President Samia Increases Rice Price to Boost Farmers’ Profits and Bypass Middlemen

By Adonis Byemelwa

In a bold move set to revolutionize the agricultural market in Tanzania, President Samia Suluhu Hassan has approved the Ministry of Agriculture's proposal to increase the price of rice from Sh 500 to Sh 900 per kilogram.

 This announcement, made during her address to the residents of Ifakara in Morogoro on Monday, August 6, 2024, forms part of her six-day tour of the region.

The decision to increase the price of rice has been welcomed with enthusiasm by farmers, who believe it will address market challenges and ensure they receive fair compensation for their efforts.

 The new price policy, recommended by Agriculture Minister Hussein Bashe, aims to eliminate the exploitative practices of middlemen who often suppress farmers' earnings.

In addition to the price hike, President Samia has directed the government to purchase rice directly from farmers through the National Food Reserve Agency (NFRA). This strategy is designed to protect farmers from unscrupulous intermediaries and ensure they benefit directly from their produce.

Wilbard Olomi, Manager of the Uwawakuda Smallholder Irrigation Farmers’ Cooperative, praised the government's decision, stating that the price increase will significantly improve farmers' livelihoods.

"The Sh400 increase from the previous price is substantial and will help us avoid middlemen," Olomi said. He emphasized that government procurement of rice will guarantee a stable market for small-scale farmers.

Dr. Jerome Mghase, Manager of the Tanzania Agricultural Research Institute (TARI) Dakawa Center, echoed this sentiment, highlighting that the price increase presents a tremendous opportunity for farmers.

 "With the new price, a bag of rice previously sold for Sh70,000 will now fetch Sh90,000," Dr. Mghase explained. This increase will benefit both farmers and traders, ensuring fair compensation and profitability.

President Samia also addressed the issue of unethical practices among local leaders, urging them to refrain from exploiting farmers.

 "We have appointed leaders at various levels to assist the public. Engaging in business practices that exploit farmers' efforts is unjust," she declared, pointing out that some leaders have been reported to partake in such exploitative practices.

Minister Bashe, during the same event, supported the price hike proposal, emphasizing its importance in protecting farmers from middlemen. He also raised concerns about the establishment of new villages for political gain, which often leads to encroachments on protected areas.

President Samia condemned the politically motivated creation of new villages, which she said frequently occurs during election periods.

These actions, she noted, result in illegal settlements in conservation areas, later defended by the same politicians who initiated them. "Such practices are illegal and jeopardize our land conservation efforts," she stated.

In another directive, President Samia urged the Minister of Natural Resources and Tourism, Angela Kairuki, to safeguard protected areas and prevent unauthorized settlements. "It is unfair for people to establish permanent residences in conservation areas, only to be evicted later," she emphasized.

Addressing concerns about compensation for residents affected by development projects, President Samia called for patience, assuring that the government would handle compensation after the completion of such projects.

She noted that delays in compensation often hinder project implementation. "Let us complete these projects for the benefit of many; compensation will follow," she assured.

In response to grievances about funds being misused in Kilombero District, the Minister of State in the President's Office for Regional Administration and Local Government, Mohamed Mchengerwa, has ordered an investigation.

Residents of Namawala Village have alleged that contributions intended for the construction of public facilities were diverted to build the village chairman's house.

Mchengerwa has tasked District Commissioner Dunstan Kyobya with conducting the investigation and submitting a report within two weeks.

Additionally, Mchengerwa announced plans to meet with regional leaders to address taxation issues, aiming to find amicable solutions that benefit all stakeholders.

This sweeping set of decisions and directives by President Samia and her administration marks a significant step towards empowering Tanzanian farmers, ensuring fair trade practices, and addressing local governance challenges.

 The increase in rice prices, coupled with the direct government procurement strategy, promises a more prosperous and equitable future for the country's agricultural sector.