Kilimo Kwanza Issue 39

Friday 5 August 2011

SUPPORTING THE PROMOTERS OF THE GREEN REVOLUTION

NANE NANE 2011

kilimokwanza@guardian.co.tz

Is Agriculture no longer the backbone?

Friday 5 August, 2011

EDITORIAL

NANE NANE 2011 inside Is Agriculture no longer the backbone?

Caring for small farmers a matter of life and death

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LL roads have been leading to Dodoma from the weekend for the week-long Nane Nane celebrations to mark Tanzania’s Farmers’ Day, which as usual falls on August 8. This is that time of the year that farmers all over the country showcase their achievements in efforts to prove that agriculture is indeed the backbone of the nation’s economy.

The celebrations are this year marked at national level in the country’s long-designated capital and, just as in all previous years, they have attracted government ministries and a host of other public and private institutions. By the look of things, farmers both small and large-scale from across Tanzania are fairly represented at the show and all have been afforded an opportunity to introduce to the country and the outside world what they have been doing to make agriculture contribute to the economy.

The celebrations will have served excellent purpose and lived up to popular expectations by standing as a platform for farmers to learn from each other, thus crossfertilising their ideas and experiences for the benefit of all.

Unless this is the case, it will be meaningless calling Nane Nane ‘Farmers’ Day’ because recent research findings show that some policies and programmes bypass smallholder farmers, who constitute the majority of the country’s farming population. The findings also show that most smallholders know little about what Kilimo Kwanza, the national initiative aimed at realising a Green Revolution in Tanzania, is all about. Ironically, it is this very policy that promises to improve the lot of farmers in the country. Kilimo Kwanza seeks to make it possible for smallholder farmers to grow for the painful days of the hoe to the era of mechanised agriculture and therefore higher yields with much less sweat and toil.

One blessing in disguise is that massive chunks of land targeted for Kilimo Kwanza belong to smallholder farmers in rural areas, from whom it could be “borrowed” (of

Artwork

& Design: KN Mayunga

course with compensation) to facilitate land acquisition for large-scale investment.

According to the country’s land laws, the state could take over any idle village land for economic development including under the umbrella of Kilimo Kwanza.

It should be emphasized, though, that this should not mean leaving those previously laying claim to the land should be left languishing in abject poverty. This is why it is of fundamental importance not to budget smallholder farmers out of subsidies and other benefits available through Kilimo Kwanza, as most opportunities demand that one have securities like land titles which many ordinary citizens do not have and they thus may not be able to access loans from financial institutions.

What is even worse is that these farmers can’t afford the high cost of farm implements, whose distribution is handled by private dealers often motivated by profit margins. For instance, the price of power tillers ranges between 8m/- and 10m/- and that of tractors between 40m/and 50m/-. Experts and lay persons alike believe that there is still a lot to be done before agriculture can indeed qualify as the backbone of Tanzania’s economy. Part of the secret lies in extending to smallholder farming the incentives it so badly needs to improve – and to realise the dreams of Nane Nane. This would tie in excellently with Kilimo Kwanza’s theme for this year, whose literral translations goes thus: ‘We have dared, we have made it, and we are soldiering on’.

Government releases more funds for agricultural lending

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COVER STORY

NANE NANE 2011

By Sunday Moshi

griculture has been chanted the backbone of the country’s economy since independence. This is because it is the stronghold of the country’s economy. All unindustrialized countries cannot avoid having agriculture as the backbone of their economies since any country needs revenue and the only alternative to industries is agriculture. We need food, we get it from this sector; we need school fees for our children, uniforms and whatever other necessity, no other sector but agriculture can provide such. 80 per cent of the country’s population turns directly to this sector. The remaining 20 per cent might say they have monthly salaries, but where do those salaries come from? Of course they come from their ministries, companies and entrepreneurship, but even these would not have money or life without turning to agriculture for both.

What will they eat? Who will buy their merchandise if the 80 per cent does not? We don’t have industries, so all we have is agriculture to depend upon.

However, agriculture would never be if not for the farmer. Tilling of the land, sowing seeds, weeding and harvesting, plus livestock keeping is what the farmer does. And this is what we call agriculture. Therefore, without the farmer, we will not have agriculture, without which we’ll never have the backbone but simply a body like a blob,

Is Agriculture no longer the backbone?

without form or stability.

