Mtwara Cooperatives Defend Warehouse Receipt System

Cooperative Unions in Mtwara Condemn Misinformation on Warehouse Receipt System

Sunday, April 6, 2025

The chairpersons of Tanzania’s leading cooperative unions—Tanecu, Mamcu, and Tamcu—have firmly criticized opposition parties for spreading misinformation about the warehouse receipt system, urging them to stop misleading farmers.

During a press briefing held in Mtwara on April 6, 2025, the union leaders stated that claims suggesting the warehouse receipt system is ineffective are baseless and fail to reflect the realities and benefits experienced by farmers.

Farmers Welcome the System

Speaking to reporters, Karimu Chipola, Chairman of the Tanecu Cooperative Union, said farmers are well aware of the challenges they faced before the system’s implementation. According to him, the introduction of the warehouse receipt system brought transparency, improved pricing, and market assurance to farmers.

“Opposition parties must stop misleading farmers about the warehouse receipt system. During their political rallies, some of them claim the system doesn’t benefit farmers—but that’s simply false,” said Chipola.

He cited historical data to illustrate the change: “In the past, pigeon peas were sold for as low as TSh200 to TSh500 per kilogram. Today, under the warehouse receipt system, farmers earn up to TSh2,000 per kilogram in a single season. Sesame has also fetched prices as high as TSh3,399 per kilogram.”

Chipola also noted that the system has helped curb disorganized sales, enhanced production statistics, and ensured increased annual output and favorable prices—an overall boost for the agricultural sector.

“In the cashew industry, we’ve seen tremendous improvement season after season. Last year, we sold cashews for TSh4,195 per kilogram—an all-time high,” he added.

He emphasized that instead of inciting conflict between the government and farmers, opposition leaders should focus on proposing practical solutions to support the agricultural community.

Clarifying Farmer Levies

Tamcu Chairman Mussa Manjaule echoed these sentiments, clarifying that the cooperative unions operate legally and voluntarily on behalf of farmers. He urged political parties to stop exaggerating or misrepresenting levy charges.

“In the previous season, the total levy was TSh456. The transportation cost borne by each farmer was no more than TSh100,” Manjaule explained. “Contrary to claims that levies reached TSh1,000, that simply isn’t true. Previously, no crop ever sold above TSh2,000 per kilogram, but now we're seeing real price competition.”

Manjaule further stated that a large number of farmers had already registered to receive agricultural inputs and anticipated that by April 10, 2025, the inputs would be distributed to cooperative societies.

“I urge political parties to find ways to campaign for votes without dragging cooperatives into political battles—we are not politicians,” he stressed.

Call for Constructive Political Engagement

Mamcu Chairman Alhaji Azam Mfaume expressed disappointment over the use of political platforms to disseminate inaccurate information to farmers.

“I expected opposition parties to present development plans for helping farmers, not discredit functional systems,” said Mfaume. “They should be assisting farmers in cultivating their fields, instead of casting doubt on the warehouse receipt system. That’s deliberate misinformation.”