This policy brief aims at assessing the trade development and competitiveness of Tanzania by assessing the productivity of its firms against the background of further integration into the East African Community (EAC). The note addresses both the export premium of an internationalization strategy, the opportunities for specialization within the EAC and the impact of the challenges that currently are hindering trade competitiveness. Finally, the brief provides recommendations on how to enhance trade competitiveness and remove policy bottlenecks in order to reap the significant trade potential. This brief is based on econometric research, literature review and informed by many sources including background interviews, field research, government reports, academic papers as well as non-governmental reports.