A local medium company has acquired a grant amounting to 235million Tanzanian Shillings from the United States African Development Foundation (USADF).
The Arusha based Home Veg Tanzania Ltd, is the beneficiary of the USADF grant which would be directed into construction of the horticultural produces pack house, facilitate a study on local horticultural market and capacity building for the firm’s administration.
Officials said that 160million out of the total sum, would be spent in building stockroom complete with grading, packing, and cold storage facilities.
The USADF President and CEO, Ms Shari Berenbach, laid the foundation stone for the construction of storage at Kikwe village in Arumeru, at the weekend.
“We are impressed by the Home veg’s business strategy, I can see a win, win situation for us, entrepreneurs and farmers ” Ms Berenbach explained shortly after having laid a foundation stone.
The Home Veg Tanzania Ltd, Managing Director, Mussa Mvungi said that his company has been building capacity for small holder farmers to be able to produce at the global good agricultural practices (Global-Gap) standards.
Yet another core business, Mr Mvungi said is to export vegetable to the European market.
According to him, the company, which started to deal with 150 farmers in 2009, is currently in contract with about 2,000 farmers who are supplying the firm suuficient vegetable for export.
“Small holders farmers are our core business because we depend on them to supply the horticultural produces for our European market,” he explained.
Jeremia Thomas, one of Home Veg beneficiary, said that the company has been training them on how to grow the horticultural crops for export, giving them interests free loans and purchasing their crops after harvesting.