Clove exports up despite lower prices

Dar es Salaam. Annual clove export earnings increased more than seven-fold in the year to September 30, 2020, as volume outpaced price of the produce which holds a significant share of Zanzibar exports.

According to the Bank of Tanzania’s Monthly Economic Review, cloves generated $17.6 million foreign earnings, up from $2.3 million earned in the year ending September 2019.

The report states the surge was pushed up by an increase in clove export volumes which reached 3,700 tonnes in September 2020 compared with 300 tonnes exported during the same period last year.

However, the report shows that the unit price per tonne of cloves had decreased by nearly 30 percent to $4,754.4 during the period.

The produce sold at an average price of $4,754.4 per tonne in September 2020 compared to $6,800 as recorded in the previous year, mainly due to subdued demand.

As a result, Zanzibar export earnings from goods and services increased to $213.2 million from $205 million in the year that ended on September 30, 2019.

The upturn was occasioned by increased cloves and seaweeds exports.

While clove earnings rose more than seven-fold, seaweeds export earnings increased by 21.4 percent, to $5.2 million

Cloves were a major contributor to the Isles’ total export earnings from goods and services, which increased to $213.2 million, up from $205.0 million in the year that ended on September 30, 2019.