Farmers’ Cooperative Union-Milambo Passes a Budget of 2.5 Billion Shillings

Lucas Raphael, Tabora – Milambo Farmers’ Cooperative Union members have passed estimates of revenues and expenditures totalling 2.55 billion shillings, which are expected to be collected from various sources for the financial year 2023/2024.

Presenting the union’s budget at the 5th Annual General Meeting held recently at Kaliua Secondary School Hall in Kaliua District, Acting Assistant Accountant Petro Misibo said that the budget aims to improve the performance of the union and the activities of farmers.

He said that the amount is expected to be collected from the sales tax on tobacco and cotton crops, with an estimated production of more than 33 million kilograms of tobacco and 3.3 million kilograms of cotton in the two districts of Urambo and Kaliua this season.

He noted that they plan to charge 69 shillings per kilogram of tobacco, so for all 3.35 million kilograms, they will collect 2.28 billion shillings from all 143 primary cooperatives (89 in Kaliua, 59 in Urambo).

In addition, for cotton farming, they expect to collect a tax of 13 shillings per kilogram, totalling more than 43.5 million shillings from 30 cooperatives of cotton farmers.

He added that they expect to receive 702.3 million shillings in development revenue from the sales tax on 33 million kilograms of tobacco, which is charged at 21.2 shillings per kilogram.

Misibo listed other sources of revenue, including warehouse rent payments of 3.6 million shillings, bid fees for spraying pesticides in warehouses of 1.5 million shillings, and input management costs of 224.9 million shillings.

Regarding the use of funds, he said they plan to spend 2.52 billion shillings on various union development activities and improving farmers’ activities, with 274.6 million shillings to serve primary cooperatives.

Other expenditures include 435.7 million for personnel costs, 148.6 million for board member expenses, 854.7 million for operations (administration), and 109.4 million for commercial and financial costs.

Regarding development activities, Misibo said they plan to spend 195.3 million on building a new cooperative office in Urambo, 6 million shillings to buy land for a small office in Kaliua district, and 150 million shillings to buy shares in various institutions.

Other expenditures include paying part of the debt to the Tanzania Revenue Authority (TRA) of 96 million shillings, purchasing 4 TVS HLX 150CC motorcycles to be used by extension officers for 14 million shillings, and buying a new Toyota Land Cruiser hardtop vehicle to support the union’s activities for 240 million shillings.

The end.

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