PM orders review of levies on farm inputs

SHINYANGA: PRIME Minister Dr Mwigulu Nchemba has directed the ministries responsible for Regional Administration and Local Government, Finance and Agriculture to review levies imposed on agricultural inputs following concerns that borrowing costs are reducing tobacco farmers’ earnings.

He said the review should examine each levy individually, to identify practical solutions for reducing the financial burden on farmers. Dr Nchemba issued the directive yesterday while addressing residents at a public rally held at Nyamilangano Bus Stand grounds in Ushetu District Council, Shinyanga Region.

“I direct the ministers responsible for RALG, Finance and Agriculture to sit down and review the structure of these levies,” he said.

The directive followed concerns raised by Ushetu Member of Parliament Emmanuel Cherehani, who highlighted high borrowing costs associated with the supply of tobacco farming inputs.

Mr Cherehani explained that suppliers incur interest charges when borrowing money to purchase agricultural inputs, while primary cooperative societies also pay interest when borrowing funds to settle payments to suppliers.

These additional costs are eventually passed on to farmers, reducing their earnings from tobacco production. In response, Dr Nchemba said he would meet the three ministers together with legislators from the affected areas to discuss the matter and identify appropriate measures to address the challenge.

Meanwhile, the Prime Minister directed the Tanzania National Roads Agency (TANROADS) Shinyanga Regional Manager, Mr Ntuli Mwaikokesye, to expedite the detailed design of a proposed road project to ensure it is ready for consideration in the next budget.

Mr Mwaikokesye had informed him that completing the detailed design would take four months, prompting Dr Nchemba to call for the process to be accelerated.

He said the work should be completed in time for the government to consider proposals for new road projects during the next budget cycle.

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“Work day and night to ensure we complete the detailed design,” he directed.

Dr Nchemba also instructed the Tanzania Electric Supply Company (TANESCO) to consider the actual circumstances of rural communities when determining electricity connection charges rather than relying solely on administrative classifications that designate some areas as urban.

He said residents in the affected areas should be connected to electricity at 27,000/- instead of paying higher charges simply because their localities had been administratively classified as towns.

The Prime Minister further received a request for the establishment of a vocational training college in Ushetu.

He said the government would plan its implementation in line with the policy of ensuring that every local government authority has a Vocational Education and Training Authority (VETA) college.

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