Tanzania announces strategic tax exemption strategy to reduce post-harvest losses in horticultural and cereal crops

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The government of Tanzania through its Ministry of Agriculture has announced a strategic tax exemption strategy that will see horticultural and cereal crops farmers in the country reduce post-harvest losses.

The move is part of the bigger initiative of the Feed the Future Tanzania, Tuhifadhi Chakula project which is a collaborative effort funded by the U.S. Agency for International Development (USAID) and led by the Tanzania Horticultural Association (TAHA).

According to Mr. Gerald Mweli, the Permanent Secretary (PS) in the Ministry of Agriculture, the government’s commitment to the Tsh50 billion ($18,269,117.50) project include providing import duty exemptions on relevant purchases.

“We are looking at offering farmers technologies at low costs so that they will not only be able to enhance their productivity and sustainability but also use them to manage post-harvest losses through value addition approaches and timely sales,” said the PS during the launch a two-day exhibition on post-harvest management and technologies at Arusha Declaration Museum.

“In this, added Mr. Mweli, “We aim at reducing post-harvest losses from 30-40 per cent to 15 per cent in horticulture and from 13 per cent to 7 per cent in grains by 2028.”

He pointed out that the absence of modern technology results in substantial post-harvest losses and increases vulnerability to pest damage, which poses a threat to consumer health.

He further explained that a farmer with 10 acres of sunflower could invest in a machine costing just Tsh3 million, sufficient to produce cooking oil for the local community.

This dedication to enhancing agricultural practices is evident in the impressive surge in sunflower production, which has skyrocketed from 490,000 tonnes to 1.1 million tonnes within a single year, driven by government subsidies for high-quality seeds.

This achievement underscores the immense potential that can be realized with the right support and resources.

The event also fostered collaboration among stakeholders. Mr. Amani Temu, Chief of Party for the Feed the Future Tanzania, Tuhifadhi Chakula project, announced plans for annual exhibitions across the country, aimed at ensuring farmers have continuous access to the latest technologies.

“We will work closely with both the government and private sectors to tackle policy challenges and sustainably reduce post-harvest losses,” he affirmed.

Dr. Jacqueline Mkindi, CEO of TAHA, expressed gratitude for the support from both the Tanzanian government and USAID, recognizing their critical role in strengthening the horticulture sector.

“We are dedicated to igniting passion in our farmers and equipping them with the tools they need to thrive,” she stated.

The exhibition featured a wide array of technologies focused on enhancing soil health, improving harvesting methods, and optimizing processing and packaging. More than 30 companies showcased their innovations, all aimed at empowering farmers to add value to their crops and prepare them for the market.