The value of using Gross Domestic Happiness (GDH) in a country (Tanzania)

James Mathew Mgaya – Art in Tanzania internship

To many Gross Domestic Happiness (GDH)/ Gross National Happiness (GNH) is new terminology but it bears most important value to the countries. Gross Happiness (GNH) is a measurement of the collective happiness in a nation.  The king of the Himalayan country of Bhutan introduced Gross National Happiness (GNH) in the 1970s as a measure of economic and moral progress as an alternative to Gross Domestic Product. The kingdom of Bhutan’s first legal code, written at the time of unification in 1729, stated that “if the government cannot create happiness for its people, there is no purpose for the government.”. GNH has nine domain pillars of measurement which currently work internationally. These pillars provide the foundation for the happiness, which is manifested into the nine domains of GNH: psychological well-being, standard of living, good governance, health, community vitality, cultural diversity, time use, and ecological resilience. In short, the country prefers people than self-governed interests by living with peace and harmony towards its citizens.

The value of GNH?

Encourage investment; a country with good Gross Domestic Happiness mean will attract more foreign direct investment (FDI) which will contribute to GDP (Gross Domestic Product) of the certain country. More FDI means more foreign investors will start their business in Tanzania and increase our national revenue. In addition, it also encourages entrepreneurship and establishment of new companies and enterprises owned by local resident (Tanzanians).

Valuation of currency; increase of value of the currency like Tanzanian shillings depend on interest rate, exports and imports , the purchasing power of currency in internationally, and foreign exchange reserves (the amount of currency held by foreign governments). Simply, the value of currency increases according to its circulation money within international borders by good diplomatic relations via international trade/financing/business. GDH can give a good standard of living. This means there will more available markets, purchasing power of consumer, and good money circulation.

Good diplomatic relation internationally; GNH gives good governance and psychological well-being. This leads to governments that can have good relationships to neighbouring countries and international collaborations economically, politically, and socially. Psychological wellbeing means, through its resource’s government can ensure life satisfactory in some degree of its services, creating peace and harmony among the citizens. Mentally stable countries bring relief to nearby countries and allow friendship due to available labour forces, no political unrest which attracts more investments to multinational companies and international relationship.

Increase of production nationally; GDH gives the government opportunity to build into its public policy decisions like good governance and sustainable development This is when government focus is on public good, boosting their citizen economy and infrastructures like in Tanzania’s strategic cities projects which gives formal and informal employment to the citizens. Building transportations means for the citizen to increase production from the producers towards the consumers, availability of water and electricity to the rural areas stimulating production and leading to urbanisation of rural areas which increases the connectivity between factories and available raw material.

Increase of national income; for citizens to enjoy, their government the needs sustainable income. For example, in Tanzania they use strategic projects to build infrastructure of public goods like roads, railways, bridges, aviation, and marine transports. This is life satisfactory to the citizens by means of transportation, bringing good income good to government and individuals. It creates formal and informal employment to the citizens while simultaneously creating income through toll bridges,  like Kigamboni, Dar es Salaam. Air Tanzania can create national income, and marine transport in lake zones create employment and national income. If citizens are happy with their government, it means no political unrest and its national income will thrive.

The verdict

There so much to talk about the Gross Domestic Happiness and the things can offer if considered. It is an alternative to Gross Domestic Product, which rather focuses strictly on quantitative economic measures. Gross National Happiness considers an evolving mix of quality-of-life factors. The centre provides an overview of national performance across these pillars, providing the foundation for the happiness, which is shown in the nine domains of GNH: psychological well-being, standard of living, good governance, health, education, community vitality, cultural diversity, time use, and ecological resilience.

Government Expenditure to Combat Pandemic Situation

JAMES MATHEW MGAYA – Art in Tanzania internship

Other Africa countries have prioritized the pandemic and the accompanying lockdowns measures that have worsened the severe food insecurity problem, increasing the population of people living in extreme poverty. While Tanzania has opted for a different approach. Though Tanzania’s unconventional approach to COVID-19 may be slow in response ad seem to lack in direction, its uniqueness illustrates the need for government to form context-specific smart containment strategies and recovery plans. The Tanzania government’s expenditure was to maintain multiple competing priorities, so far the government did not ignore the pandemic by increase public health funding. Tanzania’s interest was to contain the transmission of the virus along all its borders and coordinate closely with its partners, maintain diplomatic relationships, ensure trade is not severely disrupted, and invest in formal small-holder farmers to produce for domestic economy.

How did it work?

Tanzania used its government expenditure to refocus on financial services which makes them among 14 African countries that did not introduce any social safety measures, such as cash transfers. Instead, the government focused on responding with some economic measures through the Bank of Tanzania with various policies to ease liquidity and safeguard the stability of the financial sector. The bank reduced the discount rate, lowered the minimum reserve requirements ratio, incentivised the restructuring of loans for severally affected borrowers, and relaxed limits on mobile money use.

Tanzanian government expenditure focused on increasing its capacity to maintain and manage the virus, while pursuing sustainable economic development. In other words, Tanzania can learn to adapt and live with the virus in a way that is not detrimental to the economy, but not overwhelming the health system. They fund health centres and witness the Covid-19 emergence facilities and also Government built special covid-19 health centres to combat it and increase public health funding to local health centres to implement mass testing, enforce social distancing, and sanitation measures.