If the farmer be so important, why is he so poor? A carpenter buys timber, works on it with his tools and sells his furniture at a profit; an entrepreneur buys merchandise sells it at a higher price and makes profit. Even a person who had gone to school and started a career gets a million-fold of the money expended on his education. Only the farmer is supposed to be paid back less than what he’d incurred in producing the crop. And this because the ministry has banned exportation of his produce.

According to the government, the ban is prompted by fear of a looming famine, which is inevitable in spite of the ban, due to other outlets of the food harvested in the country.

It’s true that export of food could cause famine as feared by the government, but is the farmer supposed to live in poverty in spite of all the season’s toil? Is averting famine the farmers’ responsibility? Should abundance of food in the country be at the expense of the farmer? Of all the Tanzanians is

it only the farmer that is not entitled to a life of comfort, to send his children to English-medium schools, build mansions and enjoy the fruits of his labour?

It seems so since all the other people who participate in other sectors benefit from their toil, by selling their services and goods at the most maximum price they can fetch but the farmer is being pulled back by the government, to remain where he was ten years back.

When the farmer could sell his/her bag of maize at 20,000/- abroad and the government wants it sold here, then the farmer should get the same 20,000/- here or else the government should compensates for the difference, should the price be lower. There should also be a ready market, since the government may want all the food to be sold here when demand is low than supply.

Instead, the government has imposed the ban, offering to buy 200,000 tonnes of excess food as reported by the media recently. Mr Ally Mohamed, MP for Nkasi North –CCM was reported as

PRIVATE AGRICULTURAL SECTOR SUPPORT NANE NANE 2011: 'Kilimo kwanza, tumethubutu, tumeweza, tunazidi Kusonga mbele'

Sweet potatoes to address vitamin A deficiency

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would be amended so as to allow a sale of surplus food.

This is evidence of how the farmer’s contribution to the economy is not appreciated.

Even though the food export ban has been imposed to avert famine as the government supposes, food is smuggled out of the country at a terrific pace. According to media reports on July 13, 200 lorries illegally ferry maize to the neighboring country on a daily basis through Himo township alone. Since I opened my eyes for the first time on earth I have never seen the door of any police station closed (and I wonder why at all they should have shutters if they don’t close) for the soldiers are on guard every second of the day for twelve months a year, yet 200 lorries can ferry maize everyday undeterred. It’s a pity that guards can overlook to this extent. The only two alternative roads out of Himo to the border via Tarakea are within less than twenty meters from the door of Himo police station. The Marangu – Tarakea road goes north from Himo on the western side of the police station, while the other outlet overlooks the police station, right in front of the main door running eastwards till they unite at Mwika and across the border, via Rombo.

Smuggling is done by tycoons who farmers look upon as their saviour, for they come for the food they could not sell. A peasant in a village cannot sell

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CONTINUED ON PAGE 6

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saying that since the ban, the price of a bag of maize has dropped down from 35,000/- to 24,000/-, which I hope would be the price the government is willing to pay. Worse still, according to Mr Deusderius Mipata, MP for Nkasi South –CCM, Rukwa region alone has a surplus food of 500,000 tonnes which is 300,000 tons more than the government can buy.

Nevertheless, the ministry is aware of the surplus above what the government can buy and has disclosed in the budget estimates that it would negotiate sales with the governments experiencing food shortages in the world. To this Mrs Anne Kilango Malecela, MP for Same East – CCM, has asked the government when it began to get involved in trade and if it has produced the food it is intending to sell. To us who are not conversant with the country’s constitution, the honourable MP’s question implies that the government is not involved in trade, but we’ll wonder if an Act prohibiting government’s involvement in trade

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Bank of Tanzania

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The Guardian KILIMO KWANZA

Friday 5 August, 2011

P.O. Box 2939, Dar es Slaam, Tanzania

21837701

The Guardian KILIMO KWANZA

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Friday 5 August, 2011

FINANCING

NANE NANE 2011

Friday 5 August, 2011

NANE NANE 2011

The Guardian KILIMO KWANZA

FINANCING

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Government releases more funds for agricultural lending Q. Does TIB engage other institutions in administration of the facility?

A. In consideration of the existing collateral limitations by most farmers, TIB entered into agreement with Private Agriculture Sector Support (PASS) that offers Credit Guarantees to eligible borrowers.

The Guarantee cover ranges from 50-60 % of the loan amount. PASS also assists farmers with preliminary analysis and preparation of business plans and provides technical assistance and advisory services.

Another measure intended to minimize the collateral problem is group lending as opposed to individual lending to take advantage of peer pressure among members which has proved to be effective elsewhere. TIB has also engaged a third party with farm equipment knowledge and mechanical know-how in order to strengthen equipment maintenance and the monitoring and supervision of the projects particularly on servicing of loans for the tractors, power tillers and other farm implements.

