Livestock:

Livestock production is one of the major agricultural activities in Tanzania.  The sub sector contributes to national food supply, converts rangelands resources into products suitable for human consumption and is a source of cash incomes and an inflation – free store of value.  It provides about 30 per cent of the Agricultural GDP.  Out of the subsector’s contribution to GDP, about 40 percent originates from beef production, 30 percent from Milk production and another 30 percent from poultry and small stock production.  

Livestock production originates from a large resource base composed of the different livestock species, breeds and types whose ownership and distribution differ from region to region.  Three livestock production systems are commonly distinguished in the rangeland areas; commercial ranching, pastoralism and agro-pastoralism. 

Commercial ranching accounts for about 2 percent of the total cattle herd.  It is practised mainly by National Ranching Company (NARCO), now in the process of being privatised.  National Ranching company is state owned established in the 1970s with the support from IDA/world Bank and NARCO is responsible for managing all ranches in the country.  The company operates a total of 15 ranches with a land holding of 623,000 ha and stock holding capacity of 155,300 head.  Private Commercial ranching exists in different regions of the country with small stock numbers.  Pastoralism is concentrated in the northern plains and is practised in traditional grazing areas where climatic and soil conditions do not favour crop production.  The main roles of livestock in this system are subsistence, store of wealth and source of cash incomes.

Agro-pastoralism, comprising a range of combination of crop cultivation with livestock keeping is thriving, as livestock sector number have continued to increase at a rate of more than 2 per cent per annum. The government is adopting a strategy for range development by formal recognition of associations and organizations of livestock keepers through active collaboration between the government and the pastoral organisations.  Action is taken to ensure that livestock keepers obtain formal legal recognition of traditional grazing rights as envisaged in the new Land Act. 

The livestock numbers have been increasing steadily (ranking third in Africa) in recent decades at roughly the same rate as the human population growth.  Out of 3.7 million households in the country, 3 percent are pastoralists and 7 percent are agro-pastoralists.  The livestock sub-sector generates over one-quarter of agricultural GDP.  Cattle  are dominant species, they account for about 75 percent of total livestock production, there are sheep and goats, poultry, and the pigs.  Approximately 99 percent of livestock sub-sector belongs to traditional (small) owners, with big ranches and dairy farms constituting the remaining 1 percent.  

Most of the livestock products are for domestic market.  Important exports are live animals, hides and skins.  This sub-sector needs to be developed particularly in the dairy farming and its products, meat processing to meet the domestic demand and for export market opportunities.  

While encouraging private investment, the Government is to concentrate on core services to support the development of this subsector.  

The animals are a source of manure, hides and skins.  They are also potential source of draught power (800,000) for cultivation and transport.  Livestock provide alternative savings to banks with reasonable protection from inflation small ruminant industry play a crucial role.  

Carrying capacity of the rangeland is estimated at 20 million animal units but currently there are only 16 million animal units.  There is ample potential for expansion of the livestock industry through better animal husbandry and addition of livestock. 

Investment Potentials:

Tanzania has vast tracts of land with conditions suitable for commercial ranching.   There are a total of fifteen ranches covering a total of 634,597 hectares under the National Ranching Company (NARCO).

 

There are 13 ranches awaiting divestiture 10 ranches are to be sold through out right sale of assets to strategic investors.  These are:

 

Kongwa Ranch - Dodoma Region (Area: 37,682 hectares)

 

Kalambo Ranch - Rukwa Region (Area 64,560 hectares)

 

Kitengule Ranch -  Kagera Region (Stocking rate 6.7 acres per annum)

 

Mzeri Ranch - Tanga Region (Area:  41,296 hectares)

 

West Kilimanjaro Ranch - Kilimanjaro Region (Area:  36,350 hectares)

 

Mkata Ranch - Morogoro Region (Area:  74,295 hectares)

 

Misenyi Ranch - Kagera Region (Area:  40,857 hectares)

 

Dakawa Ranch - Morogoro  Region (Area: 53,600 hectares)

 

Manyara Ranch - Arusha Region (Area:  17,951 hectares)

 

Uvinza Ranch - Kigoma Region (Area:  56,170 hectares)