An Action Plan for Developing Agricultural Input Markets in Tanzania

Most of the important crops cultivated in Tanzania
are subject to pest, disease, and weed attacks. 13 High
pre-harvest and post-harvest losses reflect the fact that
there has been limited success in introducing plant protection
measures in Tanzania, particularly among smallholder
farmers growing food crops. Therefore, these
losses pose a serious threat to food security.
The use of crop protection products (CPPs) is the
primary method used to control pests, diseases, and
weeds in Tanzania. Insecticides and fungicides are used
on cotton, coffee, vegetables, and fruit trees, and insecticides
are used for grain preservation and fumigation.
Herbicides are used to control weeds on food and
cash crops.
With the withdrawal of the government from the
CPP market in 1994/95, it was anticipated that the private
sector would make CPPs available to smallholder
farmers in a timely manner and at affordable prices.
However, CPPs are expensive agricultural inputs and
with the dismantling of the commodity boards, which
distributed CPPs to farmers for free or on credit, farmers
have reduced the quantities they purchase or have
simply stopped applying them. Consequently, there has
been a resurgence of institutional credit arrangements
for the purchasing and distribution of CPPs.
Structure of the CPP Market
Market Size
Data from the MAFS indicate that current import
levels for CPPs (approximately US $12.5 million in
2003, valued in f.o.b. prices) are significantly lower
than 1990/91 levels. For example, CPP imports for
coffee and cotton crops (traditionally the major users
of CPPs) have declined in each case from an average
of $20 million in 1990/91 to $2 million in 2003. In
contrast, CPP imports for the cashew industry increased
from next to zero in the early 1990s to $2 million in
2003. The MAFS estimate is a little higher than the
data provided by COTECNA (a pre-shipment inspection
firm), which reports CPP imports during the pe-
13Attachment IV.1 lists the main pests and diseases affecting
crops in Tanzania.
An Assessment of the CPP Market
81
riod November 1, 2001, to November 11, 2003, as US
$18 million averaging a little over US $9 million per
year. The discrepancy may be explained by the fact
that COTECNA data only includes imports that enter
Tanzania via the ports; unlike the MAFS, it does not
cover imports that enter the country via land borders
from neighboring countries.
Between 1995/96 and 2000/01, the distribution of
CPPs fluctuated between 5,000 and 9,000 tons, averaging
7,000 tons (Figure IV.1). In 2001/02 the total distribution
of CPPs exceeded 10,000 tons for the first
time to reach a peak of 13,600 tons. 14 Today, cashew
nuts account for a relatively large share of CPP use in
Tanzania. According to Abassi Exports Ltd., the major
supplier of sulfur dust to the cashew industry, cashew
growers used more than 4,000 tons of sulfur dust in
2003/04 (for storage), whereas coffee growers used less
than 1,000 tons (according to the Coffee Board).
Product Composition
There are 536 brands of pesticides registered in
Tanzania. Of these, 304 are fully registered for general
use, 33 are registered for restricted use, and 199 are for
Source: MAFS, 2003.
Figure IV.1. Total Distribution of CPPs, 1995/96
to 2001/2002
14 Distribution does not equal consumption. Distribution figures
are compiled based on data reported by dealers, input
funds, cooperative societies, and end-users