client to rely on your goods or services

5.Performance
If you have implemented everything above, you will likely win at least one contract. And you will be required to deliver goods or services to the purchaser.
But the truth is, the oil and gas sector is competitive, so once you get a contract, render a good service. Deliver on time or early. In this industry, your last job predicts your next opportunities.
One of the key factors oil and gas companies consider when choosing a supplier is their ability to respond quickly. So, do a good job, and they will give you more. Some operations in the oil and gas sector, such as drilling, are the fast-response businesses, so delaying, delivering poor supplies, or rendering poor services, will delay and ruin production and hence reduce their profit.

 

I hope this helps. If you find this information informative please share with your friends on social media or just leave your comments below.