DODOMA, April 16 (NNN-DAILYNEWS) — TANZANIA is a leading food crop exporter in the East African region thanks to strategic government’s initiatives, farmer subsidies and significant improvements in the agricultural sector and crop production, the Minister for Agriculture, Hussein Bashe said.
Speaking to Members of Parliament during a debate on the Prime Minister’s budget estimates for the 2025/2026 fiscal year, Bashe highlighted the substantial growth in the country’s food crop production over the past four years which has not only secured domestic food sufficiency but has also enabled significant exports to neighbouring nations.
Bashe said government’s implementation of various plans and strategies has been instrumental in boosting crop yields. A key indicator of this commitment is the significant increase in the Ministry of Agriculture’s budget, which has surged from 294bn/- in the 2021/22 fiscal year to 1.25tri/- in the 2024/25 fiscal year a remarkable jump of over 325 percent.
The Minister provided compelling figures to illustrate this growth. Rice production, he noted, has nearly tripled from 1.2 million tonnes to 3.5 million tonnes by 2024. Similarly, maize production has doubled from 6 million tonnes to 12 million tonnes in the same period.
Cashew nut production has also seen a substantial increase, rising from 180,000 tonnes to 520,000 tonnes, accompanied by a significant price increase for farmers to 4,200 Tanzanian shillings per kilogramme.
“These achievements are a direct result of the government’s unwavering commitment to improving agricultural production,” Mr Bashe stated, adding that at least 400 billion shillings had been allocated in subsidies to cashew nut farmers over the past three years.
Furthermore, Tanzania’s prominence in the tobacco sector has also grown, with the country now ranking second in Africa after Zimbabwe.
Tobacco exports generated a substantial 400 million US dollars (approximately 1.076 trillion shillings) last season, with the price per kilogramme increasing fivefold from 0.5 US dollars to 2.5 US dollars.
Coffee, another key cash crop, has also witnessed positive developments, particularly in the Kagera Region where prices have soared from between 700 and 1,100 shillings per kilogramme to 5,000 shillings.
Bashe informed lawmakers that the government’s efforts through the Ministry of Agriculture have successfully accelerated the agriculture sector’s growth rate from 2.7 per cent in 2021 to 4.2 per cent.
Consequently, agricultural exports have also seen a significant upswing, increasing from 1.2 billion US dollars in 2021 to 3.5 billion US dollars in 2024.
“These achievements are a testament to the strong support and the political will of President Samia Suluhu Hassan, who has consistently championed positive changes in the agriculture sector,” Bashe emphasised.
The Head of State’s focus on improving irrigation farming has also yielded results.
The budget allocated to irrigation schemes has seen a substantial increase from a mere 55 billion shillings in 2021 to 400 billion shillings currently.
This investment has facilitated the implementation of 780 irrigation projects, expanding the irrigated land network from 560,000 hectares to 970,000 hectares, bringing the country closer to the ruling CCM’s election manifesto target of 1.2 million hectares by 2025.
Looking ahead, Bashe announced a significant step towards further bolstering the agricultural sector with the official launch of the National Cooperative Bank (NCB) by President Samia Suluhu Hassan later this month.
The new financial institution, starting with a 55bn/- capital, aims to address critical challenges faced by the agricultural sector, particularly the lack of access to tailored capital and financial services.
President Samia has prioritised ensuring readily available capital for the agricultural sector, Bashe noted.
The NCB will be headquartered in Dodoma, with initial branches planned for Tabora, Kilimanjaro, and Mtwara.
The second phase of expansion will cover the Kagera, Mwanza, Dar es Salaam, Mbeya and Katavi regions. The bank will operate through 36 agents, with cooperative unions playing a key role as agents.
The government’s multipronged approach, encompassing increased budgetary allocations, targeted subsidies, and the establishment of specialised financial institutions, appears to be bearing fruit, positioning Tanzania as a key player in East Africa’s agricultural export market. — NNN-DAILYNEWS
