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Agricultural Marketing Systems Development Programme (Tanzania)


Titre : Agricultural Marketing Systems Development Programme (Tanzania)

Pays : Tanzanie

Durée : 2001 - 2008

Institution initiatrice : International Fund for Agricultural Development (IFAD)
Emprunteur : United Republic of Tanzania
Organisme d’exécution : Prime Minister’s Office


Who are the beneficiaries ? Given the multidimensional and holistic nature of the programme, with major emphasis given to rationalization of overall marketing policies and improvements of related infrastructures, it is expected that all rural market participants will benefit from the programme. The major programme support will be directed to : (a) the smallholder farmer members of producer groups (PGs) and grass-roots institutions (GIs), who have on average less than 2 ha of cultivable land and income generally below the poverty line ; (b) small-scale traders and processors operating in rural areas ; and (c) medium-scale agribusiness entrepreneurs who have demonstrated their ability to handle significant volumes of smallholder produce. The larger part of the benefits will be captured by small farmers. Small and itinerant traders – mostly women – will also benefit greatly from the programme.

Why are they poor ? The causal factors of poverty for 4.4 million smallholder producers, traders and processors include : (a) lack of a conducive marketing policy environment in the country (overvalued exchange rates, prohibitive regulations and high taxation) ; (b) inadequate market infrastructures and transportation ; (c) lack of economies of scale and vertical integration ; (d) lack of market information and communication systems, which prohibits small producers and other actors from exploiting market potentials and opportunities ; and (e) shortage of both investment and working capital for undertaking production, marketing and processing activities. Taken together, these severely depress the value of output (and income) received by small farmers, and present major obstacles to moving towards new forms of production that offer higher returns.

What will the proposed programme do for them ? The programme will assist the Government in bringing about a comprehensive change in the agricultural marketing subsector with the objective of making rural markets work better and empowering smallholders within them. The programme will : (a) strengthen about 1 000 PGs to enable them to have a better bargaining position and more leverage on policy formulation, identification of marketing opportunities and price negotiations for both inputs and outputs ; (b) assist the Government in rationalizing the existing policies relating to regulation, taxation, the exchange rate and so on, so that it can contribute to improved marketing system efficiency as a whole ; (c) improve market infrastructures through construction and rehabilitation of 700 km of rural roads, 200 km of access roads and 30 market centres, and through financing for postharvest facilities ; (d) strengthen capacity of the Ministry of Cooperatives and Marketing (MCM) to collect, compile and disseminate agricultural marketing information ; (e) help PGs, GIs, traders and processors to access inventory and capital loans from the commercial banks as required for promotion of marketing activities ; and (f) establish and strengthen both vertical and horizontal linkages among PGs, GIs, processors, local marketing chains and exporters.

How will the beneficiaries participate in the programme ? A highly decentralized participatory and consultative process, led from the grass roots and coordinated by the MCM and the Prime Minister’s Office, guided the programme design during all stages of the project development cycle. The following institutional mechanisms and modalities will be used to secure participation during implementation : (a) the PGs and GIs – savings and credit cooperatives, savings and credit associations, etc. – will be organized and supported according to a demand-driven approach ; (b) resources will be provided to develop ownership, support and implementation of policies at both the district and national levels, with participation of beneficiaries, civil-society organizations and government, through dialogue, lobbying and public-awareness campaigns and discussions ; (c) specific measures and criteria will be used to maximize the participation of women in PGs and GIs, including in the decision-making processes ; and (d) provision will be made for a participatory impact monitoring and evaluation assessment system that can address the beneficiaries’ priority concerns and be used and applied for assessing performance and impacts of their respective enterprise operations.

Partenaire (s)  : United Nations Office for Project Services (UNOPS) ; First Mile Project

Informations financières
Coût total du projet : US$ 52.8 million
Montant du financement IFAD : US$ 16.3 million
African Development Fund : US$ 14.5 million
Ireland : US$ 1.1 million
Contribution de l’emprunteur : USD 4.22 million + USD 1.19 million
Contribution des bénéficiaires : USD 513 600

Présentation : IFAD

President’s report

Page publiée le 12 juillet 2016, mise à jour le 20 juin 2020