The Tanzania Fertilizer Regulatory Authority (TFRA) recently released a statement to regulate the price of fertilizers sold in Tanzania.
On average, 50 kg bags of fertilizer will now be sold between TZS 73,468 to TZS 75,526, while 25 kg bags will trade between TZS 3Z734 and TZS 33,763 each.
The decision goes against the previous abolition of the fertilizer bulk procurement system (FBPS) as it did not show as great results as the government had hoped.
The decision to cap prices was taken after the government’s deliberations with fertilizer importers and sellers following a sharp increase in prices in recent months.
Already on 12th March 2022, TFRA Executive Director, Dr. Stephan Ngailo claimed that some unscrupulous traders have been hiking the price arbitrarily while there was no new consignment of fertilizer which has been imported into the country that could change the price.
And on 17th March 2022, Tanzania’s Minister of Agriculture Hussein Bashe revealed that the price of a 50kg bag of fertilizers increased from TZS 109,000 to TZS 139,000 in just a week. He explained that it is unacceptable and such a situation is forcing the government to reinstate BPS, and control prices.
The use of fertilizers in Tanzania is extremely low and remains below recommended rates, and low-input and rain-fed subsistence farming dominates Tanzania’s agriculture, contributing to poor crop yields.
High prices inhibit access to fertilizers by small-scale farmers (SSF). More than 90% of all fertilizers used in the country are imported and their price is high.