Farmers’ awareness fuels record storage by WRRB
DAR ES SALAAM: THE Warehouse Receipts Regulatory Board (WRRB) has achieved over half of last year’s total storage volume in the first quarter of this fiscal year, driven by farmers’ increasing awareness of storage solutions.
The Board warehoused 485,924.8 tonnes of crops worth 1.3tri/- in 2023/24 while in first quarter of 2024/25 stored 265,793.8 tonnes of agri-goods valued at 1.08 tri/-.
The shift reflects a deeper understanding of the benefits that storage solutions, under warehouse receipt, offer, enabling producers to manage their crops more effectively and reduce spoilage.
With better access to efficient storage facilities, farmers are now able to store their produce longer, enhancing market readiness and profitability.
The WRRB Executive Director, Mr Asangye Bangu said recently a significant increase in farmers’ understanding compared to previous years pushed them to further trust the warehouse system driven by good market prices.
“The understanding of the system and market certainty has contributed to push up storage capacity. “As farmers reap the benefits of improved practices, their enthusiasm for productive farming intensifies, driving a notable increase in overall production, hence warehouse storage,” Mr Bangu said when presenting the first quarter report to the Parliamentary Standing Committee for Industry, Trade, Agriculture and Livestock.
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The report reveals that the storage tonnage is the highest recorded in three years, surpassing the 2021/22 figures by 157 per cent, the 2022/23 by 123 per cent and last year by 83 per cent.
The committee visited the Morogoro Region to evaluate the progress in cocoa production and assess how the warehouse receipt system is benefiting local farmers. The visit aimed to gather insights into the system’s impact on agricultural practices and the overall livelihoods of farmers in the region.
Additionally, the WRRB targeted to reach all regions by 2025. Currently, pondering how to reach seven regions which have no warehouse receipt system.
“By next year, we will reach all farmers across the country, including Arusha and Kilimanjaro, which have not yet been covered due to the nature of their agricultural activities,” he said.
The committee challenged farmers to utilise the warehouse receipt system for both storing and selling their crops at competitive prices, noting that this approach would enhance their individual benefits and strengthen the economy as a whole.
The Committee Chairman, Mr Deodatus Mwanyika, said the government is committed to ensuring that farmers receive fair prices and profit from their produce such as cocoa whose price ballooned to 29,595/- per kilogramme this year from merely 4,200/- in 2021.
The Deputy Minister for Industry and Trade, Mr Exaud Kigahe, said the government is determined to empower farmers by ensuring they increase productivity, add value and find reliable markets for their products “The payment through warehouse system is three to five days,” Mr Kigahe said.
