In a bold leap ahead of projections, the mighty avocado is set to outpace the Government's ambitious Agenda 20/30, with industry experts forecasting a surge in production that dwarfs the official growth targets.
While the agenda targets for a modest increase to 250,000 metric tons annual production, leading figures in the horticultural sub-sector predict that the so-called 'green gold' could soon redefine agricultural success, far exceeding these expectations.
Presenting her paper at the first national avocado stakeholders' conference held in Dodoma over the weekend, titled, "Marketing Dynamics and Strategic Investment in the Avocado Industry," TAHA CEO, Dr. Jacqueline Mkindi said that exports have increased from 15,432 tons in 2021 to 26,826 tons in 2023.
In terms of revenue, Dr. Mkindi revealed that in 2021, the avocado industry contributed $44.3 million to the national economy, while in 2023, this figure rose to $77.3 million
Looking ahead, TAHA estimates that avocado exports would have reached 31,950 tons for the 2023/2024 seasons, as the data compilation is still underway.
Moreover, Tanzania’s avocado production has been growing by 20 percent annually over the past five years.
Going by the trend TAHA projects that by 2030/31, production will reach 923,620 tons, marking a 329 percent increase.
By 2035/36, production is expected to double, hitting 2.29 million tons.
Correspondingly, revenue is projected to soar from $714 million in 2030/31 to $2.8 billion in 2035/36.
The key markets for Tanzania’s avocado exports include Europe, which accounts for 40 percent of the sales, followed by India at 30 percent, the Middle East at 19 percent, and other markets such as China, South Africa, and Kenya making up the remaining 11 percent.
“With strategic investments and surging global appetite, Tanzania’s avocado industry is on track to become a powerhouse,” Dr. Mkindi declared, during the avocado conference organized jointly with Ministry of agriculture through COPRA and TAHA that would be held annually to focus on development of avocado industry.
TAHA, guided by its motto "private sector-led and government-enabled," is optimistic that by 2030, the horticultural industry in general will surpass the National target of generating $2 billion in export value.
“Just imagine, avocado alone would contribute $714 million during the 2030/2031 season, here we haven’t talked about other value chains such as vegetables, flowers, bitter gourd and spices among others” TAHA CEO said.
Highlighting TAHA’s roles in the development of the avocado industry, Dr. Mkindi stated that it provides training to farmers to increase productivity, improve business environments, market access, build market infrastructure such as pack houses, offer logistics services through its TAHA Fresh, and provide certification services through the Greencert company.
"We have launched the Horticultural Exports Acceleration Program (HEAP) to help boost exports between Tanzania and the UK," she said.
Dr. Mkindi also mentioned that last year they opened offices in Europe and the UK to assist horticultural exporters in accessing these major markets.
TAHA has also invested in developing new value chains such as macadamia, oranges, and sweet melon.
Furthermore, TAHA has fostered strategic partnerships with the government, especially the Ministry of Agriculture through Cereals and Other Produce Regulatory Authority (COPRA), various regional trading associations such as the Horticulture Council of Eastern Africa (HoCEA), East African Business Council (EABC) and, the Common Market for Eastern and Southern Africa (COMESA) and Estern African community (EAC) Horticulture Accelerator (CEHA) with the aim of facilitating seamless information access and market development.
TAHA has also developed strategic relationships with embassies and international organizations, as well as major global horticultural crops buyers like Westfalia, Hall & Sons.
In her part, COPRA Director General, Ms. Irine Mlola Madeje, said that the opening of new international markets (China, India, South Africa, and UAE) has increased opportunities.
The establishment of four major avocado oil-processing factories has been initiated, and collection centers for avocados have been set up in two districts.
The establishment of COPRA has strengthened the coordination, management, and development of horticultural products.
Ms. Mlola stated that these have been advanced through a Public Private Sector Partnership. Through the "Farmer to Farmer" program, farmers have been able to plant a total of 2,620 acres of avocados in seven regions.
The yield per tree has increased from less than 50kg to 180kg per year. The government has created an enabling environment by building three avocado packaging centers.
The COPRA DG said that collection centers have been established in two districts to improve the collection, storage, and transportation of products to meet the standards required by both domestic and international markets.
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