The bank entered into a Memorandum of Understanding with Developing Mechanised Agriculture Company Limited (DEMACO). Among other obligations, DEMACO identifies and monitors Savings and Credit Co-operative Societies (SACCOS) and provides mechanical support and training to farmers on how to operate their farm equipment and tools and submits reports to the bank. DEMACO also plays an intermediary role between farmers and equipment suppliers.

TIB’s Jaffer Machano welcoming the Vice President Dr Gharib Bilali to TIB’s pavillion at the on going Nane Nane agricultural show fair at Nzuguni in Dodoma (Photo by OMAR fUNGO)

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By Kilimo Kwanza Reporter

n July 2011, the government increased the agriculture window capital base by investing another Tshs 20bn, making the window a Tshs 40bn business.

Tanzania Investment Bank Limited (TIB) continues to administer the funds on government’s behalf. This is a measure to facilitate increased access to affordable financing for the previously underlent sector pending the establishment of Tanzania Agriculture Development Bank (TADB). The Window will be transferred to TADB once it is operational.

The bank granted The Guardian’s Kilimo Kwanza an interview on the implementation of the project. Here are excerpts…

Q. Briefly tell us TIB’s role in financing the agriculture sector through the agricultural projects financing window.

A. As a development bank, TIB is expected to play a major role in supporting the government to implement the Tanzania Development Vision 2025 that aims at transforming Tanzania from a low productivity to a semi-industrialised economy, with a modern agricultural sector that is integrated into industrial and service activities conducted in both rural and urban ar-

eas. TIB is also supposed to support the implementation of the Agricultural Sector Development Programme (ASDP) that aims at modernizing and commercialising agriculture, thereby making it the backbone of the economy.

In this regard, small scale farmers will be brought into the mainstream of modern and commercial agriculture through initiatives such as ‘Kilimo Kwanza’ and thus the establishment of the Agricultural Projects Financing Window at TIB and the establishment of TADB. Q. How does the bank go about lending to the sector?

A. Before commencement of Agricultural Projects Financing

Window lending activities, TIB in collaboration with the Ministry of Finance and the Bank of Tanzania (BOT) prepared a lending framework to guide the Window’s lending operations. The lending framework among other things, stipulates the major terms and procedures for lending. The framework was approved by the Minister for Finance in December 2009. Following approval of the lending framework by the ministry, TIB and MOF signed an Agency Agreement in May 2010.

Q. What criteria does TIB use in lending to farmers?

A. Agricultural Projects Financing Window loans are extended to agricultural projects for short, medium and

long-terms, based on the nature of the activity. Loans are provided to finance production, processing and marketing in all agriculture and agriculture-related projects for short, medium and long terms. Emphasis is placed on financing primary production as opposed to other activities such as processing and trading which can access and afford commercial borrowings.

TIB performs projects assessment to determine their financial viability, economic feasibility and social acceptability for sustainable agriculture development. Only proposals that meet eligibility criteria are approved for financing. Administration of the facility involves disbursements, monitoring, and evaluation and business opera-

Q. How many farmers have benefited from the facility so far?

A. As at 30th June 2011, TIB had approved loans to a number of projects. The cumulative disbursements were TZS 20,782,526,443.02.

Out of the approved projects, 15 were corporate borrowers, 27 SACCOS, and 6 microfinance institutions.

The projects financed followed all the necessary bank procedures, which include among others project appraisal, approval processes, proper submission and registration of the required security documents. Types of securities in place include legal mortgages on farms and other landed properties, pledges of machineries, liens on fixed deposits and guarantees.

Items procured through these loans include tractors, power tillers, irrigation equipment, livestock, motor vehicles for farm business purposes and other farm implements such as trailers and storage equipments to mention but a few. So far a total of 87 tractors have been purchased and are in use by various beneficiaries of the fund. In addition

to this, 82 power tillers are in use by farmers in Iringa, Morogoro, Singida, Mbeya, Arusha, Dodoma, Rukwa, and Coast regions. Eligible farmers in Shinyanga, Songea, Kagera, Mwanza, Kilimanjaro, Tanga and Mtwara have been financed to procure seeds, fertilizer, chemicals and other farm inputs for farm operations. In Dar Es Salaam, Morogoro, Arusha, Dodoma and Mwanza, livestock farmers have been supported. A total of 12 motorcycles and four motor vehicles have also been procured to support agricultural activities.

