The 336km section runs from Morogoro to Makutupora near Dodoma and will take three years to build. The contract includes the construction of eight passenger stations and six freight terminals.
In February, Yapi Merkezi and Mota-Engil, Portugal, won a $US 1.2bn contract to build the 205km section between Dar es Salaam and Morogoro.
Contracts are expected to be awarded soon for three more sections: Makutupora - Tabora (294km), Tabora - Isaka (133km), and Isaka - Mwanza (248km).
For the latest project updates from around the globe, subscribe to IRJ Pro.