Transformation, Job Creation and Poverty Eradication by Dr

19th ANNUAL RESEARCH WORKSHOP
TRANSFORMATION, JOB
CREATION AND POVERTY
ERADICATION
By
Dr. Parseko Kone
4
Ledger Plaza Bahari Beach Hotel
Dar es Salaam, Tanzania
April 09-10, 2014
Introduction
1. Agriculture transformation in Singida
2. Success Factors
3. The importance of informal enterprise in Capital
Accumulation
4. Important factors in moving up the value chain
5. Contribution of Cooperatives as towards enterprise
transformation, job creation and Poverty eradication
5
1. Agriculture and Rural
Transformation
A; Crop Subsector
B; Livestock Subsector
6
A; Crop Subsector Transformation
 Increase in production of Cash and Food Crops;
Year
Food crops
Cash crops
Total
Percentage
increase
2009/2010
2012/2013
442,180
164,673
859,544
292,029
94
77
606,853
1,151,573
90
7
Increase in the production trend of
Selected priority food and Cash crops
Total Production
2009/2010 (Tones)
Total production
2012/2013 (Tones)
Percentage
increase
Sorghum
159,083
192,784
21
Finger Millet
90,576
128,957
42
Paddy
3,438
15,827
360
Sweet potatoes
44,707
123,976
177
Sunflower
107,263
202,803
89
Onion
15,525
38,378
147
Crop
8
Success Factors
i. Increased area under irrigation from 2,696 Ha year
2009/2010 to 19,000 Ha year 2012/2013. Productivity
increase;
Name of
Scheme
Number of
Ha under
Irrigation
Paddy Productivity
before Project
(Tones)
Paddy
productivity after
project (Tones)
Masimba
350
1.3
2.8
Maweni
258
2.9
4
Mtiwe
165
2.1
4.5
9
Success factors-2
ii. Increased use of improved farm implements as follows;
Farm implement
2009/2010
2012/2013
Percent
Tractors
89
173
94
Powertillers
58
140
141
Ox plough
73,830
80,808
10
5882
12,575
114
Ox - curt
10
Success factors-3
Increased farm operations efficiency using Ox plough and
Tractors
11
Success factors-4
iii. Increased use of improved varieties of seeds through
production of quality declared seeds and subsidised seeds
from Central Government;
Seed supply
2009/2010 (Tones)
2013/2014 (Tones)
Quality declared seeds
5
66
Subsidized seeds
80
20
Total
85
86
12
Success factors-5
Onion Quality declared
seed farm in Iramba
District
The availability of improved seeds to farmers is
increased by production of QDS at Ward level.
13
Success factors-6
iv. Increased number of farmers trained on improved
agronomical practices;
 Prepared and distributed the Singida Agricultural and Livestock
Stakeholders Guideline, 2006. Expected to produce 2nd edition
recently.
 Establish Farmers Field School for training farmers. The number of
FFS has increased from 30 during year 2009/2010 to 434 during
2012/2013
 Number of Extension Field Officers has increased from 87,
2009/2010 to 123, during 2012/2013
14
Success factors-7
One of Farmers Field School at Sanjaranda
Manyoni District.
15
Success factors-8
v. Increased investiment in value addition of crop produces.
 The number of Sunflower oil procesing
o Industries has increased from 32, year 2005/2006 to 104, year
2012/2013.
o Small (73), Medium (26) and Large (5)
 The number of trained Enterpreneurs
development by SIDO is 1,841
16
on
enterprise
Success factors-9
Sunflower processing machines
Small scale
Large Scale
17
Success factors-10
vi. Improved formalised Selling points to enhance easy access
to markets and attract traders.
2009/2010 – 27 Market Sheds
2012/2013 – 93 Market sheds
vii. Increased budget allocation for implementation of DADPs
.
18
Success factors-11
viii. Availability of financial resources through Agricultural
Sector Development Programme to support small Scale
producers including value addition activities.