Tanzanian government expenditure uses the Strategic Cities Project for Tanzania development objectives to facilitate the Additional Financing (AF) which enhances the development impact and sustainability of the investments financed by the original project by investing in equipment and operation, and maintenance capacity for existing infrastructure, and deepening local government capacity for urban management. These initiatives enable the government to maintain multiple competing priorities, managing the transmission rate, while ensuring food security creating and protecting jobs. 

Conclusion

The COVID-19 pandemic will have short-, medium-. and long-term effects on territorial development and sub-national government functioning and finance. One risk is that many governments respond to focus only on the short term. But the Tanzanian government use it’s expenditure to longer-term priorities must be included in the immediate response measures in order to boost the resilience of regional socio-economic systems. Much effort of Tanzanian government redirected to growth of economy during pandemic so as government expenditure was driven by strong public investment and export earnings. The government’s firm focus and commitment during this pandemic have been to avoid a complete halt of economic activities. 

Resources

The International Growth Centre – COVID-19 in Tanzania: Is business as usual response enough?

COVID-19 AND ECONOMY IN TANZANIA

JAMES MGAYA – Art in Tanzania internship

The pandemic has forced to switch the plans globally. All fashion, sport, and technology events have been cancelled or have changed to be online. Possible instability generated by an outbreak and associated behavioural changes could result in temporary food shortages, price spikes, and disruption to markets.

Such price rises would be felt most by vulnerable populations who depend on markets for their food as well as those already depending on humanitarian assistance to maintain their livelihoods and food access. In Tanzania it was the season of cashew nut during Asian outspread of Covid 19 pandemic as we all know that Asians their the consumers of cashew nuts for years now the Vietnam, India; Malaysia and so on.

During the period the shipment stops due to curfews and lockdowns. Mtwara’s economy went down with it although it was the year before but now it was devastated situation and desperate moment for farmers who were hungry for money due to last year recovery.

  We witness Global stock markets crashed in March 2020, but in tourism industry unemployment was inevitable , tourism enterprise experience bankruptcies, The pandemic has had a significant impact on the aviation industry due to the resulting travel restrictions as well as a slump in demand among travellers air Tanzania incurs tremendous loss which is facing accumulated losses of TZS150 billion Tanzanian shillings (USD64.6 million).

Thank to God Tanzania’s macroeconomic performance has been strong for the last decade, but the current crisis is an unprecedented shock that requires strong, well-targeted and sustained policy response.

The gravity of the situation was easy to Tanzanians, the impacts of COVID-19 are being felt in different ways and the measures taken by the respective governments have also differed on the areas of focus and comprehensiveness.

When our late President John Magufuli let people to continue working this bring relief to low-income earners who eat according to the day and work, they do. If measures of lockdown implemented like other nation people of Tanzania Most in big cities would starve for food more than pandemic. Thanks to him we Tanzanians at least overcome fear of unknown although many international organisations went on lockdown.   

The pandemic has been affecting the entire food market system due to border closures, trade restrictions and confinement measures have been preventing farmers from accessing markets, including for buying inputs and selling their produce, and agricultural middle men from harvesting crops, thus disrupting domestic and international food supply chains and reducing access to healthy, safe and diverse diets. 

We experience panic buying which lead to genuine shortages of spices, citric fruits and vegetables regards of fear of the unknown, which is caused by emotional pressure and uncertainty to food security. This increases the amount of entrepreneurs who seize opportunities to produce different products, and the spread of lies rumours of preventive measure and commodities to social medias so as people can earn income.

During the earlier stage of the pandemic, supply shortages were expected to affect a number of sectors due to panic buying, increased usage of goods to fight the pandemic, and disruption to factories and logistics. There have been widespread reports of shortages of pharmaceuticals product with many areas seeing panic buying and consequent shortages of food and other essential grocery items.

The verdict

Tanzanian economy, including lower export demand, supply chain disruptions for domestic producers and suppressed private consumption. International travel bans and caution against contracting the virus have severely hurt the tourism sector, which had been one of the fastest-growing sectors in the economy.

The pandemic is impacting lives and livelihoods particularly those in urban settings relying on self-employment and informal/micro enterprises. However, government has already taken, and this forecast assumes the authorities will take additional health and economic policy measures to mitigate negative impacts. 

The Economic Consequences of Climate Change in Tanzania

Romaisa Hussain – Art in Tanzania Internship

Keywords: sustainability, climate change, environment, economic growth

Climate change has emerged as a potentially existential threat all across the globe that poses a serious risk to the survival of mankind and sustainable development. Over the last few decades, the world has witnessed changes in weather patterns as a result of global warming and human-caused greenhouse gas emissions. Based on a numerous lines of evidence, it is now more certain than ever that climate change is a threat multiplier that can amplify the effects of existing dangers. These threats include human security, scarcity of natural resources, environmental degradation, and poor economic growth.

The United Nations General Assembly set up the 17 Sustainable Development Goals in 2015 which serve as a blueprint for a sustainable future to be achieved by 2030. The 13th Sustainable Development Goal of the United Nations talks about Climate Action. The goal discusses the critical impact of climate change and encourages developing countries to move towards low-carbon emission in the environment. The United Nations Environment Program (UNEP) is a separate organisation working within the UN that deals with climate change and other environmental issues. The UN aims to adapt to low carbon development especially in the vulnerable regions that contribute towards climate action and sustainable natural resource management through collective action. Most of the states in the world are affected by climate change with East Africa being one of the most affected regions.

