Respite as company resumes purchasing cane at new price

By Mutayoba Arbogast , The Guardian
Published at 06:00 AM Sep 20 2024
Sugarcane
Photo: File
Sugarcane

SMALL-SCALE sugarcane growers in Missenyi District, Kagera Region can breathe a sigh of relief after Kagera Sugar Limited (KSL) agreed to resume purchasing their produce at a newly negotiated price.

 This was announced here recently at a meeting led by Missenyi District Commissioner Col. (rtd) Hamis Maiga and attended by KSL management team, led by chief executive officer Sanjeev Mishra, representatives from Agricultural Marketing Cooperative Societies (AMCOS), Missenyi District Council Chairperson Projestus Tegamaisho, Missenyi Executive Director John Wanga and other officials.

Farmers had expressed concerns over potential financial losses due to KSL’s suspension of buying their sugarcane. Initially, KSL offered to purchase sugarcane at 65,000/- per tonne while the growers demanded 80,000/-.

 After government intervention, which set an indicative price of 75,000/- per tonne, KSL contended that the price would threaten its sustainability due to market volatility, leading prompting the firm to stop purchases.

As tensions increased among farmers, local leaders stepped in. Nkenge legislator Florent Kyombo was set to meet with Agriculture Minister Hussein Bashe and the Sugar Board of Tanzania (SBT) to address the challenges faced by small-scale growers.

Meanwhile, councillors tasked Missenyi District Council Chairperson to travel to Dar es Salaam to engage with factory owner Nassoro Seif and CEO Mishra. The dialogue focused on the challenges both sides faced and potential solutions.

The recent meeting led by the DC resulted in positive outcomes of the discussions where an agreement was reached to resume purchase of sugarcane from farmers.

It is estimated that 191,000 tonnes of sugarcane are ready for sale, with farmers expected to harvest about 1,200 tonnes daily, equals to 36,000 tonnes monthly. However, the canes must be delivered to the factory within 24 to 36 hours to meet processing goals, necessitating reliable transport support.

KSL also committed to providing 200 labourers to assist with harvesting, addressing the challenge of workforce shortages among farmers.

However, farmers are encouraged to continue organizing their own labour. Quality control remains a priority; farmers have been warned against wildfires that can damage sugarcane quality. Testing of sugarcane quality, particularly for fire-affected crops, will involve farmer participation to ensure transparency.

Regarding seed quality, farmers will be allowed to finish using old seeds before transitioning to new, higher-yielding varieties. Educational support will be provided on cultivating the new seeds to enhance productivity and sugar output.

Another meeting is planned for individual growers to discuss strategies for improving services for both parties.

Tanzania currently produces around 342,000 tonnes of sugar annually, while national demand stands at approximately 630,000 tonnes, covering both domestic and industrial consumption. The government continues to address the deficit through imports.