NARCO signs new investment agreements with small traders

11Oct 2018
Henry Mwangonde
Dar es Salaam
The Guardian
NARCO signs new investment agreements with small traders

THE National Ranching Company Limited (NARCO) yesterday signed new investment agreements with small cattle enterprises after a review of the previous contracts signed ten years ago that proved not beneficial to the development of the sector and the nation at large.

At a press conference yesterday, NARCO acting manager Prof Philemon Wambura said the new agreements now calls for accountability from both parties, saying the focus is on ensuring that the sector contributes fully to the economy.


“We want to revamp the ranching sector, this is the beginning and we shall follow up on every investor in our ranches to ensure that they are following the right procedures,” he said.


According to Prof Wambura NARCO entered into agreement with small scale cattle enterprises in 2007 with a plan to empower them expand their capabilities to commercial ranching.

The company decided to carry a review of all contracts in collaboration with the Treasury registrar, the Attorney General’s office as well as the Ministry of Livestock and Fisheries.


Some of the changes made to the contracts include the room for Narco to closely follow up on all investors and their progress and a review of the contracts after every six months contrary to the previous ones which allowed the process to be done after five years. In the new contracts Narco will also offer advices to the investors on how best to achieve the best outcomes.


Narco said all investors who have not signed the contracts by yesterday will automatically cease to own any block in one of the ranches under Narco.

Livestock is a key agricultural sub-sector in the country. About 36-per cent of farm households are engaged in livestock-keeping, one per cent as fully livestock farmers and 35per cent as crop-livestock mix farmers.


Despite Tanzania being among African countries that have large numbers of livestock, it is yet to tap the potential.


Tanzania is the third country in Africa in having a large number of cattle after Ethiopia and Sudan.


According to the National Bureau of Statistics (NBS), Tanzania had 25.8 million cattle by early October 2015. The problem is that regions which have larger numbers of livestock in the country have no large meat processing plants.


Despite being rich in cattle, Tanzania is yet to meet its meat demand of 450,000 tonnes as its production is 350,000 tonnes annually.

 NBS indicates that in December 2015, Tanzania had only four meat plants — three of them located in Arusha.



Top Stories