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Raha Farm, led by the visionary entrepreneur Raha Aloyce, has emerged as a leading force in Tanzania’s burgeoning horticultural sector. With a commitment to sustainable agriculture and youth empowerment, Raha Farm is transforming the landscape of vegetable production and contributing significantly to the nation’s economic growth. This feature story delves into the remarkable journey of Raha Farm and explores the vast economic potential of the potato value chain in Tanzania.
Raha Farm: A Story of Empowerment and Innovation
Raha Aloyce’s journey began a decade ago with a simple yet powerful vision: to demonstrate the viability and profitability of farming in Tanzania. She transformed this vision into a thriving reality through sheer determination and strategic partnerships. Raha Farm, a private limited company registered under the Tanzania Act of 2002 in 2016, has blossomed into a prominent agricultural enterprise. Initially a modest venture, Raha Farm now boasts locations in Morogoro, Tanga, Dodoma, and Kahama.
A pivotal moment in Raha Farm’s history came in March 2023 when Raha Aloyce was selected as one of ten young entrepreneurs to receive substantial financial support—a check for 200 million—through the Building Better Tomorrow (BBT) initiative. This initiative, championed by President Samia Suluhu Hassan, significantly boosted Raha Farm’s operations, enabling expansion and increased productivity.
Raha Aloyce attributes her success to a focus on three key elements: high-quality seeds and seedlings, proper plant nutrition, and a supportive policy environment. With the BBT funding, she invested in these areas, enabling Raha Farm to supply tomatoes and other vegetable seedlings to farmers across all regions of Tanzania. This expansion has led to a remarkable increase in tomato seedling production, from 3,000 to 400,000 per month.
Raha Farm’s Expanding Footprint
Raha Farm’s commitment to innovation and expansion is evident in its recent launch of a new seedling nursery in Kahama Municipality, Shinyanga Region. This new facility, the company’s fourth location, will further strengthen its presence in the national agricultural landscape. The launch event, held on January 29, 2025, showcased Raha Farm’s advanced practices in nursery management, seedling preparation, and transplantation techniques.
Raha Farm operates through five subsidiaries, each dedicated to unlocking agricultural opportunities and ensuring environmental protection. The company’s dedication to quality has earned it a reputation as a trusted partner for local farmers and commercial agricultural enterprises. Raha Farm specializes in producing premium vegetable seedlings, including a diverse range of vegetables such as bell peppers, tomatoes, chilies, and more. To ensure the health and productivity of its seedlings, Raha Farm utilizes “mtumbwi technology” for soil health and moisture management. This innovative approach involves creating raised beds with sunken walkways (“mtumbwi” in Swahili), which improves drainage, reduces soil erosion, and enhances water conservation.
Connecting Raha Farm to the Potato Value Chain
While Raha Farm’s primary focus is on horticultural production, its success story is intertwined with the broader agricultural landscape in Tanzania. The potato value chain, in particular, holds immense economic potential for the country, offering valuable lessons and opportunities for synergy with Raha Farm’s operations. By exploring the potato value chain, we can better understand the challenges and opportunities facing Tanzanian farmers and the potential for collaboration and knowledge sharing between different agricultural sub-sectors.
Historical Overview of the Potato Value Chain in Tanzania
The potato has a long and rich history in Tanzania, dating back to its introduction by European colonizers in the late 19th century. Initially cultivated in small-scale gardens, potatoes gradually gained popularity as a staple food crop, particularly in the highlands where the cool climate and fertile soils provided ideal growing conditions. Over the years, potato farming in Tanzania has evolved from subsistence agriculture to a more commercialized system, with increasing emphasis on improved varieties, modern farming techniques, and market access.
The Economic Potential of the Potato Value Chain in Tanzania
Potatoes are a staple food crop in Tanzania and a significant contributor to food security and income generation. The Southern Highlands of Tanzania, with their favorable climatic conditions, account for 70-80% of the country’s potato production.
Production and Yield
In 2022, Tanzania produced 1,013,154 tons of potatoes from a harvested area of 120,184 hectares, achieving a yield of 8.43 tons per hectare. While this yield is the highest in East Africa, it remains significantly below the potential yield of 40-60 tons per hectare achievable with improved practices and access to quality seed. The Southern Highlands benefit from a unique bimodal rainfall pattern, which allows for two potato harvests annually, further enhancing the region’s production capacity.
Economic Contribution
The potato value chain contributes significantly to Tanzania’s economy. In 2022, the total production value of potatoes was estimated at $254 million. Potatoes are the third most important starchy food and cash crop in the Southern Highlands after maize and rice. The wholesale price for a 60 kg bag of potatoes ranges from TSh 35,000 to 40,000, while the retail price is TSh 1,000–1,200 per kg. The demand for processed potato products, such as chips and crisps, further enhances the crop’s market potential.
With increasing demand in both domestic and regional markets, Tanzania has the potential to become a major potato exporter. Efforts like the Market Access Dossier, a collaboration with the Food and Agriculture Organization (FAO), aim to secure access to markets in 14 countries, including the EU, USA, China, and South Africa, unlocking potential markets valued at $3.4 billion.
Challenges and Opportunities
Potato farmers in Tanzania face various challenges, but these challenges also present opportunities for innovation and growth.
