Tanzania is set to double its coffee export value from $250 million to $500 million over the next five years, as announced by President Samia Suluhu Hassan. During her visit to Aviv Tanzania Limited coffee plantations in Lipokela Village, Songea, she emphasized the importance of enhancing training for coffee farmers to boost both production and export value. The President noted a significant increase in the Ministry of Agriculture’s budget, which grew from Sh229 billion in 2020/21 to Sh970 billion in 2023/24, with projections to exceed Sh1 trillion in 2024/25. This funding will facilitate the recruitment of agricultural extension officers and the distribution of 20 million quality coffee seedlings to farmers at no cost. Additionally, improvements have been made to the coffee purchasing system through online platforms and streamlined payment processes.
To further enhance coffee production, President Hassan highlighted collaboration with stakeholders to build and improve irrigation infrastructure in key growing regions. She mentioned that increasing the value of coffee exports would help reduce government borrowing and reliance on external loans. The government has also implemented initiatives such as lowering the council levy from five to three percent and reducing payment periods from one month to three days. Environmental conservation amid climate change was also emphasized, with President Hassan urging that farm expansions should not result in deforestation, particularly given the importance of compliance with European market standards.
Support for local farmers through improved irrigation practices and the introduction of alternative crops was discussed, as was corporate social responsibility initiatives. Peramiho Constituency lawmaker Jenista Mhagama reported that 10 of the 14 management positions at Aviv Tanzania Limited are now held by Tanzanians, which enhances local capacity. Agriculture Minister Hussein Bashe highlighted improvements in coffee prices attributed to the new online trading system and commended recent policy reforms aimed at boosting investor confidence in the agricultural sector. In addition, President Hassan laid the foundation stone for a Sh14.757 billion project to construct 28 cereal storage warehouses in the Ruvuma Region.
This project is part of a larger initiative to build 70 facilities across five regions: Ruvuma, Dodoma, Mbeya, Songwe, and Njombe. The warehouses will include offices and laboratories for testing cereals, with future phases aimed at expanding storage capacity to meet national needs. The construction uses new technology to prevent water leakages, with plans for Tanzania to achieve a three million metric ton cereal storage capacity by 2030.
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