Tanzania receives US$30M to boost cocoa production & expand its international markets

TANZANIA – The Ministry of Agriculture in Tanzania has signed a Memorandum of Understanding (Mou) with Corus International in a landmark initiative to receive US$30 million, which will enhance cocoa and coffee production, expanding its reach in international markets.

Through this investment, 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.

Deputy Minister for Agriculture, Mr David Silinde, said the agreement is designed to boost farmers’ productivity, open up new markets and ensure Tanzanian crops meet global quality standards.

“The government recognises cocoa and coffee as vital foreign exchange earners. With support from Corus International, we expect significant progress in promoting these crops globally and securing improved market access,” he said.

He added that under the MoU, the investment would accelerate cocoa and coffee farming, especially in key production zones.

COPRA Director General, Ms Irene Mlola, noted that the agreement will also promote sustainable agricultural practices, improve productivity and address climate change challenges.

“In recent years, we’ve made considerable progress in elevating cocoa farming and farmers are benefiting from rising global prices,” Ms Mlola said.

She said that Tanzania currently has about 100,000 cocoa farmers, primarily in Mbeya, Morogoro and Tanga regions, with significant potential for expansion.

According to the data by the Bank of Tanzania (BoT), cocoa’s export earnings increased by more than 100 per cent to US$109 million during the year ending January this year from US$44.3 million the previous year.

The amount was equivalent to 30 percent of total exports earnings from coffee and 20 per cent of export earnings recorded by tobacco. It is also equivalent to 15 percent of export earnings from cashewnuts, the leading traditional exports earnings.

According to reports, Tanzanian cocoa is primarily exported to Europe and Asia, with countries like the Netherlands and Switzerland being key buyers. The cocoa is often valued for its organic and fine-flavour qualities.

Cocoa production in Tanzania is a growing agricultural sector, primarily concentrated in the Mbeya and Kyela regions in the southern highlands, which produces nearly 80 per cent of the crop. 

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