Fresh hope for over 20,000 avocado growers

Dar es Salaam. Lack of a market for over 20,000 avocado farmers in Rungwe District, Mbeya Region, is a thing of the past now that they have a reliable buyer of their produce.

Avocados and other horticultural products currently earn the country more than $700 million annually, up from $60 million in 2004.

Rungwe Avocado Company Limited (RAC) has 135 permanent staff, and will buy the crop from 20,000 outgrowers in Rungwe District and neighbouring areas.

Speaking yesterday during his visit to the firm’s premises, President John Magufuli said avocado farmers in the district were now assured of a reliable buyer of their produce.

“This is a positive development in our endeavour to industrialise Tanzania, bearing in mind that 75 per cent of Tanzanians depend on agriculture for their livelihood,” he said.

Dr Magufuli promised the company’s management that the government would ensure that VAT refunds were paid without delay.

RAC managing director George Theobald said the company would continue to comply with the government’s directives in its operations in addition to promoting Tanzania by exporting products of the highest quality.

“RAC offers good prices to smallholder farmers through the export of their quality fruit. We have also helped to link a large number of smallholder avocado producers to export markets in Europe,” he said.

It was due to such efforts that farmers have been able to expand their farms, Mr Theobald added.

The company was established in 2006 through a memorandum of understanding with Wakulima Tea Company, before being becoming an independent entity in 2009.

RAC has since developed into a major agricultural player in Mbeya Region. Together with Wakulima Tea Company, it caters for about 20,000 outgrowers, who support an estimated 100,000 people.

The company is on record as being the first to engage in trial avocado exports by air to European markets in 2009 and establish refrigerated sea shipment to Europe.

Avocados are increasingly becoming Tanzania’s green gold, with Tanzania Horticultural Association (Taha) figures showing that the country produces about 7,000 tonnes of the fruit annually. Commercial production of avocados is dominated by RAC and Africado Limited, which is based in Siha District, Kilimanjaro Region.

The two companies jointly produce more than 5,000 tonnes per year.

With an annual growth rate of 12 per cent, the horticulture sub-sector has become a growth driver of agriculture in Tanzania in recent years.