Tanzania: Facts & Stats

ECONOMY

Industry:

Accounting for only about 10% of GDP, Tanzania's industrial sector is one of the smallest in Africa. It has been hit hard recently by persistent power shortages caused by low rainfall in the hydroelectric dam catchment area, a condition compounded by years of neglect and bad management at the state-controlled electric company. Management of the electric company was contracted to the private sector in 2003.

The main industrial activities include producing raw materials, import substitutes, and processed agricultural products. Foreign exchange shortages and mismanagement continue to deprive factories of much-needed spare parts and have reduced factory capacity to less than 30%.

Agriculture:

Agriculture dominates the economy, providing more than 60% of GDP and 80% of employment. Cash crops, including coffee, tea, cotton, cashews, sisal, cloves, and pyrethrum, account for the vast majority of export earnings.

The volume of all major crops, both cash and goods, which have been marketed through official channels, have increased over the past few years, but large amounts of produce never reach the market. Poor pricing and unreliable cash flow to farmers continue to frustrate the agricultural sector.

Research & Development:

Research and development activities started in Tanzania in 1892 during the German colonial administration, and by the late 1990s, the R&D system had expanded to include 62 research institutes and centers spread throughout the country. The organizations covered agriculture (28), including livestock and forestry, industry (10), medicine (11), wildlife and fisheries (4), and universities and higher learning institutions (9) where R&D was being undertaken.

The R&D institutes are organized by sector and each R&D institution receives policy guidance from the parent ministry. The NIMR reports to the Ministry of Health. The Tanzania Wildlife Research Institute (TAWIRI), Tanzania Forestry Research Institute (TAFORI), and the Tanzania Fisheries Research Institute (TAFIRI) are under the Ministry of Natural Resources and Tourism. The Ministry of Industries and Trade is parent to TIRDO, TEMDO, CAMARTEC, and the Tanzania Bureau of Standards (TBS).

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