KNOWLEDGE

Development status of sunflower oil industry in Tanzania

According to a survey conducted by the Bank of Tanzania, China-Africa Trade Research Center, although the sunflower oil industry has broad and promising production potential, Tanzania’s imported edible oil still accounts for 60% of the total demand. The fundamental reason is the efficiency of local sunflower oil production. Low, the national average yield is as low as 0.6 tons/acre, but reports show that local sunflower seed oil yields can reach 2 to 3 tons/acre.

Tanzania’s economy is dominated by agriculture, and it is basically self-sufficient in food. The abundance of agricultural product resources also demonstrates the huge potential of Tanzania’s agricultural product processing and export.

It is reported that Tanzania mainly produces sunflower oil, cottonseed oil and soybean oil. However, according to official data from Tanzania’s oil-producing areas, Tanzania imports 300,000 tons of edible oil every year, accounting for half of the country’s consumption, and Tanzania relies on a large amount of imports.

The analysis shows that the government’s taxation on the edible oil industry is too high, making domestic vegetable oil unable to compete with imported vegetable oil from Malaysia and Indonesia, causing many domestic enterprises to stop production. In addition, the country’s backward oil planting technology and insufficient output are also important reasons for its dependence on imports.

In fact, in the sunflower oil industry, a branch of edible oil, Tanzania, which is rich in sunflower seeds, almost all of the sunflower oil sold in the market is imported. In this regard, the Tanzanian government stated that the main reason is that the production of sunflower seeds is insufficient to meet the demand for oil extraction.

Tanzanian Minister of Agriculture, Animal Husbandry and Fisheries Nchemba said in response to the member’s question that the government should reduce the import of edible oil, because the country’s sunflower seed production is not enough to meet the demand for oil extraction, so the government believes that it is fashionable to ban the import of edible oil morning.

The most important thing at present is to encourage farmers to plant a large number of oil crops to meet the demand for raw materials. Once the supply of raw materials is sufficient, the government may consider reducing imports. However, improving the processing capacity of sunflower oil is also an important starting point for Tanzania to change the pattern of edible oil import and export.

At present, the sunflower oil produced by Chinese enterprises in Tanzania is considered to be the best sunflower oil product in the Tanzania market.

According to the analysis of the China-Africa Trade Research Center, Tanzania’s imported edible oil still accounts for 60% of the total demand, while almost all sunflower oil sold in the Tanzania market is imported. The fundamental reason is that on the one hand, Tanzania’s sunflower seed production is insufficient, and on the other hand, it is the low efficiency of Tanzania’s local sunflower seed oil production. All this demonstrates the huge potential of Tanzania’s sunflower oil industry development, and Chinese companies represented by Sunshine Group are actively participating in Tanzania’s sunflower oil processing industry.

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