The government of Tanzania has scrapped 42 out of 47 levies that were being charged from coffee growers in Kagera region as part of continued efforts to improve the cash crop productivity.
The move that has retained only five levies out of 47 will now lower the charges per kilogram from 830/- to 267/-. The decision was announced by Prime Minister Kassim Majaliwa following a report from a special team that he formed to assess modality and management of Kagera Co-operative Union (KCU).
Majaliwa explained the scrapped 42 out of 47 levies that were being charged from coffee growers in Kagera region is part of continued efforts to improve the cash crop productivity. The Premier was chairing an extraordinary meeting for coffee growers held in Karagwe district in Kagera region. He also instructed leaders of the cooperative unions to properly supervise their cooperatives with a high level of integrity for the benefit of farmers.
“Leaders of cooperative unions should also stop borrowing money from financial institutions and spend it on buying coffee from farmers,” said Mr Majaliwa.
Auctions
The Premier also instructed that from now onwards, coffee will be sold through auctions that will be done through Agriculture Marketing Cooperative Societies (AMCOS). For his part, Minister for Agriculture, Hussein Bashe said there are some cooperative unions that have been imposing charges that have been reducing farmers’ earnings.
Mr Bashe instructed the Director General of Tanzania Coffee Board to distribute coffee seedlings to improve productivity that will also help increase their income. He said the ministry will provide transport for agricultural extension officers to ensure effective delivery of their services to farmers.
Earlier, the Kagera Regional Administrative Secretary (RAS), Prof Faustine Kamuzora said a total of 52,000 tons of coffee worth 69.2bn/- were grown in the region during the 2021/2022 season. Moreover, the price of coffee continued to pick up as a kilogram of crop was bought at 1,300/- and 3,300/- per kilogram of organic coffee.
Minister of State, President’s Office, Regional Administration and Local Government, Innocent Bashungwa said efforts by the government on management of coffee production has seen positive results among farmers.
“The price has gone up, and as a result famers are now getting a better price that helps in improving their living standards,” said the minister who is also a Member of Parliament for Karagwe constituency, Kagera region.