Tanzania is suffering the brunt of the consequences of climate change in East Africa. The agricultural-based economy of Tanzania has become vulnerable to the extreme climatic conditions. The majority of the population is located in the rural areas which heavily relies on agriculture and farming that is threatened by rising temperatures, droughts, and extreme rainfalls. The country is home to the world’s largest river system, the River Tanzanian. Despite immense water resources, Tanzania struggles with a shortage of water both spatially and temporally, which is worsened by the climate on its nine main river basins. In the recent years, there has been a severe decline in the water level in Lake Tanganyika, Lake Victoria, and Lake Jipe, as well as a decrease in the water level of about 7 kilometers in Lake Rukwa during the last fifty years. These are connected with climate change and are endangering towards socio-economic activities. The effect also puts the country’s hydropower system at risk. Furthermore, diseases such as diarrhea and malaria remain one of the prime causes of casualties in the country especially in the urban settlements consisting of poor infrastructure prone to flooding and increased temperatures. 

Tanzania’s economy relies on its natural and environmental resources where a good number of people depend on fisheries for their income which are at risk from rising sea waters and freshwater temperatures. Tourism is another aspect that has the potential to boost the economy of Tanzania as the country has a tropical climate and is home to wildlife, forests, beaches, mountains, rivers, lakes, and minerals. The attractions are found in abundance in national and marine parks, historical and cultural sites, and recreational sites. Currently, tourism generates 17.5 per cent of GDP and 25 per cent of export revenues, making it an important economic sector. Due the unpredictability of climate it is endangering the ecosystem services on which tourism relies. For example, the Serengeti National Park has been famous tourism spot for the wildlife migration for decades, contributing significantly to Tanzania’s economy and serves as a key source of employment. There is a growing fear that the climate has shifted dramatically, potentially affecting wildlife tourism. 

Threats to the sustainability of the natural resources and environmental degradation remain an issue in Tanzania such as the untimely harvesting and usage of natural resources, unsupervised cultivation process, and trespassing on water sources. Collectively, these can seriously affect the sustainable development goals of a country. Due to the unsustainable consumption of resources, there can be problems in the production of sources that may affect livelihoods. In addition to that, they can lead to the deficiency of food which could eventually lead to poverty. An increase in the population and high reliance on agriculture becomes rather burdensome on the environment and its natural resources which contribute negatively to climate change and water-deficient regions. 

One of the leading contributing factors to the environmental degradation is the unsustainable management of land and watershed. Many challenges are still needed to be tackled to reduce this issue including unexpected growth of human settlements, wildlife hunting, illegal farming and livestock, uncontrollable bushfires, weak inter-sectoral association, and stakeholder linkages. This may lead towards the social and economic development of the country as well as reduce poverty. The Tanzanian Government has marked the water-oriented issues as a major factor that has affected the environment. This has led to the implementation of national policies and necessary plans and strategies needed to tackle it. The visibility of climatic changes in Tanzania is increased by 60% which are seen in the form of a decrease in water sources, land degradation and the reduction in agricultural land. The Government also tends to focus on carbon emission with the protection of ecosystems and biodiversity, the saving of wildlife to abolish the hunting system as a means of income, reducing vehicle usage and improving urban planning in the country to promote urbanization. It also placed environmental sections under the sector ministries to ensure and monitor the environmental issues as well as raising awareness amongst the community. The Government also needs to guarantee that efforts are being made in terms of the development of the environment and climate change in national as well as subnational plans. 

The United Nations Development Program (UNDP) is one among many partners of the Government of Tanzania that has aided in the development of the environment and contributed to measures regarding natural resources and climate change issues. The UNDP encourages the Government and respective communities in terms of sustaining the environment and contributing to the reversal of environmental degradation. As long as the correct policies are implemented, the chances for preserving the ecosystems in terms of food, energy, wood i.e., timber, clean water, consistent climate etc. are possible. Over the past few years, Tanzania has recently experienced high growth rates of about 7.4%.

The impact of climate change has had a huge effect on the incomes of the people in Tanzania. It has had a severe impact on the economy, agriculture, natural resources, and livelihoods of people which exposes the vulnerable part of the country. It is, to say the least, that the Government of Tanzania is to be respected for the progress it has made regarding the development and exercising of policies and strategies to prevent degradation and the protection of the environment. The Government tends to cater to the environmental needs of the country and maintain its natural resources as a means of saving economic and social development. This would mean effectively establishing immediate measures to improve the damages caused. The Government also needs to guarantee that efforts are being made in terms of the development of the environment and climate change in national as well as subnational plans.

References

Kijazi, A. L. (2019). The Contribution of the Global Framework for Climate Services Adaptation Programme in Africa (GFCS APA) in National Adaptation Plan (NAP) Process for Tanzania. doi:10.4236/acs.2019.94040

Ministry of Foreign Affairs of Denmark. (n.d.). Current and future challenges and opportunities in Tanzania. Retrieved from https://um.dk/en/danida-en/strategies%20and%20priorities/country-policies/tanzania/current-and-future-challenges-and-opportunities-in-tanzania/

Ordu, E. I. (2021, April 7). Climate adaptation and the great reset for Africa. Retrieved from Brookings: https://www.brookings.edu/blog/africa-in-focus/2021/04/07/climate-adaptation-and-the-great-reset-for-africa/

UNDP. (2016-2021). ENVIRONMENTAL SUSTAINABILITY, CLIMATE CHANGE AND RESILIENCE PILLAR, STRATEGY PAPER.

UNDP Annual Report 2020. (2020). Goal 13 CLIMATE ACTION. Retrieved from UNDP Organization: https://www.undp.org/sustainable-development-goals#climate-action

United Nations. (n.d.). Department of Economic and Social Affairs Sustainable Development. Retrieved from Sustainable Deevelopment Goals: https://sdgs.un.org/goals

UNITED REPUBLIC OF TANZANIA. (2007). NATIONAL ADAPTATION PROGRAMME OF ACTION (NAPA). Division of Environment.

