SIDO TO BUILT 100M/- PACKAGING FACTORY IN ARUSHA

Small Industries Development Organization in Arusha plans to set up Tsh 100 million packaging materials plant in the near future

Arusha Regional SIDO Manager, Isidore Kiyenze said at the moment he was mobilizing resources for the packaging material factory in order to mitigate the challenge of shortage of the much-needed products.

“We need around Tsh 100 million to be able to buy a modern packaging machine” Mr Kiyenze said during the training of horticultural products processors in northern zone.

Tanzania Horticultural Association (TAHA) complains that limited access to packaging materials in the country and exorbitant taxes charged on imported consumable materials are the challenges facing the small-scale processors.

“The government charges 55 percent taxes in addition to 18 percent VAT for imported consumable materials comprising packaging materials are making the locally processed horticultural products extremely expensive” TAHA Executive Director, Jacqueline Mkindi said.

David Elias, a peanut butter processor in Arusha said that the lack of packaging material is the biggest challenge facing their trade.

“Majority of large buyers are not willing to procurement our products mainly due to poor packaging” Elias told journalists during the training.

He further noted that they couldn’t afford to import packaging materials because they attract high taxes.

Meanwhile; TAHA and SIDO have agreed to conduct a series of training for horticultural processors on new skills of processing their products

The first group of beneficiary of 20 small entrepreneurs in northern zone have completed their course on the new processing technics and products packaging.

“We want to train a pool of trainer of trainers (ToT) in horticultural products processors in order to train others” Mkindi said.

The food and nutrition guru from New Zealand, Dr. Anne Perera said Tanzania’s processors have the potential to capture international markets with their organic horticultural products.

“I have seen the potential, the local processors only need guidance to comply with international regulations to venture into the wider international markets” Dr. Perera said at the end of training she conducted over the weekend in Arusha.