THE government has pledged tax exemptions to USAID’s Feed the Future Tuhifadhi Chakula project which is designed to address the chronic challenge of post-harvest loss in horticulture and cereal crops.

Gerald Mweli, Permanent Secretary in the Ministry of Agriculture, made the pledge here yesterday when launching a two-day exhibition on post-harvest loss management and value addition technologies.

Feed the Future Tanzania Tuhifadhi Chakula project funded by the US government and executed by Tanzania Horticultural Association (TAHA) aims to reduce post-harvest food loss from between 30 to 40 percent to 15 percent for horticulture and from between 13 to 7 percent for grains by 2028.

Mweli said that the government's contribution to the project valued at 50bn/-, includes offering import duties exemption on purchases.

“This measure will help the project serve farmers at a lower cost,” he said, noting that ways to deliver technology to farmers include providing tax exemptions, subsidies and loans from financial institutions.

He said that lack of technology leads to significant post-harvest loss in food as well as damage from pests, jeopardizing consumer health.

He explained that a farmer with 10 acres of sunflower could buy a machine for just 3m/-, enough to produce cooking oil for the community.

Due to the government's subsidy for high-quality sunflower seeds in 2022, sunflower production has increased from 490,000 tonnes to 1.1 million tonnes.

Approximately 30 companies participated in the exhibition at the Arusha Declaration Museum, showcasing various technologies including soil health assessment, harvesting, storage, processing, packaging and value addition.

Mweli mentioned that among the challenges facing African countries in agriculture is production costs exceeding market prices, resulting in uncompetitive sector.

To address this, the government is investing in soil health to enhance agriculture productivity.

Amani Temu, Feed the Future Tanzania Tuhifadhi Chakula project chief of party, said that the exhibition would be an annual event taking place in various regions to reach technology users, enabling them to harvest and add value to their crops.

The project will focus on enhancing food preservation, crop processing and access to both regional and international markets.

Dr Jacqueline Mkindi, TAHA Chief Executive Officer, expressed gratitude to the ministry for the continued support to TAHA and horticulture industry in the country.

She also thanked the US government for building a strong foundation for horticulture industry from its inception.

“We take pride in the logistics and other services of TAHA's subsidiary TAHAFRESH as USAID played a role in its development,” she said.