USAID From the American People. (2020). Tanzania. Retrieved from climate links: https://www.climatelinks.org/countries/tanzania

Relations between Tanzania and China could be central for future African ecological transition

By Alessandro Deligios – Art in Tanzania internship


In these last year’s China is exploiting her economic power to take more influence in geopolitical arena. According with the future model of geo-economic competition, China firstly seems try to become the leader State in Asia, secondly is taking more power in many areas of the word. One of the strategies to extend her influence is the Belt & Road Initiative (BRI), with which, through financing project in different word areas, China is able to deeply link the economy of various countries to her one and so create a global economic network that have Chinese economic and financial system as reference – the so-called Beijing consensus.
In particular China is focusing on East Africa and in this region Tanzania-China relationship is a key for Beijing to get a strategic economic position: in 2013 the Tanzanian ex-President Jakaya Kikwete signed an agreement for allow China to invest in the financing of Bagamoyo port project, around which it should have place a special economic zone, that expected China to have especial condition for example for water and energy provisions and the security that Tanzania wouldn’t have financing another competitor port. But in January 2016 the project has been annulled by the President John Magufuli because the agreement for him was like sell Tanzania to Chinese investors.


In climate discussion we know that African countries are the most affected by the problem brought by climate changes, especially by the global warming: the continent probably will be exposed to longer periods of drought and water provision will be always more difficult. About this we also know that China is one of the countries which release the highest levels of greenhouse gases. Despite the attempts of Kyoto Protocol, signed in 1997 and started in 2005, and of Paris Agreement in 2016, emissions have not yet been limited in satisfactorily way. Developed countries have the responsibility to help the development in ecological transition and the GEF (Global Environment Facility) is a program managed by the UN and the Word Bank that give financing to the developing countries for they can get positive results related to four areas: climate changes, desertification, international water pollution and biodiversity. Good results are got in third and fourth areas, buty not in the first two.


At the start of April 2021, the First Minister Geoffrey Mwambe said that Tanzania would be ready for a new agreement about Bagamoyo port project if terms will be changed: in this Tanzania-China relations can be central for the ecological transition of all the Africa. Tanzania could advance conditions for the project according with UN 2030 Agenda sustainability goals, cooperating with others African countries for doing the same with others Chinese investments in Africa, when possible. With high chance China is so interested in extending her economic influence in Africa to get more global diplomatic weight to be disposed to accept conditions of sustainability for her projects. It could be one of the few ways to do that China – but not only, also other countries that would like investing in Africa – massively reduce her emissions. And this will be more powerful based on how many countries will collaborate: it should be a priority because fast growing economies have to develop in sustainable way and must do pressure on developed countries, especially on China in that global big player that is trying to extend own power.


Sources:

  • (About climate issue and international relations)
    J. Grieco, G. J. Ikenberry, M. Mastanduno, Introduzione alle relazioni internazionali, UTET, 2017
  • (About Bagamoyo port project)
    D, Ayemba, Bagamoyo port project timeline and all you need to know, 15 April 2021, on Construction Review Online
  • P. Mittal, Tanzanian Bagamoyo Port Project Story, 16 September 2020, on Belt and Road News.
  • A. D’Amaro, Un ponte tra Cina e Africa: il porto di Bagamoyo, Tanzania, 8 September 2020, on Lo Spiegone.

Corporate Social Responsibility (CSR) in Tanzania vs Canada

Jeet Patel Art in Tanzania

What is Corporate Social Responsibility? Corporate Social Responsibility (CSR) is the act of regulating company business models that assist a company or organisation to be socially accountable to the public and itself. Organizations can be conscious on the kind of the impacts they have in all aspect of society in areas like the environment or the economy.

The International Organization of Standardization (ISO) has provided guidance on how to achieve CSR. Organizations usually start investing in CSR once they a have reached a secure place to invest in it. The ISO came up with “ISO 26000” to help clarify what social responsibility is, and aids organizations in effective practices. ISO 26000 revolves under seven core principles and core subjects. These are the guidance points the ISO has come up with to help organization maximize their corporate social responsibility.

Core Principals

  1. Accountability
  2. Transparency
  3. Ethical Behaviour
  4. Respect for stakeholder interest
  5. Respect for the rule of law
  6. Respect for international norms of behaviour
  7. Respect for the human rights

Core Subject

  1. Organization Governance
  2. Human Rights
  3. Labour Practices
  4. The Environment
  5. Fair operating Practices
  6. Consumer Issues
  7. Community Involvement and Development

CSR around the world

CSR in Canada

CSR is becoming a major driving force for organisations in Canada. One of the main driving forces is due to the Canadian public looking to support organisations that are socially involved in making the community better. The tactics have changed over the years, organisations now plan strategic, social purpose-driven, and transformational models, that can be seen in local communities. It has become an essential part of business practices.

CSR in Tanzania

Tanzania has made huge strides in corporate social responsibility. Tanzania had enacted the Companies act in 2002 (an amendment of the Companies act of 1932) to try and keep up with global and local pressures of improving CSR. Even though this act requires audited financial reports to disclose details of the remuneration of directors and offices, there is no obligation to provide information on employee discrimination, health and safety, tax planning schemes, and pollution and environmental disruption cause by corporate activities. This  led to the enactment of Employment and Labour relations act and labour institutions act in 2004. The government has also come out with the health and safety act in 2003 and the worker’s compensation act in 2008. Tanzania’s main factors and initiatives that influence CSR in the country is due to many reasons.

