Tanzania government allays fears over market for tobacco farmers

Deputy Minister for Agriculture Mr Hussein Bashe

What you need to know:

Deputy Minister for Agriculture Mr Hussein Bashe says the government has already solved the crisis with the traders since Tuesday September 3.

Dodoma. The government has promised to ensure all 12,000 tonnes of tobacco currently in the hands of farmers is bought after sorting out challenges that faced the buyers.

Deputy Minister for Agriculture Mr Hussein Bashe told the National Assembly on Wednesday September 4, 2019 that the government already solved the crisis with the traders since yesterday.

"The crisis which caused them to stop buying the cash crop is now over and all the remaining tobacco will be bought," said Mr Bashe.

The companies stopped after being fined Sh11 billion by the Fair Competition Commission (FCC), he said.

Mr Bashe was responding to a question asked by Ms Margaret Sita (Urambo-CCM) who wanted to know how many buyers were already available to buy the crop competitively.

Mr Bashe mentioned the buyers; including Alliance One Tobacco Tanzania Ltd, Premium Active Tanzania Ltd, Japanes Tobacco International Leaf Services, Tanzania Leaf Tobacco Company Ltd, Magefa Growers Ltd and Grand Tobacco Ltd.

Mr Bashe also said the government was finalizing talks with British American Tobacco to start buying the crop in the 2019/2020 season.

"We are sorting out all challenges faced by the country's cash crops and next season things will not be the same again. The market forces will determine the prices," he said.