Year
Amount received
Year
Amount received
2006/2007
421,628,045
2010/2011
1,879,121,406
2007/2008
3,739,045,043
2011/2012
1,344,809,907
2008/2009
2,679,166,362
2012/2013
1,344,809,907
.2009/2010
2,606,412,533
Grand Total 14,014,993,203
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Success factors-12
ix. Improved environmental conservation;
• Total area of reserved natural Forest – 520,325.48 Ha.
• Stimulated the production of Honey;
Average annual production;
• Honey – 156,118Kgs – TShs -1,561,182,500
• Wax - 57,759Kgs – TShs- 404,314,750
• Employment -173 groups with 3,633 people
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B; Livestock Subsector
Success;
• Chicken live weight increased from 1.5Kg, 2009/2010 –
2Kg, 2012/2013
• Number eggs/chicken/year increased from 45, 2009/2010
to 75 2012/2013
• Milk Production increased from 2lts/day per Cow, 2009 to
8Lts/day/Cow.
• Increased average number of chicken per household from
3-4, 2009 to 16, 2013
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Livestock success factors-2
i.
Training livestock keepers through Livestock Field
Schools.
ii. Vaccination ; Both livestock and Poultry
iii. Increased market availability - Price of chicken
increased from TShs 5000 per chicken, 2009 to TShs
12,000 per chicken 2014.
iv. Support Poultry keepers with incubators Eg. Ikungi DC
- supported 4 groups with incubator with capacity of
hatching 3000 eggs at a time
v. Availability of Community Vaccinators – Ikungi DC
trained 632 Poultry Vaccinators.
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2. i. Role of employment as an important
link between transformation enterprise
development and inclusive growth
 Provision of technical expertise for an enterprise
transformation.
 With capital accumulation an employee can transform
enterprise and bring inclusive growth;
 A case study of Mwenge Oil Mill
Started an enterprise with 2 machines – capacity 2.8
tones/day. Number of people employed 3
Current;
5 machines -10 -14 tones/day, 2 godowns – capacity 1,370
tones, Number of employee full time employee 25.
23
2. ii. Important issues in facilitating the
process of moving up the value chain
include;




Availability of viable technology
Presence of market for the product
Access to financial services
Availability of services – Business and technical training,
Financial intermideation and consultancy
 Presence of Important infrastructures (Power, water, roads)
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3. i. Importance of informal enterprise as
an agent for capital accumulation
Name of
Enterprise
 There
Start
year
are
Initial Capital Number of Current Capital
Number of
Investmentthatemployee
evidence
informal investment
enterprises employee
are
agent for capital accumulation.
Chalk industry
– Manyoni
2000
13,000,000
40
150,000,000
20
Mwenge Oil
Mill – Singida
MC
2009
60,000,000
5
300,000,000
25
Mene Oil Mill –
Singida (R)
2003
2,800,000
3
60,000,000
19
25
3. ii. Transformation of informal
enterprise into formal
According to registration procedures of enterprises in
Tanzania context, Informal enterprise are transformed into
formal by registering their business with BRELLA
Factors –win-win
i.
ii.
iii.
iv.
Formally determined and agreed benefits prior agreement
There should be legally agreement between two parties
Formulation of laws and regulations that will govern the
whole process
Presence of mediator
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7. Role of Cooperatives in the
Transformation
 Total number of Cooperatives increased from 100 2009 to
258, 2013- AMCOS (99), SACCOs (123), Industrial (2),
Irrigators (10), Bee keepers (9), Minerals (15)
Roles
i.
i.
Source of finance for enterprise development
Provide credit to members – TShs 1,127,275,857 year 2009 to
2,827,350,300 year 2013
ii. Attract capital investment to members – A total of 70 members received
Tractor loan from TIB (52), Input Trust Fund (4), CRDB (8), SUMA JKT (5)
iii. Support value addition of crops to members Eg 2 Cooperatives 9 Mtinko and
Ilongero)
iv. iv. Agricultural Marketing Cooperatives play an important role in marketing of
products. The implementation of warehouse receipt system in Singida
increased prices of Sunflower from Sh 210 per Kilogramme year 2009/2010
to Sh 750 year 2011/2012.
27
Impact of Transformation in
Singida Region
• Increased community contribution in improving social and
Economic services (Construction of education
infrastructures, Health, Water)
• Improved residential houses
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