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VOL.6 May 2014
Benefits Down the Line
Chinese construction company that built Tazara Railway brings skills and employment to East Africa
By Hou Weili

China delivers locomotives for the Tazara line in the early 1970s

While at school in the 1980s, Wang Xiangdong's knowledge about Africa centered on the Tazara Railway, a turnkey project financed and completed by China in the 1970s. While being proud of the project symbolizing the depth of Sino-African friendship, Wang was intrigued by the remote continent, but never in his wildest dreams expected that his future would be intertwined with Africa. After graduating from university in 1997, Wang joined China Civil Engineering Construction Corp. (CCECC) and one year later was sent to Africa to begin his long association with the continent.

"The Tazara Railway is like a golden-lettered signboard for our company. We receive warm hospitality when local people learn we are the constructors of the railway," said Wang, now General Manager of CCECC East Africa Ltd., in an interview with ChinAfrica.

The friendship founded on the back of Tazara, a 1,860-km rail that runs from East Africa's major seaport of Dar es Salaam,Tanzania, into the heart of Zambia's Central Province, was forged over decades and involved the efforts and hardships of CCECC employees like Wang. Developed from China's former Foreign Aid Bureau of the Ministry of Railways, CCECC was one of the first Chinese enterprises engaged in international project contracting. As an overseas branch of CCECC, CCECC East Africa was the undertaker of the Tazara Railway project. Now having integrated neighboring markets in Ugandaand Rwanda, it has grown into an international project contractor with top-grade qualifications. 

African roots

Unlike the globalization approach of many other Chinese enterprises that get bigger in the domestic market and then go on to compete in the global arena, CCECC East Africa has always positioned itself as an international contractor. This means that the career life of most CCECC employees starts with working abroad. Wang was no exception. He was sent toBotswanathe second year he joined CCECC. Life then was not easy.

"I just returned home once during the first four years. The main [method of] communication [then] was writing to my family once or twice every month," Wang said. "As international call charges at that time were expensive and the construction site was usually far away from cities where telephones were available, we had to travel miles for a minute-long call just to make sure that the family were fine," he added.

Today CCECC carries on the spirit of friendly cooperation generation after generation and continues to helpTanzania and Zambiaoperate and maintain the Tazara Railway. In recent years, CCECC has expanded its business to markets like water supply and drainage projects inTanzania. Since 2004, the company has undertaken two water supply and drainage projects under a contract worth $100 million, according to Wang. "We completed the projects with high quality and received widespread praise from the president, officials of water resource departments and ordinary people," Wang said.

In recent years, CCECC has become competitive in the construction business inTanzania. Wang said a 22-story building project has now changed theDar es Salaamskyline, bringing a modern edge to the city. Undertaken by CCECC and completed in October 2013, the building is now the landmark of Tanzania's capital, a complex that integrates a shopping mall, business and conference center, recreation facilities and parking lots.

"It is a project that had great construction difficulties. On the one hand it is located in the downtown business center and neighbors an old building whose blueprint was lost. On the other hand, the soil off the seashore was not solid enough and posed a threat to the foundation," Wang said, adding that the construction's careful preparation meant it was executed with a high standard of workmanship.

Localization

Through years of experience in Africa, Wang realized the importance of localization to the growth of an overseas company. "Just depending on getting workers and technology from home [China] would not help an enterprise keep pace with the growth of overseas markets. We need more local support," Wang said.

He said CCECC has over 2,000 local employees in its Tanzanian operations, about 90 percent of its total employees there. "Among local employees, there are engineers, technicians and managerial personnel in charge of procurement, administration and project bidding," Wang said, noting that locals take pride in working for CCECC as salaries are good and jobs there bring social status.

Cultural differences jeopardize the localization to some extent, and can sometimes also lead to a delay in construction. "Locals are used to having a tea break. No matter how urgent the work is, they would stop at tea time," Wang said. "We respect local customs and readjust the working hours so that their tea break is guaranteed."

Working hours are also regulated. "Beyond the eight-hour working day, they [staff] would choose to have a rest rather than earn overtime. When we are on a tight schedule, it becomes a big headache," Wang said.

He believes adapting and earning the respect of staff are the best ways to overcome difficulties brought about by cultural differences. Therefore, CCECC takes the initiative to improve surrounding roads and schools whenever it executes a project. "We should show them [Tanzanians] our arrival brings a concrete improvement to their lives. In this way, we can establish a win-win and harmonious relationship with them," Wang said, adding that building a harmonious relationship will also facilitate the company's sustainable operation. 

Mutual progress

In Wang's eyes, employing locals is just the beginning of an enterprise fulfilling its corporate responsibility. Helping local staff to establish promising careers by equipping them with professional skills is a more effective approach to localization.

Wang said CCECC constructs railways and buildings to boost the local economy and improve people's livelihood. "Take railways for example, it requires personnel and technology to operate and maintain them after they are finished. Just sending professional technicians from home is not the ultimate solution. We have to train locals to be competent [in] such professional jobs," Wang said.
 
At present, CCECC supports and assists outstanding local employees and high school graduates to study in Chinese vocational schools and well-known universities like Southwest Jiaotong University and Central South University, whose majors include studies related to the rail industry and rank among the best in China. "After graduation, they can either return to their home country or work in China. There are such employees in the company's survey and design institute in Fuzhou, southeast China's Fujian Province," Wang said.

The company is also considering the possibility of training technicians and managerial personnel in host countries with African counterparts. "Poor education infrastructure and a lack of qualified teachers is now a barrier to such cooperation," Wang said, noting that training personnel is a long-term task that needs further cooperation between enterprises and African countries. 

To date, CCECC has trained many operation and maintenance professionals for the Tazara Railway. Discussions are currently underway withTanzaniaandZambiafor further cooperation to revitalize the railway that is such a powerful symbol of Sino-African friendship.

 

 

 

 

 

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