Tanzania Cancels Indo Power Solutions Cashew Deal

The Government of Tanzania has cancelled a deal with Kenyan firm Indo Power Solutions for failing to deliver on the provisions of the contract on time.  

The agreement, signed in January, was for the purchase of 100,000 tonnes of cashew nuts. The Government has also confirmed the signing of deals with six other companies.

“Forget about the company that signed a contract with us in Arusha (Indo Power) because it failed to honour the agreement. We have signed contracts with six other firms, which are now in the process of fulfilling provisions of the agreements. Those that will make payments first are the ones that will collect the merchandise,” Tanzania’s Minister for Industry and Trade Joseph Kakunda is quoted by The Citizen as stating.

Concerns regarding the capacity of Indo Power to deliver on the contract had been raised previously, with question marks concerning the company’s registration and officials raised by the media.