Tanzania’s Thriving Agriculture Sector Sets a New Standard for African Economies

As Tanzania enters a new era of growth and development under the leadership of President Samia Suluhu Hassan, the country’s agricultural sector is poised to become a driving force of progress and prosperity. The recent increase in the agricultural budget, coupled with a series of strategic investments in infrastructure, research and innovation, and the empowerment of farmers and youth, are laying the foundation for Tanzania to become a leading agricultural powerhouse in Africa.

The Tanzanian government’s commitment to agriculture is evident in its recent allocation of Tsh 1.2 trillion ($522 million) to the sector in the 2022/23 budget, an increase of more than 37% from the previous fiscal year. This funding will be directed towards a range of initiatives aimed at boosting production, enhancing food security, and creating employment opportunities across the value chain.

One of the key areas of focus is the development of irrigation infrastructure, which is critical for increasing productivity and reducing the impact of climate change on agriculture. The government’s investment in irrigation systems and water management technologies has enabled the construction and rehabilitation of over 95,000 hectares of irrigation infrastructure and the establishment of 14 new dams, with a total capacity of 131.5 million cubic meters. These projects are expected to significantly increase the area of land under irrigation and enable farmers to grow crops year-round, increasing yields and reducing post-harvest losses.

Another significant achievement is the production of high-quality seed varieties, which are essential for increasing productivity and improving the quality of produce. The government’s efforts in this area have resulted in the production of 44,344.4 tons of improved seeds, a significant increase from the 35,199.4 tons produced in the previous year. This is a testament to the government’s focus on research and innovation, and its commitment to equipping farmers with the best tools and resources to succeed.

In addition to these investments, the government has also prioritized the empowerment of farmers and youth, recognizing that they are key drivers of growth and development in the sector. Through initiatives such as the Building a Better Tomorrow (BBT) program, which aims to attract young people to the agricultural sector, and the allocation of Tsh 800 million ($347,000) in loans to support youth-led agribusinesses, the government is creating new opportunities for young people to enter the sector and contribute to its growth.

The government’s investment in agriculture is also expected to have a ripple effect on the wider economy, creating employment opportunities and spurring growth in other sectors such as transportation, logistics, and processing. By investing in the agricultural sector, the government is not only ensuring food security for its citizens but also creating an enabling environment for the growth of other sectors.

Tanzania’s commitment to agriculture presents a compelling value proposition for investors and development partners. The country has a favorable climate and abundant land resources, making it an attractive destination for agriculture-based investments. With a young and dynamic population, a vibrant private sector, and a government that is committed to creating an enabling environment for growth and development, Tanzania is well positioned to become a leading agricultural powerhouse in Africa.

The increase in the agricultural budget and strategic investments in infrastructure, research, and youth empowerment, position Tanzania to be at the forefront of agricultural development in Africa. The government’s focus on creating an enabling environment for growth and development in the sector presents an exciting opportunity for investors and development partners to partner with Tanzania to realize its full potential in agriculture.