Politically, the government has come with many different ways to promote CSR in the country, for example, the Presidential Award on CSR and Empowerment launched in 2012, to promote sustainable development of products, specifically in the extractive industry. The country also had the Tanzania Development Vision 2025, in an effort to reduce the country’s poverty levels. The country is also tracking towards primary education, gender equality, HIV/ AIDS, and access to sanitation.

The country is also down well in other factors and influences for CSR. Examples of this would include educating the population in different aspects through social programs in partnership with international organisations. Educating people on the importance of their natural resources and use it to their advantage through the different industries like agriculture and tourism, making sure to work with government organizations to help preserve the Tanzanian way, while sustainably providing goods and services.

President Jakaya Mrisho Kikwete speaking at the launching ceremony of the presidential award on the Extractive Industry Corporate Social Responsibility and Empowerment

Local businesses and NGOs are also aided by international businesses through joint ventures and partnership in promoting good and services and finding ways to give back to the community. Even though there has been an increase in CSR in the country, there is still a long way to go. Without policies and regulations there is no way to monitor if organisations are trying to benefit their local communities. There are many barriers that could harm the further implementation of CSR. Some of these include:

  • Unreliable data on community needs
  • Misunderstand in communication between companies, organisations, and government
  • CSR used and a competition tool for business instead of being used to benefit the community
  • Lack of conscious consumers
  • Lack of recognition of good effort made

These are just some of the few barriers that can come in Tanzania’s path to have CSR businesses. However, this can be addressed by educating the public and creating policies to show data as well as meet the ISO’s standard guide on being having CSR.

Fernando, J. (2021, July 6). Corporate Social Responsibility (CSR). Investopedia. https://www.investopedia.com/terms/c/corp-social-responsibility.asp.

ISO 26000 – Social responsibility. ISO. (2020, November 30). https://www.iso.org/iso-26000-social-responsibility.html.

Johnnyspade. (2019, February 21). Corporate Social Responsibility in Canada: Trends, Barriers and Opportunities. Coro Strandberg. https://corostrandberg.com/publication/corporate-social-responsibility-in-canada-trends-barriers-and-opportunities/.

Kenton, W. (2021, May 19). International Organization for Standardization (ISO). Investopedia. https://www.investopedia.com/terms/i/international-organization-for-standardization-iso.asp.

Vertigans, S., Idowu, S. O., & Schmidpeter René. (2018). Corporate Social Responsibility in Sub-Saharan Africa Sustainable Development in its Embryonic Form. Springer International Publishing.

THE SCOPE OF AGRIBUSINESS AND AGRICULTURAL EXPORT IN TANZANIA.

By Rajabu Juma Rajabu – Art in Tanzania internship

THE SCOPE OF AGRIBUSINESS:

Agribusiness is a business sector encompassing farming and farming related commercial activities. It can be sometimes referred to as Commercial Agriculture.

Definition: Agribusiness is a combination of two broader things or words “Agriculture “and “Business” and refers to any business related to farming and farming related commercial activities. This involves all the steps required to send agricultural products or goods to the required Market, as we know agribusiness issues start primary from Production and then followed by Processing, Transportation and Distribution up to the finally step of Consumption.

Agribusiness include all activities within the agricultural food and natural resources industry involved in the production of food and fibre. Individual agribusinesses may sell items to farmers for production: provide services to other agricultural businesses: or be engaged in the Marketing, transportation, processing, and distribution of agricultural products or commodities.

DEFINIATIONS OF THE TERMS:

Agri Services – is the activities of value to the user or buyer. The activities are an intangible product.

Marketing – providing the products and services that people want, when and where they want them.

Agribusiness process inputs into outputs – An input is a resource used in production and an output is a result of the production process after processing the inputs.

Production – Is an act of making products such as goods and services.

Agribusiness provides people with food, clothing, and shelter. It also provides jobs for millions of people in science, research, engineering, education, advertisement, government agencies, trade organizations, and community organisations.

Agribusiness can be performed by both small farmers and large farmers. This is important component of the economy in the country because it contribute the huge amount to the national GDP. The agricultural sector is fundamental to the economy of developing countries especially in Tanzania.

According to the economics data included in the National Data of Tanzania Mainland of 2013-2019 by the National Bureau of Statistics at the current market price, the agriculture sector contributes 29.1 percent of the national GDP.

In November 2020, President Magufuli announced that in the next five years its government will put great emphasis on key economic sectors especially agriculture.

Agribusiness sectors

Agribusiness can be divided into major sectors like:

  1. The agribusiness INPUT SECTOR. Includes all resources involved in production or producing farm commodities. I.e., includes seeds, fertilizer, machinery, fuel, and credit. Production efficiency can also be linked to improvement in these agricultural inputs.
  2. The agribusiness OUTPUT SECTOR. Include any agribusiness that effects an agricultural commodities or goods between production and the consumer. I.e., include transportation, selling, storing, and inspection. Millions of people are employed in this sector of agribusiness.
  3. The AGRI-SERVICE SECTOR includes people who research new ways of producing and marketing of Agri-products. They protect food producers and provide specialised services to all areas of agriculture. Both public and private agencies are responsible for the actions of the Agri-services sector.

