Tanzania: Government to confiscate privatised cashew processing plants that are domant

What you need to know:

  • President John Magufuli issued a stern warning to dormant cashew nut processing plant owners, saying that the government will repossess them unless owners make them operational.

Dar es Salaam. President John Magufuli today issued a strong warning to owners of cashew nut processing factories, saying government won’t hesitate to repossess them if they continue to remain idle.

The President said certain owners of the industries, which were privatized, including a former minister in the third phase government, have failed to make them operational.

He also urged owners of the privatized cashew nut processing plants to increase their processing capacity.

The Head of State who is in Mtwara Region on working tour was speaking at the inauguration ceremony of Mbonde Health Center in Masasi.

“We will confiscate all cashew nut processing plants, which were privatized if their owners will fail to develop them,” said the President.

He instructed the minister of Agriculture Japhet Hasunga to make sure that his directives are implemented immediately.

According to him owners of a dormant plants, who will resist the implementation of the directive should be taken to court.

“If you have failed to operate a plant, which was privatized to you 10 years ago, you will be forced to pay the government the profits, which you should have accrued during the same period,” said the President.

He instructed the permanent secretary in the ministry of Agriculture to remain in the region and inspects all the processing industries.

Meanwhile Mr Hasunga noted that 31, 370. 8 tonnes of cashew nut worth Sh103.4 billion was collected from the district.

“Most of the farmers in the district are large scale farmers, whose payments have not been released but most of the small scale farmers have been paid already,” he revealed.