The Rice Council of Tanzania Limited (RCT)

Development of the Tanzanian Rice Partnership (TARIPA) and the Evolution of the Rice Council of Tanzania (RCT)

The Tanzanian Rice Partnership (TARIPA) was established in 2011, soon after the launch of SAGCOT as a first step in developing the national rice value chain. Initially TARIPA focused on developing the “Kilombero Rice Cluster” followed by the “Dakawa Cluster” in Mvomero district and the “Mbarali Cluster”. Partner meetings were conducted and TARIPA was presented at the World Economic Forum in Cape Town in May 2011 as the first cluster development under SAGCOT.

The main aims of TARIPA were to:

  1. develop a partnership framework to respond to rice value chain constraints and opportunities in a coordinated way;
  2. build markets and small-scale farmer capacity to produce rice to improve national food security, expand domestic production, improve competitiveness and increase value addition;
  3. scale-up core value chain activities to catalyze significant small-scale and large-scale farmer and agribusiness development in the rice sub-sector;
  4. support commercial initiatives by building on ongoing plans and activities to scale up production, drive down costs and thereby create a competitive value chain;
  5. Attract new partners to the overall rice development plan, the aim being to developing a critical mass of partners within the rice cluster

TARIPA started by working with the Tanzania Agriculture Partnership (TAP) and the FAO Southern Highlands’ Food Systems (FAO SHFS) on a study of the rice sub-sector in Kilombero. In August 2011 at a 3-day workshop TARIPA partners discussed value chain constraints in order to lay out a road map for investments needed to develop the cluster. The result was the “Kilombero Rice Commodity Investment Plan”, also called the “Kilombero Rice CIP”. The Kilombero CIP objective was ‘to increase income to the actors in the (rice) value chain so that poverty is reduced’,with five separate Investment Packages: (a) Marketing, (b) Production, (c) Processing, (d) Partnership and (e) Infrastructure and Environment.

TARIPA’s original function was to lend support to the concept of Rice Cluster Development under the Southern Agricultural Growth Corridor of Tanzania (SAGCOT) initiative. It was initially “housed” within the USAID/FtF NAFAKA project, with the idea of later transitioning it to the SAGCOT centre. Throughout 2012 and the first quarter of 2013 TARIPA was successful in providing information, linkages and coordination within the rice sector. TARIPA’s roles under the NAFAKA “umbrella” were:

  • Information clearing house-used as a place where actors received and exchanged information
  • Partnership incubation-a place where partnerships were formed and encouraged
  • Informal- gatherings were conducted as needed and kept among actors
  • Loosely organized-there was no formal structure to guide involved actors
  • Cluster approach-so far the focus for TARIPA has been Kilombero cluster
  • Platform-involved actors used TARIPA to raise needs and get connected to others

The April 2013 TARIPA stakeholders meeting held at Courtyard hotel indicated key challenges in the rice industry as : Lack of reliable price/market data; Poor post-harvesting practice & inconsistent quality of supply, Inability to engage effectively with GoT and policy makers,and Operating costs (electricity, VAT on parts).  The meeting concluded that there was a need to form a body which will address challenges and work on possible solutions on critical issues facing the rice sector in Tanzania. Participants  also unanimous agreed to  have an independent institution with its own structures rather than developing a ‘rice chapter’ in any of the existing organizations such as ACT or EAGC.  A task force was formed and delegated to debate key issues and use the outcome of the meeting discussions as basis of starting to formulate the body and other TARIPA activities. Specifically to:

  • Refine the vision, mission and objectives
  • Agree on organizational model (cluster approach)
  • Consider quick win-early activities, such as collaboration with the EAGC on data development or fostering other partnerships within rice sector

During the first quarter of 2013, the importation of CET exempt rice caused considerable disruption within the Tanzanian rice industry. Both the Government of Tanzania (GoT) and the private sector recognised the urgent need to develop a more cohesive industry environment. TARIPA was approached to assist in the development of a private sector led body for the Tanzanian rice industry. With the assistance of the GATSBY foundation the TARIPA office began the process of evaluating the options of forming a private-sector driven body for the Tanzanian Rice Industry. This process stalled during the second half of 2013.

Extensive consultations revealed that the TARIPA / SAGCOT linkages had been neglected during the early stages of developing a “Rice Association of Tanzania”. Further it was highlighted that there was a lack of Tanzanian ownership and legitimacy. Further consultations with industry stakeholders revealed that: 1) all parties had  agreed on the urgent need for some form of industry alliance, 2) that the Tanzanian private sector (within the rice industry) must demonstrate its commitment by taking on a leading and pro-active role and that NAFAKA (TARIPA) would play a consultative and supportive role.

Linkages between the SAGCOT centre and private sector stakeholders were revitalised and the concept of forming a Rice Council of Tanzania, rather than an association began to take shape. Key stakeholders within the Tanzanian rice industry met in March 2014 and agreed on the formation of a Rice Council of Tanzania. The importance of private sector involvement and commitment was strongly emphasized to ensure ownership and legitimacy. Recognising the achievements of TARIPA, it was nevertheless decided to drop the concept of a loose partnership (TARIPA) in order to avoid confusion of roles, functions and legitimacy and focus on the development of a Rice Council of Tanzania. TARIPA’s original mandate would become conceptualised within the operational plan of the Rice Council of Tanzania.   The Rice Council of Tanzania is now a legal entity, giving it recognition and legitimacy within the rice industry of Tanzania and with the Government of Tanzania.

The VISION of the Rice Council of Tanzania

A highly organized, profitable, sustainable and competitive rice industry in Tanzania and beyond.

The MISSION of the Rice Council of Tanzania

To be the best engaging institution and dissemination of advisory, technical and growth enabling business services to all rice stakeholders to enable them achieve better performance, sustainability, and profitability.

The roles and functions of the Rice Council of Tanzania are:-

– Represent the private sector in the rice industry
– Work closely with the GoT and dev. partners to improve the rice sub-sector
– Advocate for favorable business environment for Tanzania rice industry
– Play consultative, coordinating, and supportive role to the rice industry stakeholders
– Aid the rice industry to address current and emerging opportunities, issues, and challenges
– Enhance technical and business advice and services for improving value of rice and allied products produced
– Facilitate access to real-time and accurate information, data
– Take cross-industry thinking, performance and growth to another level, through capacity building
– Forge partnerships and collaborative arrangement

Objectives of the Rice Council of Tanzania are to:-

– become THE service and information provider to the Rice Industry of Tanzania
– develop greater trust amongst value chain actors and garner 100% private sector ownership and support
– become THE trusted private sector partner representation towards the Government of Tanzania
– take a lead role in formulating communication strategies for the rice sector development

Stakeholder Benefits are:-

– Coherence and political strength
– Speak with authority on sector issues
– Participate in Government policy formulation
– Strength through “like minded” partners
– Improved horizontal and vertical VC integration
– Enhanced negotiating power