Economic Impact of the Agribusiness Industry in Tanzania

  • Creation of employment opportunities both direct and indirect to agricultural activities
  • Expansion of trade and Market
  • Source of government earnings like taxes
  • Improvement of productivity performance
  • Improvement of living standards of the citizens
  • Development of Industrial sectors from raw materials obtained from agriculture
  • Poverty reduction.
  • Construction of infrastructure like roads, industries, and schools

AGRICULTURAL EXPORT IN TANZANIA.

Agribusiness is a very wide scope that also looks into the agricultural exportation.

Agricultural export means the way a country produces agricultural products for exportation or to sell them outside the country. Tanzania is the one among many countries that engage in exportation of Agri-products to other countries. Examples of other countries are; Kenya, Uganda, Rwanda, Mozambique, Congo, Zambia, Burundi, India, United of Arab Emirates, and China.

Tanzania’s major export are of agricultural communities such as Coffee, Cotton, Tobacco, Cashewnuts, Tea, Cloves, Sisal, and Maize. Additionally, some farmers raise livestock exports including cattles, goats, sheep, pigs, and chickens as well as small numbers of turkeys, ducks, rabbits, donkeys, and horses.

Most common foods and cash crops in Tanzania are maize, cassava, sweet potatoes, bananas, sorghum, and sugar canes.

Agriculture is a source of food, industrial raw materials, and even foreign exchange earnings from the countries that Tanzania exports the agricultural products or commodities. Agriculture is a critical economic sector representing 29.1 percent of the National GDP and almost three quarters of the productive workforce and more than 30 percent of export earnings. Agricultural export have been growing at about 6 percent per year while food crops have been growing about 4 percent per year.

Importance’s of Agricultural exports in Tanzania Economy:

  • Employment opportunities both direct and indirect
  • Provide taxes to support government services
  • Create International relationships
  • Market expansions and Trade growth like forex markets
  • Improve productivity for the farmers

SUSTAINABLE FISHING AND OVERFISHING

By Rajabu Juma Rajabu – Art in Tanzania internship

SUSTAINABLE FISHING

The overexploitation of the Lake, Rivers, Seas, and ocean is leaving them without fish. This is confirmed by the United Nations Food and Agriculture Organisation (FAO) in one of its latest reports. It calls for sustainable fishing model to ensure the survival of species and fishing activities. Sustainable Fishing contributes to protecting marine fauna and conserving the Oceans and Seas.

Sustainable fishing is one that is harvested at a sustainable rate where the fish populations does not decline overtime because of fishing practices. The sustainability in Fisheries combines theoretical discipline  such as the population dynamics of fisheries, with practical strategies such as avoiding overfishing through techniques such as individual fishing quotas, curtailing destructive and illegal fishing practices by lobbying for appropriate laws and policies, setting up protected areas, restoring collapsed fisheries, incorporating all externalities involved in harvesting marine ecosystems into fishery economies, educating stakeholders and the wider public, and developing independent certification programs.

Sustainable Fishing means leaving enough fish in the ocean, respecting habitats and ensuring people who depend on fishing can maintain their livelihoods. As also to ensure the fish harvesting is not fully exploited by keeping fish stock remains for future generations.

SUSTAINABLE FISHING PRACTICES:

There are ways to fish sustainably, allowing us to enjoy seafood while ensuring that populations remain for the future. In many indigenous cultures people have fished sustainably for thousands of years. Today’s sustainable fishing practices reflect some lessons learned from these cultures.

Due to issues such as overfishing global fish stocks are in trouble today. It has been estimated that approximately 70% of Fisheries worldwide have been over exploited or have already collapsed. So, what can we do to remedy this challenging situation and help our global fish stocks rebound?

We can remedy this challenge by using sustainable practices that you can use when you fish at your favourite local fishing holes. These include:

  1. Hook and lining (Pole Catching). This fishing technique involves using a fishing pole that have one line and several hooks. This allows fishermen to quickly release bycatch.
  2. Harpooning: Fishermen use hand thrown harpoons or barbs that are fired from a gun to catch large fish like Swordfish with very little bycatch.
  3. Traps: This fishing technique involves guiding fish into boxed or reef nets placed near the water surface that allows the fish to be tipped into a holding tank. Wire mesh traps that lie on the bottom can also be used sustainably if they are not dragged a long the ocean floor.
  4. Longlining: This technique uses a very long central fishing line that has many smaller lines of baited hooks attached to it. If these longlines are placed deep in the water and if special circle hooks are used, they greatly reduce the incident of bycatch.
  5. Gillnetting/ Drifting: A massive curtain of net that is suspended using floats or anchored using weights. The netting is essentially invisible so fish swim into the net and get their gills caught.
  6. Trawling: Think about a huge net being dragged behind a boat. The boat is hoping to catch large schools of fish within the net and tire them out forcing them into the back of the net. This practice can be done on the bottom of the ocean or in mid water.

  • Trolling. You have probably seen this one along coastline where a boat has multiple lines being dragged behind a boat. This is a sustainable approach to open water fishing because soon after being caught fish are brought to the boat and released without much stress as other methods. It has minimal bycatch and sustainably approach.

ADVANTAGES OF SUSTAINABLE FISHING:

Sustainable fishing is a more artisanal and small-scale method with social, economic, and environmental benefits, some of which are based by FAO code of conduct for responsible fisheries some of these are summarized below:

  • Protect Marine Fauna.

Sustainable fishing respect marine ecosystems and adapt to the reproductive rate of fish to maintain a balance and ensure the survival of all species. Fishing must be at a level that ensures it can continue indefinitely and fish populations can remain productive and healthy.

  • Avoid waste

In sustainable fishing the bycatch is used for example to make fish meal to minimize food waste. Fishing activity must be managed carefully so that other species and habitat within the ecosystem remain healthy.