Q. What are TIB’s expectations from the projects financed?

A. A range of products are expected from the various projects financed throughout the country. The farm products expected include maize and maize seeds, paddy, flower seeds, onions, simsim, cashew nuts, sunflower, sugarcane, sisal, beans and horticultural products among others. Animal products include milk, both pork and beef sausages, meat and hides among many others.

Q. Can you please comment on the servicing of the loans.

A. Given the nature of the projects financed, realization of outputs takes time and is seasonal. In consideration of this, the bank granted loans with grace periods ranging from six to twelve months. Most of the projects are still enjoying the grace period although a considerable number of customers have started paying interest and the repayment is satisfactory. For the first quarter ending 31st March 2011, TIB collected a total of Tshs 108,278,029.23 of which Tsh 12,057,500.81 was interest and TZS 96,220,528.42 was principal. The cumulative figure from 20th May 2010 to 30th June 2011 is TZ 245,328,869.92 for both interest and principal.

Q. What can you say has been the socio-economic impact of the loans?

A. Loans have been issued to finance various agricultural activities ranging from production to processing, purchase of tractors, power tillers and other farm implements, improved seeds and fertilizers. Most of the projects are still in their implementation phase as the farming season for many areas started from October 2010 to March 2011.

Therefore, a socio- economic impact of the financed projects will become evident by end of agriculture season at the end of this year.

The expected impact will be revealed through increased agricultural productivity and production, increased food security, improved rural livelihoods, improved agricultural mechanization and employment creation.

Food prices will also fall and there will be an increase in the number of small and medium processing

plants. The bank will be able to provide analysis of the socio-economic impact with supporting data in terms of performance of the above indicators by the end of the agricultural season.

Q. Any challenges faced in lending to the agriculture sector?

A. Challenges encountered include the fact that many of the borrowers, especially small scale farmers lack managerial and technical skills to run projects. Also, the majority of the applications submitted are either incomplete or non-bankable and some don’t meet many of the eligibility criteria. This causes delays in the project analysis process. Another challenge is lack of legal titles to use as collateral for most farmers. Furthermore, poor quality farming equipment from suppliers and unreliable rains or long periods of drought and other severe weather conditions pose the threat of poor realization of agricultural output in terms of both quantity and quality. Infrastructure such as poor roads is another challenge which hinders transportation of both outputs and inputs to and from market centres.

Q. What do you think should be done to improve the performance and activities of the lending window?

A. TIB in collaboration with other stakeholders should consider devising Technical Assistance Programs to improve the managerial and technical capacities of small scale farmers so as to enhance their borrowing eligibility and bankability of their projects. The government should, through Property and Business Formalisation Programme (MKURABITA) and relevant authorities such as Ministry of Lands and Human Settlements Development, consider fast tracking the process of land surveys and issuance of title deeds in respect to farms and other landed properties to be mortgaged as collaterals.

Government authorities and other stakeholders should also consider facilitating creation of irrigation infrastructure and schemes in areas that support agricultural practices to overcome the climatic dynamics.

The government should consider making arrangements for establishment and use of crop or livestock insurance schemes so as to minimize agricultural risks. It should also improve market information dissemination and marketing systems in order to enable farmers to have a clear price discovery mechanism.

Through the Centre for Agricultural Mechanisation and Rural Technology (CAMARTEC), government and relevant authorities such as the ministry of infrastructure should consider revising and recommend best brands of agriculture equipment.

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tions of the borrower to ensure that funds are properly utilized and the intended objective is achieved.

Friday 5 August, 2011

FOOD SECURITY

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NANE NANE 2011

Agriculture no longer the backbone?

FROM PAGE 3

their extra food to a neighbor since that neighbor also has a surplus of their own. The government has banned exporting food. The peasant wants school fees for his/her children’s school fees and other essentials. The tycoon who calls at the door, buys the food at a throw-away price and orders the farmer to carry it on his/her head to the tycoon’s buying station, to be loaded onto the truck.

This tycoon ferries the food in daylight all over the country from Rukwa or elsewhere to Himo township where he waits for the 10.00 p.m. crossing of the border. The country’s disadvantage here is two-fold: a drought-hit resident of Singida region cannot get maize from Rukwa at a reasonable price, but can see the bags on transit. Also the Rukwa peasant has not gained anything, since the sale has been below the

cost of production.

In this again we can see how both this farmer and a fellow peasant who didn’t harvest anything due to drought in Singida region are left desperate, unable to help each other.

