African Development Bank project tripled incomes of rural producers and traders in Tanzania

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Producing highly satisfactory results, an African Development Bank’s project to enhance market infrastructure, value addition and rural finance increased the incomes of rural producers and traders threefold in Tanzania.

“With $56.8 million in funding from the African Development Bank, the programme was undertaken in 32 districts with a population of 6.1 million in 1.2 million households,” the project report said.

“Approximately 78% of beneficiaries reported improved incomes, rising from an average of $41 in 2012 to $133 in 2017,” the report added.

“This increase is attributable to the sale of value-added products, improved access to markets, increased productivity, the use of improved techniques and an enhanced capacity to negotiate better prices,” explained project team lead Salum Ramadhan.

According to the report’s findings, small producers and traders also gained greater access to agricultural markets, which cut their post-harvest losses of staple crops.

In addition, transportation costs on all refurbished roads dropped by an average of 20% to 50%.

Also, the use of the programme’s warehouses has led to a sharp decrease in post-harvest losses.

“Despite challenges in terms of coverage, the programme has worked well thanks to the efficiency of communication with the district and regional liaison officers, and to the good relationships established with district and regional political and administrative structures,” as per the project completion report.

By boosting access to markets and increasing the quantity of value-added agricultural products, the AfDB project also complemented the work of government agencies.