cases from tanzania - Sustainet

4 Agricultural policy in Kenya and Tanzania
developing improved techniques based on traditional knowledge to respond to new requirements.
It is important to take advantage of this potential in research.
Policy changes needed Current policies do not adequately take into consideration traditional
knowledge and farmers’ abilities to contribute to technology development. Policies
should be revised to ensure that farmers participate actively in research.
Successful technologies should be disseminated in a much broader way to farmers so they
can make use of the opportunities and benefits they offer.
international trade
Agriculture productivity and improved competitiveness in the world market remain crucial for
developing countries in general, and for sub-Saharan Africa in particular. Africa has to meet
twin targets: getting its agriculture moving, and integrating its rural areas with its industrial
economy to accelerate overall economic growth, and to increase income, employment and
food security.
To curb rising poverty in a rural-dominated economy requires rational, conducive national
development strategies and favourable international market policies. Since the biggest single
industry in sub-Saharan Africa is agriculture, this should receive the highest priority in
formulating development policies and strategies.
Farm output prices are generally recognized as having three main functions in an economic
system: to allocate farm resources, distribute incomes, and influence investment and capital
formation in agriculture. Farm prices are directly and indirectly affected by domestic and
world market situations. An inefficient domestic market constrains agriculture’s contribution
to food security for a rising population, limits its ability to cut rural poverty, and contributes
to low savings and lack of capital in the rural sector. Farmers must be assured of access to
markets for their products, and producer prices must be high enough to cover their costs
and leave sufficient profits.
Global trade and access to world markets largely determine economic growth and development
prospects of a particular country. Agricultural trade, in particular, is crucial for developing
countries, as their exports depend heavily on agricultural primary products. Engagement in
the world economy, and the impacts of globalization, are of consequence for farmers in the
region. To be competitive, a country’s agricultural products must be produced cheaply and
efficiently, and must of good quality. But they also need a strong, efficient marketing chain,
and a smoothly functioning system of transport, communication, port handling and shipping.
Storage facilities, and regulations on transport, customs and transit, critically affect the
competitiveness of farm exports.
But prevailing international trade regimes favour developed countries. Developing countries
are constrained by limited access to market information and insufficient trade coordination.
Developed countries protect their farmers from outside competition through high import
taxes, import quotas, export subsidies and technical barriers which impede market access
for outsiders. Poor countries like Kenya and Tanzania often lack the power to ensure their
interests are reflected in multi- and bilateral trade negotiations. Developing countries cannot
influence prices on their own, and have to organize effectively with other countries if they
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