Dar es Salaam, Jan. 3 -- ZANZIBAR government has terminated an agreement with Sri Lankas firm — ‘Hairu Group of Companies (HGC) after the latter failed to execute a fish processing plant project in Unguja.

The Sri Lankas firm in partnership with Zanzibar Fisheries Company (ZAFICO) signed the agreement in May last year to build a fish processing plant at Fungurefu-Mkokotoni in Unguja Norths coastal area.

It was anticipated that the project would result in creating at least 450 direct jobs, including boosting the Isles economy, but the company has failed to continue with the project.

“It is unfortunate that the Hairu Company had no funds for the project. We have decided to terminate the agreement, and directed ZAFICO to...