Economy

NFRA’s food reserves skyrocket by 470 percent

Dar es Salaam. The remarkable surge in food stocks held by the National Food Reserve Agency (NFRA) as of October 2024 is not just a statistic—it’s a game-changer for the country’s food security strategy.

With a jaw-dropping 470 percent increase in average monthly food stock levels compared to 2020, the NFRA has reached unprecedented levels of preparedness.

During the first 10 months of the year 2024, the agency’s average monthly food stocks had skyrocketed to an all-time high of 417,168 tonnes, compared to 73,171 tonnes for the entire year of 2020.

This is a massive surge—a transformative shift in the way the country is positioning itself to handle future food security challenges.

A tale of recovery and strategic vision

Looking at the numbers, 2024 stands out as the year of resilience and proactive planning.

The trajectory of the NFRA’s stockpile in 2024 tells the story of a decisive response to past vulnerabilities and a sharp pivot toward securing the nation’s food future.

From the outset of the year, the agency’s food stockpile surpassed the highest monthly reserves ever recorded between 2020 and October 2024, with January’s 270,984 tonnes already a historic achievement.

The previous record, set in December 2023, was 248,282 tonnes.

Building on this early momentum, by March, stocks had already reached 336,099 tonnes, and by June, they had climbed to 340,479 tonnes, marking a steady rise through the first half of the year.

This consistent growth is a strong signal of the NFRA’s capability to anticipate and mitigate food crises—whether caused by natural disasters, geopolitical instability, or market fluctuations.

The NFRA Director General, Dr Andrew Komba, recently stated that the organization’s expanded food reserves strengthen its capacity to manage food emergencies, stabilize prices, and effectively address shortages.

 He also emphasized that this expansion provides an opportunity for NFRA to extend its market reach to regional levels, thereby assisting neighboring countries in meeting their food needs.

Going by the statistics from the Ministry of Agriculture, Tanzania has maintained a self-sufficient ration of over 120 percent for several years, surpassing the international food security standard for a stable food situation.

Dr Komba added that NFRA plans to purchase 1,785,000 tonnes of produce from farmers this season.

The low points: Lessons from the past

To truly understand the magnitude of this achievement, one must look back to 2020, when the NFRA faced its lowest stock level—only 38,053 tonnes in April.

This was a period marked by vulnerability, with the country’s food reserves critically low and unable to cushion the impact of unforeseen disruptions.

This low point underscores the importance of having robust food reserves in place to weather times of crisis.

 The rapid, steady accumulation of food stocks in 2024 reflects a response to those lessons, positioning the NFRA not just to recover but to thrive.

This sharp contrast between past and present highlights how far the NFRA has come.

From struggling with critically low stock levels in 2020, when the NFRA held only 73,171 tonnes, the agency has now reached its highest stockpile of 708,399 tonnes in October 2024—a remarkable leap from 2020.

This is not just a recovery from past lows; it’s a bold leap forward.

An unstoppable growth trajectory

What makes 2024 even more compelling is the pace at which the food reserves grew.

By August 2024, stocks had already surged to 489,187 tonnes—an impressive milestone.

But the real kicker came in September and October, when food reserves accelerated even further to reach 651,403 tonnes and 708,399 tonnes, respectively.

Agricultural economist Dr Lutengano Mwinuka from the University of Dodoma told The BizLens on Thursday that the current trend in food reserves is driven by increased production.

 He explained that farmers are motivated by the assurance of a steady market, which encourages them to boost their output.

Furthermore, he asserted, NFRA helps stabilize prices by intervening in the market when private individuals sell at high prices.

“NFRA sets market prices that attract farmers and maintains strong relationships with them through procurement centers,” Dr Mwinuka emphasized.

Dr Daudi Ndaki, an economist from Mzumbe University, told The BizLens on Thursday that the sheer speed and scale of the growth in food reserves indicate an agency that is not only reactive but also incredibly proactive in managing national resources.

This exponential growth trajectory is more than just numbers on paper. It represents a well-orchestrated effort to safeguard against food crises, ensure adequate supplies for emergencies, and maintain stable food prices in a volatile global market.

“The NFRA has established a new standard for national food security management, signaling that the country is now in a stronger position to tackle any unforeseen food shortages, economic shocks, or climate-related challenges,” remarked Dr Ndaki.

 Adding: “The current level of food stocks is a clear indication of Tanzania’s commitment to food security.”

 He attributed this positive trend to farmers’ increased willingness to invest in agriculture, a shift supported by government initiatives.

The Sixth Phase Government has consistently prioritized the agricultural sector by significantly increasing its budget—from Sh294 billion in the 2021/22 financial year to Sh1.2 trillion in the 2024/25 fiscal year.

The bigger picture: A secure future

In the broader context, the NFRA’s strategic stockpiling sets a new benchmark for effective management of national food reserves.

With food stocks at historically high levels, the country is now better equipped to handle any future disruptions, ensuring that citizens’ basic needs are met regardless of global challenges.

Furthermore, the NFRA’s proactive approach allows for a more stable domestic market, preventing price spikes and supply chain disruptions that can lead to social unrest.

Minister for Agriculture, Mr Hussein Bashe, revealed recently the plan to have 700,000 tones of food reserves this year.

 “This is a huge milestone. We are making history,” Mr Bashe declared.

He reported recently that, as of December 11, 2024, the government, through NFRA, had purchased cereals worth Sh334.22 billion.

With a solid foundation of food security now firmly in place, the country is poised for a future of stability and preparedness—no matter what challenges lie ahead.

 This is not just a success story for the NFRA; it’s a victory for the nation’s food security, ensuring that the country can face whatever comes next with confidence and strength.

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