Agro Processing
Tanzania is well known for its agricultural exports such as maize, coffee, cotton, Sisal, Sesame, Sunflower, and tea, agricultural sector is not only the driver of Tanzania's economy but also the means of livelihood for the majority of Tanzanian people. The sector comprises of crop production (industrial & food crops) horticulture, livestock, fisheries, and forestry production of crops and horticulture contribute 29% of agriculture GDP, ministry of finance in Tanzania has many institutions who offer special financial assistance to agriculture-focused businesses through Tanzania agricultural development bank
Agriculture account about for 85% of all exports, and 67% of the workforce. There are over 44 million hectares of arable land available in Tanzania, with 29.4 million ha suitable for irrigation. Agriculture has a huge role to play in the country’s industrialization, offering the possibility of providing markets for industrial products and raw materials for industries. Tanzania has 44 million hectares of arable land with an estimated 29.4 million hectares suitable for irrigation
Tanzania grows sunflower, cotton, groundnuts, soya beans, and palm.
The country produces about 300,000 tones of raw sugar annually, (2014/2015 figures) leaving a demand gap of about 220,000 tones to be met through imports. The sugar supply gap is set to increase at an estimated 6% per annum from the current 300,000 tons/year. With ample rainfall and generous rivers fed by the high hinterland plateaus, Tanzania has among the best irrigation potential in the sub-region. Soil and topography in target sugar zones are ideal for industrial sugarcane cultivation. Tanzania has among the highest average cane yields in the world, at 120 tons/ha due to good soils and climate.
Tanzania spends more than US$ 150,000 annually to import edible oil. Lack of modern mechanical extraction equipment and ineffective way to increase productivity in agriculture has situated Tanzania to rely on imported edible oil.
Tanzania has the 2nd largest livestock population in Africa. Less than 1% of all meat is processed locally, at the same time vast quantities of processed meat are imported. The area of freshwater cover is estimated at 54,337 sq. km., which is about 6.1 % of the total country’s surface area
This sector remains central to Tanzania’s industrialization as it provides markets for industrial products and raw materials for industries.
AVAILABLE OPPORTUNITY
- Undertaking in large-scale commercial farming of crops such as sugarcane, rice, wheat, coffee, tea, sunflower, pulses, floriculture, cotton, sisal, grape, and maize.
- Huge potential for sugarcane farming and sugar production. Sugarcane farming and sugar production is supported by vast water sources, good climatic conditions, and huge market potential
- Huge potential in investment in Agro-Industries and Agro-processing
- Development of out-growers to complement the sources of raw materials for the industries as appropriate
- Expansion and improvement of irrigation systems; improvement of R&D in crops cultivation