The Tanzanian Government has sold the M V Rukwa to the Southern Engineering Company of Kenya acting together with Lido Navigator Limited of Liberia at a price of 5,512,500/(315,000 US dollars). The sale of the vessel follows a scrutiny by a team of experts comprising officials from the ministries of Communications and Works, and Finance and the Bank of Tanzania. There were five tenders for the purchase of the vessel, including tenders from Holland, West Germany and Britain.

According to the Acting Director of Shipping in the Ministry of Communications and Works, Ndugu T B Rweyongeza, the tenders were invited from foreign firms which were prepared to buy the vessel in foreign exchange. He said the Government had taken time to pick the buyer because of the depressing price problems afflicting the shipping industry. He said following the ship’s doubtful technical seaworthiness after having stayed idle for more than two years, it was decided that the vessel be sold on an “as-is-where-is” basis.

The Tanzanian Ocean Shipping Corporation (TOSCO) which operated the MV Rukwa has been dissolved.

The 14-year old vessel is the same ship which was once known as MV Jitegemee, later renamed MV Lord Rajpar after it was bought by a Dar es Salaam businessman. The ship, formerly owned by the East African National Shipping Line (EANSL), was sold to the Tanzania Colt Motors Limited in Dar es Salaam by the Tanzania Investment Bank at 39m/- under a deal which was later successfully challenged by the Government.

Meanwhile, Ndugu Rweyongeza said the Government had also invited tenders for the sale of another Tanzania Coastal Line Shipping Company (TACOSHILI) vessel, MV Mwenge, also grounded some six months ago due to higher operational costs.