If the Singida resident could access the food from Rukwa, the Rukwa peasant might have sold it at a better price and this would have been an advantage to both. But the tycoon would sell it at double the price he’s paid and would not even pay taxes in the country because food export has been banned and permits invalidated or annulled. What he’ll pay is only what is called “road-toll” payable to authorities who facilitate the illegal journey across the border and without a receipt of any kind.

This is why some civil servants working in border zones vow to resign if they are transferred elsewhere. A person used to easy money will not tol-

erate a life of a meager monthly salary.

After all the food has been smuggled away from the country, the government would then send relief food from its reserves to the regions experiencing shortages. If this be so, to what purpose has the ban been imposed, if not to demoralize the farmers and enrich the tycoons and facilitators of the game who are also government servants?

To avoid food smuggling, hence scarcity in the country, former MP for Vunjo constituency, Mr Aloyse Kimaro was recently quoted as saying; “ If the government cared for the maize farmers, it should scout for markets that can attract maize producers to dispose of their produce.” The above is not as bad as the recent research findings on the participation of grass root communities in Kilimo Kwanza. These University of Dar es Salaam researchers commissioned by Land

Research and Resources Institute (HAKIARDHI) found out that small scale producers who constitute 80 per cent of the country’s population were not consulted to give their views on the design of Kilimo Kwanza, therefore the design represents the views and interests of business communities.

According to this study, if they had been fully involved from the planning stage it would have made a big difference in the initiative and the economic situation in the country.

There is still a lot to be done if we still think agriculture is the backbone of our country. Among such things are extension and supplies of agricultural officers who must be accountable and responsible to the communities and in order to play their role with efficiency, they should be supported in terms of transport and financial resources essential for the transformation of agriculture.

SUMA JKT defends tractor prices SUMA JKT has defended its tractor prices in response to a recent statement by Prime Minister Mizengo Pinda that the tractors were too expensive for an ordinary farmer to afford.

The Prime Minister said this when he visited the JKT stall at the Saba Saba grounds last month. Currently, the price for a tractor is at an average of 25m/-.

SUMA JKT Project Manager Lt Col Felix Samillan said in an interview with Kilimo Kwanza that the price for the tractors is fair since the farmer does not incur any cost for maintenance.

“The price for the tractors is really

fair to a farmer because the tractors are maintained by SUMA JKT and so the farmer doesn’t have to incur any more expenses once they buy them,” Samillan said According to him, SUMA JKT provides training to the farmers as well as maintaining the tractors through out their life time. The tractors are also ferried free of charge to the farmer’s destination, a service that not all companies can provide.

The focus according to Samillan is on making sure that the ordinary farmer will be able to benefit from the tractors.

He said many other companies in the business do not provide free maintenance or training to farmers and that the tractors later become a burden to

the farmers since most can not afford the maintenance cost.

In October last year, the Prime Minister received 288 of the total of 1860 tractors and other agricultural implements from India which were donated to the Tanzania People’s Defence Force –National Service Economic Wing (SUMA JKT). The country acquired the tractors on a USD40m loan deal with the government of India for financing agriculture.

A total of 900 tractors have already been ordered from SUMA JKT and 86 have been sold so far.

It was previously reported that hundreds of tractors were idly parked at the SUMA JKT yard in Dar es Salaam as the farmers couldn’t afford the price. Indeed tractor sales across xxxxxx

By Angel Navuri

the country have remained less than impressive, with the would be purchasers complaining of bottlenecks in accessing credit to purchase the machinery.

Most financial institutions operating in the country have only paid lip service to the Kilimo Kwanza revolution, claiming that they support the initiative but turning a cold shoulder on actual lending for production, especially to small and mid-scale farmers looking to change their fortunes.

Whilst most of the currently available loans to agriculture are limited to agro-processing and often at high and uncompetitive interest rates, it doesn’t help much that most Tanzanian farmers lack the relevant sureties to access the loans in the first place.

Local sugar to compete globally

By Angel Navuri

The sugar industry in Tanzania is set to compete globally once the planned production increment by 2015 gets under way.

This was revealed by the Deputy Minister for Trade and Industry Lazaro Nyalandu who attended The 12th African, Caribbean and Pacific (ACP) Group of States Special Ministerial Conference on Sugar that was held in Maputo Mozambique last week. ‘’ Under Kilimo Kwanza, we are to double the sugar production output by 2015. Currently, TZ produces about 300,000 metric tonnes of sugar per year,” said Nyalandu .

