Currently, oil palm production in Tanzania is carried out primarily by smallholder farmers in Kigoma region, Kigoma rural district in particular, as well as in Mbeya region mostly Kyela district and some parts of Tanga region.
Tanzania has set aside 4.3 million US dollars to boost cultivation of oil palm as part of its strategy to end importation of edible oils.
Kigoma region accounts for over 80 per cent of palm oil produced in the country and given its soils and weather, it has the potential to make Tanzania one of the world's top palm oil producers and exporters.
Tanzania imports 55.5 per cent of its total edible oil despite having a vast and promising production potential in palm oil and sunflower sub-sectors.
Despite the huge potential, the country relies on imported raw materials for producing edible oils and soaps.
Tanzania has similar weather conditions as Malaysia from where it imports most of its palm oil. Malaysia is the world's second largest producer of palm oil while Tanzania is not even on the list of palm oil producing countries.The private sector has been in the forefront to increase the production of the crop since 2017.
Palm oil is used in most oil-based products which consumers purchase and use on a daily basis. Palm Oil and its derivatives are used in the manufacture of pre-packaged foods, cosmetics, cleaning products, hair care, soaps and personal care items.
Preliminary research verifies that the palm oil and kernel oil markets in the Kigoma region are highly constrained, lack transparency for actors, lack formal or informal groups to access expanded market function, and lack any standardisation or quality assurance.
The oil palm value chain is underdeveloped and faces several confounding constraints that can be categorised as low productivity from local trees, lack of investment in the industry, and weak market function.These are essential areas where Tanzania should focus efforts to improve market function and foster value chain development. The palm oil market benefits from three fundamental features present in Kigoma conducive climate, fertile land, and political support for the promotion of palm oil. With limited remaining unused land in countries which have historically dominated the international oil palm market, Kigoma is a prime region to service its own country’s demand for palm oil as well as the East Africa region.
We should encourage and provide incentives to local or foreign investors to provide their rural oil palm-growing communities with basic amenities such as housing, health facilities, schools and recreational centers in all oil palm regions.
A dynamic, innovative and self-sufficient industry that complements Tanzania palm oil industry and provides benefits to various stakeholders, and have enough vegetable oils for the country, and for export is crucial. We should also to develop the oil palm industry through gainful production, processing and marketing of oil palm products and by-products to ensure food security, increased income and rural employment through good agricultural and manufacturing practices and sustainable oil palm development.
Our objectives should to meet the country’s palm oil domestic requirements, develop the countryside and provide employment to rural communities.
In other words specific objectives should be to increase yield, productivity through cost efficient technologies. To use under-productive and idle areas with a sustainable environment programmes so that by 2023, a total of about 353,000 hectares shall have been planted to oil palm and increase milling capacity.
It is equally essential to increase the number of palm oil refineries as may be necessary. Wide potential area for oil palm production. Availability of production technologies and best practices that can be adopted.Available technical expertise in the government and private sector, presence of research centers and academic institutions capable of conducting researches on oil palm should be established.
In global markets, palm oil consumption has risen by 290 over the past ten years. This rise has resulted from a variety of factors including; the use of palm oil as a replacement for trans fats and the expansion of the middle class in large countries such as Indian and China who now consume a greater portion of processed and packaged food, much of which contains palm oil.




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