TANZANIA is contemplating selling its Tobacco produce to China but cautioned producers over a likely price drop of the traditional crop which constitutes 40 percent of the total export earnings.
The Deputy Minister for Agriculture,
Livestock and Fisheries, Mr William Ole Nasha, said in the National
Assembly yesterday that the government was in talks with Chinese
business firms to explore the possibilities of selling the crop in the
Hong Kong market.
But Mr Ole Nasha was quick to caution
that the crop had received criticism across the globe and it is high
time farmers consider other alternative crops to farm.
“The Ministry (Agriculture, Livestock
and Fisheries) is in discussions to see if we can secure the Chinese
market for our locally produced Tobacco,” he said noting that in the
meantime, the government was also considering to sell its locally banned
Shisha in the United Arab Republic.
Even though the deputy minister said the
government had also embarked on encouraging private sectors to invest
in tobacco processing industries to cater for the growing demand of the
crop.
Tanzania Revenue Authority (TRA) figures
indicate that tobacco contributed 252 million US dollars in export
revenues. The sector accounts for over 70,000 jobs in direct employment
to farmers across the country.
Deputy Minister Mr Ole Nasha, when
responding to a basic question from Serengeti Member of Parliament Ryoba
Chacha Marwa, who wanted to know how the government supports the
availability of tobacco firms in Seregeti said: “there are a few
companies involved in tobacco business countrywide and on the globe.”
He said while Tanzania had only four
companies including Alliance One and JTI, worldwide there also four
largest companies dealing with Tobacco business. In Mara Region, Tobacco
business farming started in 2008 after the government embarked on a
plan to enable famers to involve in agribusiness— allowing them to sell
their produce in the local market.
However, the government failed to
regulate the business in the region threatening to spread pests to both
Kenya and Tanzania which had been sharing the same trade. This according
to the minister, this pushed the government through Tobacco Board to
formalize tobacco farming in 2011/2012 farming season.
“We invited all the companies in the
country to buy Tobacco produced from Mara’s Serengeti region yet only
one firm—Alliance One had been buying the crop.
The government will continue inviting all interested parties to buy tobacco produced in the country."
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