He explained that the country would increase production under the Maputo agreement for the EU market using the same market access protocol negotiated under ACP. Giving details he said that currently, the country imports 100,000 tonnes of industrial sugar, and 50,000 tonnes of edible sugar.

Tanzania’s sugar demand is estimated at 480,000 tonnes per annum while production is little over 300,000 tonnes. In Kenya the demand for sugar stands at 700,000 tonnes against a production of 500,000 tonnes, while Uganda produces an average of 300,000 tonnes, consuming 325,000 tonnes.

Earlier this year, the East African Society for Sugar Cane Technologists (EASSCT) was launched in Arusha, Tanzania, with one of the key aims being to strive to increase sugar production in the region. The society that is affiliated to the International Society of Sugar Cane Technologists (ISSCT) seeks to address the often serious shortage of the essential commodity in the region.

It will encourage continuous research and extension to prepare and equip the technologists with requisite skills and knowledge to make them regionally and globally competitive.

The ACP Special Ministerial Committee that was attended by Minister Nyalandu was the first to be held since the termination of the Sugar Protocol in October of 2009.

This marked a new phase of sugar trade between the ACP group and the EU and ushered in a more competitive environment where closer vigilance and monitoring is required to ensure continued sustainability of local sugar industries.

The world market represents opportunities and challenges which, if handled judiciously, could allow sugar industries within the ACP to expand. While the objective is increased production of value-added sugars; co-generation of energy, ethanol production and sugar refining may further support the development of the ACP sugarcane industries, reducing costs and improving productivity and competitiveness.

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FINANCING

NANE NANE 2011

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Helping farmers in remote areas

By Kilimo Kwanza Reporter

oor infrastructure is one of the major hurdles hampering the development of the agriculture sector and stakeholders call for quick intervention to improve the situation. They argue that if the country’s Kilimo Kwanza policy is to succeed, infrastructure development should be given priority.

In most parts of the country, farmers fail to transport their produce to the market due to poor roads. As a result, a big portion of the produce rots in the farms. Poor infrastructure has also been the reason farmers don’t get a fair deal from unfaithful business people who take advantage of the situation.

And it is because of poor roads that some fertilizer companies dedicated to the development of the country’s agriculture sector decided to set centres as close to farmers as possible to save them the trouble to trek the poor roads to buy fertiliser something only a few can dare to do.

One such company is Export Trading Company Limited (ETG) which has centres in every region. The

company’s presence in all the regions has been a relief to farmers who would otherwise be forced to travel long distances using the poor roads to buy fertilizer.

“We want to create a strong and long term relationship with farmers.

ETG is the largest importers of fertilizer in Africa with centres in every region,” Banwari Jhawar, ETG’s Agro Inputs Co-ordinator says.

ETG which has offices in 35 countries in Africa, India, US and China and more than 45 centres in Tanzania believes in working closely with farmers by paying them after-sale visits for feedback. The company not only sells fertiliser to the farmers but also teaches them how best to use it.

“We also visit them for demonstration, to show them how to use the fertilizer. Farmers enjoy it when officials from the company visit them,” said Banwari adding that ETG maintains a farmers’ record and makes follow-up on them.

The company provides free training to farmers on fertiliser use because some farmers don’t know how to use it.

“Many farmers use fertiliser and we have centres everywhere to enable

them to get it easily and directly from us.” The challenge when that sometimes farmers may not have quality seeds which makes things difficult when training them on how to use fertiliser. With ETG farmers are free to buy any amount of fertiliser depending on the size of their pockets. This, according to Banwari gives access to small holder farmers who can not afford to buy fertiliser in bulk.

The company, which has been in business for over five years boasts of a good relationship with farmers who Banwari says are free to call any time of the day for free consultation.

“I receive farmers’ calls very late at night. My phone is on 24 hours a day,” he says adding; “we are supporting Kilimo Kwanza by supporting farmers.

Enhancing Africa’s potential is our motto.”

ETG also buys commodities from farmers for processing and export, sells different types of tractors and is among the largest buyers of cashew nuts in Mtwara, Lindi, Tunduru and Masasi.

ETG also supplies pesticides for cashew nuts and other agro-chemicals.

Banwari urges the government to improve the sector as well as the lives of farmers since agriculture is the backbone of the country’s economy.

He advises farmers to beware of companies that take advantage of uneducated farmers and give them false promises and low prices for their produce.

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NDC Committed to addressing poverty

By Kilimo Kwanza Reporters

The National Development Corporation (NDC) is looking for land so it can partner with an investor in sweet sorghum production.

