TANZANIA: JAPAN is emerging as a booming market for Tanzania’s agricultural products, particularly coffee and tobacco.
In an exclusive interview with the ‘Daily News’ over the weekend, Tanzania’s Ambassador to Japan, Mr Baraka Luvanda, urged farmers across the country to seize the promising economic opportunities available in the Asian market.
Ambassador Luvanda noted that Japan imports an average of 15,000 tonnes of coffee annually, emphasising that Tanzanian coffee is highly preferred for its quality.
“I urge fellow Tanzanians to be proactive in capitalising on this opportunity,” he stated.
Currently, the Tanzanian Embassy in Japan has launched several coffee brands, including the Kilimanjaro Brand, Tarime Brand and Black Star, all of which are performing well in the Japanese market.
He further said that Japanese consumers demand an average of 400 million tonnes of coffee each year.
Moreover, he pointed out that Japan is also a significant market for Tanzanian tobacco.
“If we could collect and transport all our tobacco to Japan, it would be purchased at a reasonable price,” Ambassador Luvanda said.
However, he noted a trade imbalance between the two countries, with Japan’s imports from Tanzania falling short of its exports.
According to United Nations COMTRADE data, Tanzania’s exports to Japan amounted to approximately 68 million US dollars (about 186bn/-) in 2023, while imports from Japan totalled around 650 million US dollars (about 1.8tri/-).
Ambassador Luvanda called on domestic manufacturers, farmers and other stakeholders along the entire production value chain to consider Japan as a promising market that requires a steady supply of agro-products.
On the sideline of the Tanzania-Japan Quality Infrastructure Dialogue, the envoy noted that the bilateral cooperation between Tanzania and Japan provides a platform to leverage each country’s comparative advantages.
He attended the dialogue as part of his week-long visit to his home country, where he was accompanied by representatives from about 60 Japanese construction firms, seeking to enhance collaboration and partnerships with their Tanzanian counterparts.
Despite Japan’s reputation for advanced construction technology, it requires agricultural products from Tanzania, which, in turn, needs the latest architectural technology to boost its transport sector.
The dialogue offered an opportunity for Tanzania to explore resilient construction technologies from Japan, a country known for its experience in adapting to natural disasters, including earthquakes.
The 60 Japanese companies are part of the Japan Africa Infrastructure Development Association (JAIDA), which aims to accelerate infrastructure development in Africa, including Tanzania.
For his part, Tanzania Investment Centre (TIC) Executive Director Mr Gilead Teri noted that Tanzania and Japan have collaborated for many years in key economic sectors, including construction, fisheries, agriculture and trade.
He emphasised that Tanzanian coffee is the top choice among Japanese consumers for their daily drinking, with a 70 per cent preference for Tanzanian brands over others.
Regarding investments, he stated that between 1997 and 2024, Japanese Foreign Direct Investments (FDIs) in Tanzania totalled 42 million US dollars (about 114bn/-) across 24 projects in sectors such as agriculture, manufacturing and infrastructure, creating 1,182 jobs.