Mozambique is taking a bold step towards strengthening its private sector and unlocking new economic opportunities with a $10 million investment in strategic logistics infrastructure.
Backed by the World Bank through the Conecta Negócios project, the initiative will see the construction of two logistics centres in the northern provinces of Nampula and Cabo Delgado, regions critical to the country’s mining and industrial growth.
The centres, located in Topuito (Nampula) and Balama (Cabo Delgado), are designed to transform how small and medium-sized enterprises (SMEs) participate in large-scale projects. By improving access to supply chains, reducing transaction costs and enhancing competitiveness, the facilities are expected to create a more inclusive and efficient business environment.
Pedro Paulino, coordinator of the Conecta Negócios project, highlighted the broader impact of the initiative, noting:
“We are working on infrastructure to alleviate the private sector’s transaction costs after production to place their goods on the market,” he said.
Driving Local Industry Through Mining Partnerships
The Topuito logistics centre will play a key role in supporting the operations of Irish mining company Kenmare, which extracts titanium-bearing heavy sands in the region. This development is part of a wider strategy to build a robust local industrial ecosystem linked to Mozambique’s extractive sector.
“We have an initiative to contribute to the establishment of small and medium-sized enterprises that can directly supply the demands of Kenmare,” Paulino said.
This move comes at a time when the Mozambican government is engaged in negotiations with Kenmare to revise its contract, aiming to increase the State’s revenue share from 1.5% to 3.5%. The outcome could further enhance the country’s economic returns from its natural resources.
Meanwhile, in Cabo Delgado, the Balama logistics centre will focus on supporting graphite mining operations. The facility is expected to handle processing and packaging activities, ensuring that products are market-ready for consumer industries both locally and internationally.
Beyond infrastructure, the Conecta Negócios project has already made significant strides in empowering local entrepreneurs. More than 7 000 micro, small and medium-sized enterprises have received training, with approximately 45% of these businesses owned by women, highlighting the programme’s commitment to inclusive growth.
Together, the two logistics centres are poised to become critical enablers of Mozambique’s productive sector. By bridging the gap between SMEs and large-scale mining operations, the initiative not only strengthens local supply chains but also lays the foundation for long-term industrial development.