Challenges:
- Pests and Diseases: Late blight disease and bacterial wilt pose significant threats to potato crops, impacting yields and quality.
- Seed Quality: Access to high-quality, disease-free seed potatoes remains a concern, with many farmers relying on farm-saved seeds, which can lead to lower yields and increased susceptibility to diseases.
- Market Access: Poor infrastructure and limited storage facilities hinder efficient transportation and marketing of potatoes, affecting prices and farmers’ incomes.
- Climate Change: Rising temperatures and unpredictable rainfall patterns threaten potato cultivation, increasing the risk of crop failure and yield reduction.
- Seed Quality and Agrologistics: The use of low-quality seeds can result in poor yields and disease outbreaks, while inefficient agrologistics for export can lead to post-harvest losses and reduced market access.
Opportunities:
- Improved Seed Systems: Investing in the development and distribution of high-quality seed potatoes can significantly boost yields and disease resistance.
- Irrigation: Expanding irrigation infrastructure can reduce reliance on rainfall and enable year-round potato cultivation in more areas.
- Value Addition: Exploring value addition opportunities, such as processing potatoes into chips, crisps, and other products, can increase income for farmers and create new markets.
- Climate-Smart Agriculture: Adopting climate-smart agricultural practices, such as drought-resistant varieties and efficient irrigation methods, can enhance resilience to climate change impacts.
- Promoting Certified Seeds: Strengthening regulatory processes for the registration of seed potato varieties and investing in infrastructure for seed potato multiplication can improve seed quality and availability.
- Efficient Agrologistics: Investing in cold storage facilities, improving transportation networks, and promoting better coordination between farmers, transporters, and buyers can enhance the efficiency of agrologistics for potato export.
Government Support and Initiatives
The Tanzanian government recognizes the importance of the potato value chain and has implemented various policies and initiatives to support its growth. These include:
- Promoting improved, disease-resistant potato varieties: The government, in collaboration with organizations like SAGCOT, is promoting the adoption of high-yielding and disease-resistant potato varieties, such as the Sagitta variety, which has shown promising results in the Njombe region.
- Training farmers on best agronomic practices: Initiatives like the “Mkulima kwa Mkulima” (Farmer to Farmer) program provide training on modern farming techniques, pest management, and efficient irrigation methods.
- Supporting farmer groups for collective marketing and input access: The government supports the formation of farmer groups and cooperatives, such as the Igoma AMCOS, to facilitate collective bargaining, bulk purchasing of inputs, and improved market access.
- Ensuring seed quality through TOSCI certification: TOSCI plays a crucial role in ensuring the quality of seed potatoes by providing guidelines and certification for seed producers.
- Strengthening the competitiveness of domestically produced crops in international markets: The government is implementing strategies like the Agricultural Marketing Policy of 2008, the National Horticulture Development Strategy for 2021–2030, and the Youth Strategy in Agribusiness to enhance the competitiveness of Tanzanian crops in international markets.
- The Big Results Now (BRN) initiative: This initiative aims to increase agricultural growth through commercial farming models, improve smallholder farmer incomes, ensure food security, and focus on priority crops like maize, rice, sugarcane, oilseeds, and horticulture.
- SAGCOT initiatives: SAGCOT drives transformation in the potato value chain through initiatives like the “Mkulima kwa Mkulima” program and the Tajirika na Lusitu Project, which promotes integrated potato and avocado farming.
- Tanzania Horticulture and Potato Seed Platform: This platform, launched in collaboration with the Netherlands, aims to foster collaboration, share information, and address challenges in the potato and horticultural seed sectors.
- Enabling environment for the private sector: The government is working on creating an enabling environment for the private sector by developing crop-specific HS codes, facilitating long-term land lease agreements, and launching new avocado guidelines.
The government’s support and the active involvement of the private sector are crucial in driving the growth of the potato value chain and ensuring its sustainability.
Raha Farm’s Contribution to the Local Economy
Raha Farm’s impact extends beyond its direct contribution to vegetable production. By providing high-quality seedlings, the farm empowers local farmers to increase their yields and improve their livelihoods. The farm’s expansion has also created employment opportunities in rural communities.
Raha Aloyce’s dedication to mentoring young agricultural entrepreneurs further amplifies Raha Farm’s positive impact on the local economy. By sharing her knowledge and experience, she inspires the next generation of farmers to embrace innovation and contribute to Tanzania’s agricultural development. This focus on youth involvement in agriculture is not only crucial for the future of the industry but also contributes to rural development and economic growth.
Raha Farm stands as a shining example of how entrepreneurship, innovation, and strategic partnerships can transform the agricultural landscape in Tanzania. By focusing on sustainable practices, youth empowerment, and a commitment to quality, Raha Farm is not only cultivating success for itself but also contributing to the growth and prosperity of the nation’s horticultural industry. The potato value chain, with its vast economic potential, further strengthens Tanzania’s position as a leading agricultural force in East Africa. The government’s proactive support, investment in research and development, and the dedication of farmers like Raha Aloyce are key factors in driving the growth of the potato industry. By addressing the challenges and capitalizing on the opportunities, Tanzania can unlock the full potential of its potato value chain, ensuring food security, generating income, and creating employment opportunities for its people. The success of Raha Farm and the potato industry’s promising future demonstrate agriculture’s transformative power in driving economic growth and sustainable development in Tanzania.