Fresh controls introduced to stem cooking oil smuggling

Dar es Salaam. The Tanzania Revenue Authority (TRA) is set to introduce a new procedure governing the importation of edible oil from Zanzibar to Mainland Tanzania, in a bid to streamline legitimate trade while curbing smuggling.

The measures were announced on Tuesday by Commissioner General Yusuph Juma Mwenda during an Iftar event organised by TRA Zanzibar, attended by Zanzibar’s Second Vice President, Hemed Suleiman Abdulla.

The move follows recent enforcement operations that exposed the scale of illicit trade in cooking oil. In December 2025, authorities intercepted a consignment of smuggled edible oil, preventing an estimated loss of more than Sh400 million in government revenue.

The seizure involved 23,755 containers of 20 litres each, of which only about 5,000 had proper documentation. The consignment is believed to have entered through Kunduchi Port in Dar es Salaam before being concealed in Ubungo, where it was later recovered following a public tip-off.

Mr Mwenda said the new procedure will introduce a permit system to regulate imports, allowing only quantities that correspond to the country’s supply gap.

“The aim is to facilitate legitimate business while protecting local industries,” he said, adding that the authority will continue to support taxpayers and improve the business environment.

Private sector stakeholders have welcomed the move, saying it will promote fair competition and improve compliance.

The Confederation of Tanzania Industries (CTI) Policy and Advocacy Manager, Mr Isaack Msungu, said smuggling undermines businesses that comply with tax regulations.

“Those who import edible oil through informal channels do not follow full tax procedures, which creates an uneven playing field, especially for local producers,” he told The Citizen.

He added that although the proposal is new, it is a positive step toward ensuring fairness in the market. “When someone evades taxes, it creates an imbalance, as their sales cannot be fairly compared to those who comply with all regulations,” he said.

The policy shift comes at a time when Tanzania faces a significant edible oil deficit. According to the Ministry of Agriculture Tanzania, domestic production stands at 396,335 tonnes against an annual demand of about 650,000 tonnes, leaving a shortfall of 253,665 tonnes.

To address the gap, the government, in collaboration with the private sector, is implementing measures to boost local production.

These include supporting small-scale processors, expanding sunflower farming through consolidated land schemes and reviewing fiscal policies such as import duties to protect domestic producers.

Efforts are also underway to increase oilseed production from 2.18 million tonnes in 2023/24 to 2.2 million tonnes in 2025/26, alongside the distribution of improved sunflower seeds to farmers.

Manufacturers say the combined measures signal a broader strategy to reduce reliance on imports while ensuring that trade is conducted under fair and regulated conditions.

Last year, President Samia Suluhu Hassan said that oilseed production increased from 1.713 million tonnes in 2021 to 2.181 million tonnes in 2024. However, actual cooking oil output currently stands at 396,335 tonnes.

“Therefore, we are continuing to promote oilseed cultivation as we aim for a 650,000-tonne production target. We also seek to enhance local processing capacity to reduce imports, which put pressure on our foreign reserves,” she said.