Critical IOA Unit Tanzania imports 320,000 tons of edible oil per year. Tanzania¡¯s annual demand for edible oil stands at 500,000 tons, whereas the country can supply only 180,000 tons, forcing it to import 320,000 tons each year, signaling major opportunities for import substitution (7).
How much does Tanzania spend on importing cooking oil?
Tanzania spends around $80 million per year on importing assorted cooking oil brands from countries such as Malaysia and Indonesia, as well as from some neighbouring countries. The forces of demand and supply have been sending prices up and down in the local market dominated by imports.
Is there a cooking oil shortage in Tanzania?
Possible cooking oil shortages in Tanzania. Dar es Salaam ¡ª Tanzania imports nearly 50 per cent of its edible oil despite the potential the country has in produce some oilseeds. The nation grows groundnuts, sunflower, sesame, cotton and palm oil but the country’s edible oil is dominated by imported palm oil.
Why is edible oil a strategic commodity in Tanzania?
Policy priority: The government of Tanzania has identified edible oil as a strategic commodity for reducing food imports and promoting domestically produced food commodities. The choice of the product is supported by the fact that Tanzania¡¯s large national demand for edible oil requires imports to meet about 60% of demand (5).