Page 134 - AFAP Success Stories 2020
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value chain as they had received credit from Agrodealers of importing these chemicals was tough hence delays in
in anticipation of paying after the sale of produce. receiving consignments. However, the impact was not felt
as there were enough stocks to meet season’s needs.
Loss of foreign earnings from cash
crops General reduction of purchasing
power
Tanzania as many other African countries depend heavily
on exports of cash crops such as sisal, cashew, sesame, During the pandemic, the economy slowed down as
tobacco, cotton, flowers and purses to earn the much a number of income generating activities were stalled.
needed foreign exchange. Measures taken by other Social activities like wedding parties which had great
countries especially the lockdowns Europe and Asia demand of products like chicken and vegetables were no
resulted into reduced demand of the exports thus prices to longer there thus affecting the whole supply chain from
smallholder farmers dropped beyond cost of production. suppliers of poultry feeds, smallholder keepers, vendors
A case in reference is the drop of price of sesame from TZS etc. Those and the other supply chains of food products
2,500 last year to TZS 500 per kilogram year 2020. were income generating activities and the COVID-19
stopped the business thus affecting incomes of people
and reduced their purchasing power. The real effect will
Logistic challenges on international be felt in the coming season as farmers may not have
trade enough savings to purchase farm inputs
Tanzania depends mostly on importation of agricultural
inputs especially fertilizers, veterinary drugs and Isack Malipa – Consultant SME
agrochemicals. During Covid-19 pandemic the logistics AFAP Country Office
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