  • Contribute to food security.

Sustainable small-scale Fisheries account for about 66% of all catches destined directly for human consumption so due to this it enables to protect the full exploitation of fish resources.

  • Reduce pollution.

Sustainable fishing generates less waste minimize energy consumption and reduce the use of chemicals that damage the ozone layer and the whole fish ecosystem.

  • Certifies the sustainability of the catches.

International standards such as the MSC (Marine stewardship council ) standard determine whether a fishery is sustainable and is being well managed MSC certified Fisheries must comply with relevant laws and be able to adapt to changing environmental circumstances.

OVERFISHING;

Catching so many fish at a time can result in an immediate pay off for fishers. Fishing with this consistency leads to few fish of each species left in the sea or ocean. If fish population is small, it cannot be easily replenished through reproduction. Taking wildlife from sea faster than population can reproduce and keep up with is known as overfishing.

OVERFISHING: Is catching too many fish at once so the breeding population becomes too depleted to recover. Overfishing often goes hand in hand with wasteful types of commercial fishing that haul in massive amounts of unwanted fish or other animals which are then discarded.

CAUSE OF OVERFISHING:

  1. Poor Fisheries Management. This happens when the fisheries organisations are not stable on formulating and monitoring the rules and regulations for fishing practices. With this kind of situation, it will enable fisheries with the freedom to harvest at their maximum ability.
  2. Unsustainable fishing. Means  to catch or harvest fish without considering the needs for the future generations, like the current generation, exploiting fish stocks for their own needs only and not considering the others.
  3. Illegal and Unregulated Fishing activities. This happens when fishers harvest fish populations illegally without any recorded reports for the government. In addition, the fishers are harvesting resources like open access area due to government and Fisheries regulations being weak.
  4. Bycatch. The incident of catching non targeted species such as dolphins, Marine turtles and seabirds also resulted to overfishing because those untreated species may be depleting and destroying their reproduction.
  • Overcapacity. When the fishing vessels of all sizes are entering in water bodies such as ocean or seas many with increasing capacity and efficiency to catch and carry out more fish will result to overfishing. Because the vessels have ability to harvest fish more than the stock available in their habitat.

IMPACT OR EFFECTS OF OVERFISHING:

  • Ghost fishing.

This is occurring when lost or discarded fishing gear that is no longer under a fisherman control continues to trap and kill fish, crustaceans, marine mammals, sea turtles, and sea birds. Derelict fishing nets and traps can continue to ghost fish for years once they are lost under the water surface or depleted.

  • Fish depletion.

Overfishing can occur in waters bodies of any size such as lake, sea, ponds, rivers or oceans and can result to resources or stocks to be depleted, reduction in biological growth rates, and low biomass levels. Which leads to fish populations to be depleted or full exploited.

  • Ecosystem destruction.

Excessive overfishing in water bodies will result to destruction of some marine ecosystems like fish habitat near shorelines as well as in the deep sea, and destruction of fish reproduction. When more fish are taken out of the ocean or sea it creates an imbalance that can erode the food web and lead to losses of other important marine life including vulnerable species like sea turtles and corals.

  • Decreasing food and economic security.

Demand for fish continues to increase around the world and that means more business and jobs are dependent on dwindling stocks. When fish disappears so do jobs and coastal economies are drive over exploitation and environmental degradation.

SOLUTIONS OF OVERFISHING

  • Catching control

Thereare still little control countries have with their fisherman. There needs to be control so the Fisheries know what catch an endangered species of fish is or not. The control could be done before and after the fishing, so the controller could see the catch.

  • Protect some Marine areas.

We haveto know where the real habitats of some endangered fish species are and protect the area. By protecting these areas fisheries will not be allowed to fish in those areas . The protection of some marine areas we will help the water ecosystem recovery by giving the time for them to recover.

  • Fish farming.

The other way we could be done to increases fish stocks or populations without harming the water ecosystems is by farming the fish (Aquaculture) . We create another small ecosystem that will not hamper another ecosystem. By feeding and taking care of our fish, they will breed and creates more fish stocks.

  • Fishing licence.

This is an act of providing fishing license to the fishermen, just like a licence for the owner of the gears and licenses for those who practice fishing. This will help  monitor the fishers who harvested resources illegally without any permission and make easily managed overfishing.

  • Public education provided.

The government must use their Fisheries extension to provide the knowledge to fisherman on how maximum sustainable yield is important and practise to keep reproduction of fish stocks continuous for future generations.

  • Seasonal fishing. The government should implement rules and regulations for fishing to be conducted at a specific period of time. This will help by giving fish stocks more time to reproduce and grow at a healthy state and remedy the fish depletion problem to the maximum.

EU Countries Travelling Prospects Towards the End of 2021

By Romaisa Hussain – Art in Tanzania internship

Coronavirus (COVID-19), identified in 2019 as a deadly respiratory illness which spreads through droplets in the environment through an infected person’s breathing has caused a global pandemic. It has collectively affected the entire world and amongst many other sectors, tourism and travelling remain one of the most affected zones.

Due to pandemic, traveling is restricted to contain the spread of disease. Because of the travel ban, the tourism sector has a long way to go in order to recover back to its original state. This means that the tourism economy along with travel restrictions has led to global recession.

However, it is hoped that tourism will soon continue as significant measures such as air corridors gradually opening and thorough COVID-19 testing is being held in place in order to make it safer to travel again. Due to the pandemic, we are well familiar with the quarantine and COVID-19 tests which were made mandatory in order to travel. This highly affected tourism in 2020 which followed into 2021.

