New trade policy in the offing, Govt says

The Government is in the process of drafting a new trade policy to boost international markets for the productive sectors.

Local farmers are some of the major beneficiaries of the new Tanzania Trade Integration Strategy (TTIS), a government official has said.

Mr Anthony Chamanga, a senior expert in the ministry of Agriculture, Food Security and Cooperatives, said Friday the policy would be implemented this year.

"The developmental objective of TTIS is to turn trade into a true driver of economic development and poverty reduction," he said.
Mr Chamanga said this while presenting a paper at a workshop on trade policy organised by the University of Dar es Salaam (UDSM)�s Economic and Research Bureau (ERB).

"Agricultural issues to be addressed under TTIS include developing institutional capacity to help producers meet the requirements of international markets," he told the workshop.

A policy and planning expert in the ministry, Mr Chamanga said agriculture had been targeted because it had been alienated in the country�s previous and current trade policies.

Under the five-year $175 million (approx. Sh227.5 billion) initiative, local farmers would be exposed to international markets, he said.

The programme will integrate all productive sectors in national trade activities, Mr Chamanga noted in his presentation to the meeting.

ERB organised the workshop to present draft papers and seek stakeholders' input on its Food and Agricultural Organisation (FAO) assigned project to analyse the impact of trade policy on poverty in Tanzania.

The Government and donors will fund the new trade strategy, Mr Chamanga said, adding that it would be implemented between 2009 and 2013.

Some of the major areas the policy seeks to address are sanitary issues, the development of a national horticultural strategy and strengthening producer associations.

It would also attempt to address agricultural constraints such as poor roads and inadequate storage facilities affecting the supply chain.

In addition, the new policy is expected to enhance trade strategies highlighted in the National Strategy for Growth and Reduction of Poverty.

Presenting a paper on trade policy, an ERB expert, Mr Otieno Osoro, said trade policies in the country were tilted in favour of social sectors.
His presentation on mainstreaming trade in national development and poverty reduction programmes urged the integration of agriculture in national trade strategies.

This, he said, would help boost incomes among the poverty-stricken rural farmers.

ERB hopes to use ideas it gathered during the workshop for the project on 'Articulating Appropriate Trade Policies and Trade Policy Mainstreaming'.

The UDSM research bureau's trade and market division is implementing the FAO project.

Tanzania is one of the five countries in the developing world involved in the project.

"It (the project) is designed to contribute to the articulation of appropriate trade policies and necessary support measures," ERB team leader Hajj Semboja said.

He added that the aim was to mainstream trade policies and support measures in national development and mobilise resources through investment and technical assistance projects.

�Tanzania has sound economic policy models but unfortunately their use is still very limited,� Dr Semboja told the workshop.

According to research findings, he said, Tanzania's institutional capacity for trade and poverty policy analysis is still wanting.

More so, macroeconomic policy analysis on the impact of trade laws on poverty reduction in Tanzania is not yet fully developed, he added.