Plans are still in initial stages and the corporation requires 20,000 hectares for the project that will contribute to employment and income generation. Currently, NDC has only acquired 5,000 hectares in Kimara Masale in Kisarawe District.

Once it takes off, the project will not only contribute to job creation and food security but will also reduce the chronic power shortage in the country through biofuel production from the sweet sorghum stems.

At least USD 500m is needed to establish the project and the scale of the agro-processing factories to be established will depend on land availability.

Godwill Wanga, NDC’s Director of Research, Planning and Industrialists Development said;

“At the moment we are struggling to get enough land and once we get it, investors will bring in a huge plant to add value to our products which could help generate foreign exchange through export.”

According to Wanga, at least 300 employment opportunities will be created when the project finally takes off. About 100 out growers will be contracted to supply raw materials for the industries to be established in the project area.

Nothing from the sweet sorghum plant will be thrown away for even the stems and roots will be used in different ways. The sweet sorghum dregs will be used to run the food processing plant to be established in the area. They will also be used as animal feeds.

A power plant also to be established under the project will obtain feedstock from the contracted out growers. Power generated will be supplied to people in the neighbourhood and will be evacuated to the national grid if the plant produces enough for the purpose.

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Friday 5 August, 2011

FOOD SECURITY

NANE NANE 2011

Sweet potatoes to address vitamin A deficiency

By Kilimo Kwanza Reporter

weet things are in the offing for the farmers taking part in the ‘Eat Orange’ and ‘Marando Bora’ projects that promote the cultivation and consumption of orange fleshed sweet potatoes in thirteen districts of Mwanza, Kagera and Mara regions.

T-MARC Tanzania, a local nongovernmental organization is partnering with Helen Keller International (HKI) to help improve food security in Tanzania by promoting and facilitating the production and consumption of orange fleshed and white fleshed varieties of sweet potatoes in the lake regions of the country.

One of the goals of the project is to increase agricultural production by providing Tanzanian farmers with higher yielding, virus-free and more robust vines of sweet potato varieties.

These new varieties are not only higher yielding, but have higher levels of beta-carotene and Vitamin A, nutrients that are important in combating blindness and nutrient deficiencies.

The project which is on showcase in the ongoing Nane Nane agricultural fair in Mwanza also promotes consumption of nutrient rich varieties of sweet potato and encourages behav-

KILIMO KWANZA DIRECTORY

FINANCE Tanzania Investment Bank Ltd (TIB) Tel: +255 22 2411101-9 Private Agricultural Sector Support (PASS) Tel: 023-3752/3758/3765 Bank of Tanzania P.O. Box 2939, Dar es Slaam,Tanzania WATER AND SANITATION

Dar es Salaam Water and Sewerage Authority (DAWASA) – Tel: +255 22 276 0006

Dar es Salaam Water and Sewarage Corporation (DAWASCO) Tel: +255 22-2131191/4 Drilling and Dam Construction Agency (DDCA) Tel: +255 22 2410430/2410299 Energy and Water Utilities Regulatory Authority Tel: +255 22 2123850, 22 2123853

ciency which leads to lowered immunity, frequent ill health and poor growth. The most obvious results of Vitamin A deficiency is progressive damage to the eye, eventually leading to blindness. It is estimated that more than 250,000 preschool children go blind each year.

Sub clinical vitamin A deficiency is a much more widespread problem, contributing to an increased risk of morbidity and mortality from common childhood infections. The prevalence of sub clinical vitamin A deficiency in infants fed breast milk suggests that lactating women in developing countries may also We help farmers to produce more and better have insufficient stores of vitamin A. Young children are at high risk of developing vitamin A defiPVC, HDPE Drip & Sprinkler Tissue Cultured Plants Controlled Bio Gas Solar ciency due to Pipiong System Irrigation System & High Quality Seeds Agriculture Powered Pump their increased need during growth and their vulnerability to infections.

Women of childbearing age are Turnkey Wasteland Training Research Contract also at risk beTransformation & Extension & Development Farming cause of their increased need for We purchase fruits & vegetables from them the vitamin, both during pregnancy and, much more, during lactation. Vitamin A deficiency results from two primary factors: inadequate intake of preformed vitaWe process these for export and domestic markets min A and vitamin A precursors (provitamin A, carotenoids).

