Agriculture top brass camps in cashew area

What you need to know:

  • The top bras at the Ministry of for Agriculture is camping in cashew nut growing regions as leaders seek a smooth execution of President John Magufuli’s order for the army to buy up all the cashew nuts produced in the country.
  • The President said on Monday that the army will buy the cashew nuts a price of Sh3,300 per kilogram after private companies refused to pay the Sh3,000/kilogram price that was fixed by the government, in a row that resulted into the firing of former Agriculture Minister Dr Dr Charles Tizeba and his Industry, Trade and Investment counterpart, Mr Charles Mwijage.

Mtwara. Senior Agriculture ministry officials have camped in cashew nut growing regions following President John Magufuli’s directive that the government purchase this season’s entire harvest.

Dr Magufuli said on Monday that the government would buy cashew nuts from farmers at Sh3,300 per kilogramme after private buyers rejected the minimum price of Sh3,000 on the grounds that it was too high.

Newly appointed Agriculture minister Japhet Hasunga, his deputy Innocent Bashungwa and permanent secretary Matthew Mtigumwe were in Mtwara and Lindi yesterday ahead of the arrival of military vehicles that will transport cashew nuts to warehouses. Mr Hasunga inspected the Tandahimba-Newala Cooperative Union (Tanecu) warehouse in Mtwara.

He said his top priority was to ensure that farmers receive their money promptly, adding that statutory deductions would be discussed later.

Tanecu accountant Rajab Chambezi said farmers were required to pay Sh100 for every kilogramme of cashew nuts sold as cooperative union fee; Sh46 for the district/municipal council and at least Sh45 for transport. Buyers, on the other hand, pay Sh38 and Sh52.50 for storage and sacks, respectively.

Speaking at the Mtwara regional commissioner’s office, Mr Hasunga said farmers would start receiving their money today, adding that they would be paid either by cheque or through deposits made directly in their bank accounts.

“We are also here to inspect warehouses. We want to know what their sizes are, and whether their capacity is adequate. We would also like to know who owns the warehouses that will be involved in the exercise,” he said, adding that military lorries were expected to begin arriving in cashew nut producing areas later yesterday.

While Mr Hasunga visited Mtwara, Tandahimba, Newala and Masasi districts in Mtwara Region yesterday, Mr Bashungwa and Mr Mtigumwe toured several areas in Lindi Region.

Why cashew nuts matter

Cashew nuts last year overtook tobacco to become Tanzania’s most valuable export crop.

Cashew nut exports brought in $340.9 million (about Sh770 billion) during the year ending March 2017, having risen from $187 million (Sh420 billion) during the previous corresponding period, according to Bank of Tanzania (BoT) data.

BoT stopped publishing trade data in its monthly economic reviews in July last year, but going by the April 2017 figures – which covered the year ending March 2017 – the amount earned from cashew nuts alone was more than the combined earnings from coffee, cotton, tea, cloves and sisal, which brought in $270 million (Sh610 billion).