The National Development Corporation (NDC) of Tanzania inked a deal with Nava Bharat Pte Ltd of Singapore (NBS) to put up an oil palm farm and processing plant. The joint venture agreement was valued at USD 111 million. The facility would be located in the Kisarawe District in the Coast Region of Tanzania. Oil palm from the village of Kimala Misale in the Kisarawe District would also be processed by the facility.

The terms of the agreement state NBS would hold an 80% share in the joint venture while NDC would hold a 20% stake. The contract was a result of a memorandum of understanding signed by the two firms in 2011. The MoU stipulated that they would work together to establish large scale projects in the agricultural industry in Tanzania.

NDC Managing Director Gideon Nasari said the project will develop an 8,000 hectare oil palm farm. A contract farming scheme for out-growers would also be put in place. A palm oil extraction and refinery plant would also be built.