Unleashing Agricultural Potential: TISEZA's Vision for Tanzania's Farming and Livestock Sectors
Dar es Salaam: Tanzania's Investment and Special Economic Zones Authority (TISEZA) is opening up a world of opportunities for investors in large-scale commercial farming. The authority's recent investment report highlights a diverse range of crops, from sugarcane and rice to wheat, coffee, tea, sunflowers, beans, floriculture, cotton, sisal, grapes, sesame, and maize.
Agriculture, a cornerstone of Tanzania's industrial growth, is set to thrive with the country's vast agricultural land. With 44 million hectares at its disposal, approximately 29.4 million hectares are suitable for irrigation, providing a fertile ground for cultivation. The report emphasizes the potential for sugarcane cultivation and sugar production, leveraging abundant water sources, a favorable climate, and strong market demand. Tanzania's agricultural sector currently employs about 67 percent of the workforce and remains a key driver of industrial growth.
The country's sugar production is impressive, with four farms operating at full capacity and achieving an average sugarcane yield of 120 tonnes per hectare, the highest globally, thanks to optimal soil and climate conditions. However, Tanzania faces a sugar supply gap, importing around 220,000 tonnes annually to meet the demand, which is projected to grow by 6 percent annually. This gap presents a significant investment opportunity.
TISEZA also highlights Tanzania's irrigation potential, supported by abundant rainfall and rivers from the highlands, making it ideal for industrial-scale sugarcane cultivation. The soil and topography in sugarcane-growing areas are particularly conducive to large-scale farming.
The report further explores the edible oil sector, revealing Tanzania's annual import expenditure of over 150,000 USD due to limited modern extraction machinery and low agricultural productivity. By increasing the production of sunflower, cotton, peanuts, soybeans, and palm oil, Tanzania can develop a competitive domestic and regional edible oil industry, reducing reliance on imports.
Despite having the second-largest livestock population in Africa, Tanzania's meat processing is limited to less than 1 percent domestically, with significant quantities of processed meat still being imported. TISEZA emphasizes the potential for growth in the livestock sector, inviting investors to tap into this untapped market.