T-MARC is tasked with developing and implementing a reOnion & Vegetable Cutting-edge World Class fruit Pulps, Dehydration Dehydration Facility Processing Plant Concentrates & IQF vised communication plan to increase food secuJAIN IRRIGATION SYSTEM LIMITED rity and to proOCAL REPRESENTATIVE -TANZANIA, RUPA SUCHAK mote the health TEL: 0713583303 E-MAIL: ceo@jamboplastics.com benefits of sweet iours that enhance good nutrition.

Farmers are also connected to income generating activities, and this project will help improve the health status of consumers as well as the economic status of farmers.

Vitamin A deficiency is a problem of public health significance within Tanzania with studies showing that it mostly affects children and women of child bearing age.

An estimated 35% of Tanzanian children grow up with Vitamin A defi-

JAIN IRRIGATION SYSTEM LIMITED

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Completing the Agricultural Value Chain

potatoes to Tanzanian consumers.

The comprehensive plan includes a framework for communication channels and methods, messages, audience analysis, monitoring indicators and identifying appropriate marketing avenues for the produce.

“We are in the final stages of printing the communication and promotional materials,” said T-MARC’s Programme Manager, Imma Kapinga.

T-MARC is developing a revised communication strategy that includes signboards for easy identification of the sites where the project is being implemented and identification of market days for sale of the produce. The coming month should see a roll out of market day promotions and field days to further enhance awareness and support for the project.

Farmers participating in the project expect quadruple gains from the sweet potato vines. Besides reaping, eating and selling more bountiful harvests of nutrient rich sweet potatoes, farmers can also sell the sweet potato vines to fellow farmers, thus providing alternative avenues for income generation. Furthermore sweet potato vines make good fodder for livestock.

The sweet potato project supports the country’s green ambitions, especially the paradigm shift to the strategic framework of Kilimo Kwanza which is the fourth pillar of the green revolution. The Kilimo Kwanza strategy aims to identify priority areas for the production of strategic food commodities for the country’s food self sufficiency and especially crops that can transform agriculture quickly and with minimal financial and technological requirements. Amongst other activities, this pillar puts in place arrangements for the production of strategic commodities such as potatoes, cassava, grains, legumes, fish, meat and dairy products.

Sweet potatoes are amongst these crops that require minimal financial and technological requirements and also have a huge potential in growing domestic and external market demands while creating employment opportunities for the rural and urban populations.

“Everything is on track and mass dissemination of vines is expected to be in October and November, so farmers should expect to start reaping benefits of the program very soon,” Imma concluded.

Water and Environmental Sanitation Projects Maintenance Organization (WEPMO) Tel: +255 22 2410738, 716 099959 Ministry of Water Tel: +255 22 245 1448

INDUSTRY SUPPORT AND ASSOCIATIONS

Small Industries Development Organization (SIDO) – Email: dg@sido.go.tz, info@sido.go.tz ANSAF - P.O. Box 6370, Dar es Salaam CNFA - info@cnfatanzania.org

Tractors Limited Cells: +255 784 421606, 786 150213

Consolidated Holdings Corporation (CHC) Tel: 255 (022) 2117988/9 Vocational Education and Training Authority (VETA) – Tel: +255 22 2863683/2863409 Export Processing Zones in Tanzania (EPZ) Tel: +255 22 2451827-9 Agricultural Economics Society of Tanzania (AGREST) – Tel. +255-23 260 3415

Tanzania National Business Council (TNBC) Tel: +255 22 2122984-6 Tanzania Agriculture Partnership (TAP) Tel: +255 22 2124851

Tanzania Milk Processors Association (TAMPA) Tel: +255 222 450 426

Rural Livelihood Development Company (RLDC) Tel: +255 26 2321455 Tanzania Cotton Board Tel: +255 22 2122564, 2128347

Horticultural Development Council of Tanzania (HODECT) Cell: +255 789 222 344; Fax: +255 27254 4568 TATEECO Ltd – Tel: +255 784 427817 AGRO-PROCESSING ERTH Food - Tel: +255 22 2862040 MUKPAR Tanzania Ltd Tel: +255 28 250038/184

ASAS Diaries Limited - Tel: +255 26 2725200 Tanga Fresh – Tel +255 27 2644238 NatureRipe Kilimanjaro Limited Tel: +255 22 21 51457 EQUIPMENT Achelis Tanganyika Ltd +255 22 2700 760 or +255 784 300 084

National Service Corporation Sole (SUMAJKT) Cell: +255 717 993 874, 715 787 887 AGRO-INPUTS Minjingu Mines & Fertilizers Ltd Tel: +255 27 253 9259 250 4679