Tanzania: Wheat Prices Fall As Supply Rises

03.07.2018

Wholesale and retail prices of wheat have fallen in many regions on the Mainland Tanzania, save Kilimanjaro, data shows.

A survey by The Citizen has shown that prices of wheat started to decrease since early June due to increased supply.

At Tandika, Kariakoo and Temeke-Double Cabin grain markets, the survey found that wholesale prices of a 100-kilo bag of wheat went down to an average of Sh100,000 and Sh120,000 on June 25 from Sh110,000 and Sh160,000 recorded on April 11 this year.

The survey have shown that retail prices of one kilo of wheat fell to an average of Sh1,000 and Sh1,500 from Sh1,500 and Sh2,000 on the period under review. The chairman of Tandika Market, Mr Mohamed Mwekya, said prices have decreased due to increase in supply as it is currently the harvesting period.

"Many regions including Mbeya and Arusha are currently experiencing higher volumes of wheat harvests," he said. Data from the Ministry of Industry, Trade, and Investment for June 25 shows that the prices have decreased in many regions.

The report shows that Arusha has experienced the lowest price of the product, whereby a 100 kilo bag is sold at an average price of Sh68,000 while the highest price of Sh155,000 was seen in Geita Region.

Wheat is produced in Tanzania Mainland in Arusha, Kilimanjaro, Njombe, Ruvuma, Iringa, Mbeya, Rukwa, and Manyara regions. According to the Ministry of Agriculture, the total area planted with wheat was 21,793 hectares in 2016/17. Manyara Region recorded the highest land area planted with wheat at 6,198 hectares followed by Njombe (5,306 hectares) and Rukwa (4,131 hectares).


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