Cocoa farmers in Tanzania launch processing plant initiative to boost value addition, earnings 

TANZANIA – Cocoa farmers in Tanzania’s Kyela District, Mbeya Region, have initiated a project to establish a local processing plant aimed at adding value to their cocoa crop and ending reliance on exporting raw harvests.  

The initiative, led by the Kyela Cocoa Farmers’ Cooperative Union (KYECU), has already begun receiving funding through a self-financing model where farmers contribute 50 Tanzanian shillings for every kilogramme of cocoa sold. 

Acting Manager of KYECU, Nabii Emmanuel, revealed that the deduction system was piloted successfully last year, initially raising over TZS 500 million. 

These funds were used to purchase 40 moisture meters, 40 digital weighing scales, and 40 tablets for use by primary agricultural cooperatives (AMCOS), enhancing quality control and operational efficiency. 

Emmanuel emphasized that the completion of the factory will eliminate the export of low-value raw cocoa, allowing farmers to benefit more from processed products. He appealed to the government to support the continuation of this self-financing model. 

Kyela Member of Parliament Ally Jumbe highlighted the strategic importance of the factory, praising Kyela’s cocoa as among the best globally. He credited recent improvements in cocoa prices to the dedication of farmers, cooperatives, and government oversight, encouraging stakeholders to maintain momentum. 

Government representative Dr. Homera commended KYECU’s leadership for innovation and reaffirmed government support for the factory project. He urged the union to secure land for the facility to enable prompt construction once sufficient funds are raised.  

Homera also stressed the need to establish a sales outlet for factory products to improve market access. KYECU plans to become the primary buyer of local cocoa, offering slightly higher prices to outcompete other buyers and benefit farmers. 

In April 2025, the Ministry of Agriculture signed a Memorandum of Understanding with Corus International to receive US$30 million aimed at enhancing cocoa and coffee production.  

Tanzania aims to increase annual coffee production from 80,000 metric tonnes to 300,000 metric tonnes and cocoa output from 14,490 metric tonnes to 80,000 metric tonnes by 2030. 

According to Bank of Tanzania data, cocoa export earnings increased by more than 100 percent to US$109 million in the year ending January 2025, up from US$44.3 million the previous year.

Cocoa earnings accounted for 30 percent of total coffee export earnings, 20 percent of tobacco export earnings, and 15 percent of cashew nut export earnings, Tanzania’s leading traditional export. 

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