TANZANIA – Seed Co. Tanzania, the subsidiary of regional seed producer Seed-Co Group, is seeking to establish a new seed processing factory in Iringa, Central of Tanzania, worth Tsh 10 billion (US$4.3m).

The new processing facility is an addition to the company’s existing factory located in Arusha, established in 2009.

It will have a processing capacity of 40 tonnes of maize and other seeds per day, meeting the high demand of quality seeds in the country and serving the rest of the East African Community (EAC) region i.e., Kenya, Uganda, Burundi and Rwanda.

According to reports by Citizen Tanzania, recent statistics have indicated that the annual demand for seeds in Tanzania stands at 212,274 tonnes of which only 52,700 tonnes are available.

Out of the 52,700 tonnes supplied to the market, 35,422 tonnes are produced locally while 16,278 tonnes are imported.

Tanzania’s annual seed demand stands at 212,274 tonnes against a supply of 52,700 tonnes

Other than boosting the company’s processing capacity, the proposed factory will feature laboratory facilities and fields for trials and seed breeding.

Seed Co. is the leading certified seed company authorized to market seed varieties developed by itself, government and other associated seed breeders in over 15 countries.

The company develops and markets mainly hybrid maize seed and also cotton seed, wheat, soya bean, barley, sorghum and ground nut seeds.

Recently, the listed seed producing giant, Seed Co received a US$25 million loan financing from French development financial institution Proparco, to strengthens food security in the region.

The seven-year support is divided into two tranches, each for US$ 12.5m, with a 7-year maturity.

The financing will be channelled towards research and international expansion via a loan to Seed Co Zambia.

Secondly it will include the construction of a corn dryer at its Zimbabwe operations, which will increase the production capacity, double farmers’ harvests and do more to address the climate risk.

In other related news, Kenyan juices and wheat flour are set to make entry into the Tanzanian market, following a bilateral meeting that has resolved the trade barriers that had caused clearance hurdles at the border.

In a meeting held recently in Arusha, Tanzania agreed to abolish inspection fees for the processed products with standardisation mark, giving Kenyan goods a smooth entry into the country, reports Business Daily.

“Some of the issues resolved on the side of the United Republic of Tanzania include facilitating clearance of soft drinks such as juices, removal of inspection fees for processed products with standardisation mark including wheat flour,” read the communique.

Tanzania said it has started implementing the ‘Single Window’ system that allows traders to lodge information with one agency to fulfil all import or export-related requirements, a move that will reduce delays in the clearance of goods produced in Kenya.

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