Dar es Salaam. Prime Minister Mr Kasim Majaliwa has revealed that the government has already disbursed Sh40 billion it owed cashew farmers in the previous season.
The Prime minister made the revelation, when he was responding to a question from Ms Sikuzani Chikambo (Special Seat-CCM) during the question and answer session in the Parliament today November 14, 2019.
Ms Chikambo queried, why it took so long for the government to pay farmers after its decision to procure all cashew nuts in the previous buying season.
Responding the prime minister said that the treasury had already released Sh40 billion to cooperative societies.
Mr Majaliwa said currently farmers in various parts of the country are receiving their payments from cooperative societies.
On November 13, 2018 President John Magufuli declared that the government will be the sole buyer of cashew produced in Lindi and Mtwara regions.
The decision locked out private companies from buying cashews and raised the farm gate price for a kilo to Sh3, 300.
President Magufuli then directed Tanzania Agriculture Development Bank (TADB) to provide funds for the purchase of about 200,000 tonnes of cashews expected this season.