Statistics showed an 85% decrease in tourism in the beginning of 2021 in Europe. For the past year or two, people have been in the process of quarantine in their homes in accordance with the safety protocols. This is why it can be said that as soon as the restrictions lift, they will be more eager to go out on trips and adventures as a means of ‘escape’. As reported by Euro News, global research showed that 70% of the people in 2021 had made arrangements to travel on trips or take a break.

If people were encouraged to plan a road trip in 2020, 2021 was going to be the year they traveled overseas. But of course, there are still certain apprehensions regarding restrictions. With the vaccination criteria and road blocks still intact and the rise in the number of infected in populated areas like Europe, these can play a huge role in difficulty of crossing the borders.

Therefore, it cannot be said for sure whether tourism will restart any time soon and recover to how it once was back in 2019 as only 46% of the total amount in 2019 is set to travel in 2021. In accordance with the Swiss Economic Institute, it is assumed that the complete recovery will not be possible until at least 2024. However, there is still hope.

Europe is making attempts towards controlling the pandemic and accelerating vaccination programs which might enable people to travel in the summer of 2021. The European Tourism Trends and Prospects reported by the European Tourism Commission (ETC) highlighted that although there were some hindrances related to the vaccination, these programmes were still essential to continue traveling. The ETC calculated that 56% of the European population was willing to travel from August 2021.

Policies regarding tourism and travelling

In order to restart travelling and tourism in 2021, the European Union’s Digital Green Certificate is set to take effect before summer.

This program will work towards safer travelling procedures between citizens comprising the data whether the person has been vaccinated and holds a negative test or if he or she has recovered from COVID-19.  Eduardo Santander, Executive of ETC, stated that despite the distressing 12 months prior to the vaccines, it can be optimistically said that although the vaccination programme went through a bit of ups and downs, it is functioning with much more stability now and it has been proved to be effective. He continues that it gives people hope for the summer of 2021.

Moreover, he also discussed how the EU Digital Green Certificate will restart the traveling of EU citizens and international travelers sooner than expected depending on better communication between people implementing the travelling rules as well as the fast distribution of travelling certificates.

European Destinations see major decline in 2021

Based on the latest statistics, a major decline of tourism in Europe was witnessed in the 1st quarter of 2021 estimating up to 90%. One of the deeply affected countries was Austria which experienced 99% decline with strict traveling restrictions placed for those who planned to enter. Iceland experienced -97% where only vaccinated individuals were allowed to travel. In addition, Cyprus, Slovenia and Finland were affected with an average of 93% decline.

The only placed that didn’t go below 50% was Monaco. Most of the areas that were increasingly affected by the lockdowns and traveling restrictions were Southern and Mediterranean parts of Europe which were highly dependent on international travelers, whereas, the Central and Eastern parts got by with domestic travelers.

Prospects for Travelling

Italian agriturismo

Despite all the complications caused by COVID-19, there are still prospects set in place to restore travelling. The British Government arranged to lift traveling restrictions on the 17th of May 2021 which immediately caused an increase in travelling as people started to plan their trips to European destinations such as Cyprus, Greece, Portugal, Spain, Turkey etc. As more American citizens are getting vaccinated, (though gradually, but increasing nonetheless) it gives hope to the European tourism economy.

As travelers will look towards minimum contact with the population, the Government also plans to work towards alternative accommodations to minimize public contact.

These alternatives replace bigger hotels in populated destinations such as in Italy and Croatia with agriturismos which are farm houses that are aimed to facilitate travelers and guests.

Other alternatives include sleeping on boats or yachts during a sailing trip to avoid contact in populated areas. In 2021, it is also anticipated that travelers may aim towards staying on holidays for longer periods of time to enjoy maximum experience of their choice of destination.

Moreover, hotel prices are expected to fall and mountain railways’ fares could increase depending on the number of people. Statistics also proved that 9 out of 10 Europeans chose to travel inside Europe in the summer of 2020 and this continues in 2021 as the most booked places remain inside Europe by 60%.

Abiding by the rules

Understandably so, travelers nowadays are more cautious to travel and they usually expect assurance from the governments before setting out to travel in the current year.

People rely highly on the reviews and experiences of other people who have traveled as a means of research to establish whether their destinations are safe before traveling. Restaurants that take restrictive measures will automatically be more approached by people and as for the traveling sector, measures are being taken at the airports. COVID testing and quarantining for 2 weeks before entering the premises will enable a sense of safety assurance amongst people which will hopefully boost tourism back up in the current year.

Due to the restrictions and limited travelling destinations, it can be established that the rate of tourism will not sky rocket back to its original state as it once used to be. However, it is understood by the majority that there is no need to hurry as the mandatory requirement right now appears to be the health and safety of the people. Moreover, people who do travel nowadays aim to stay in a place for longer periods of time as they can easily work digitally due to the pandemic and enjoy their holidays simultaneously.

COVID-19 has had a great impact on the global economy but it does not mean that the current population will cease to travel. People will still continue to plan holidays, only this time, with more safety precautions. As of now, most of the European destinations include tourist spots that are either safe to travel to or have recovered from COVID-19. We may also witness a change in the trend of longer vacations being replaced with shorter trips but nonetheless travelling will always remain a norm.

Sources

Euronews Travel Trend Report. (2020). travel after 2020 what will tourism look like in our new reality? Retrieved from https://static.euronews.com/website/pdf/euronews-trend-report-travel-after-Oct-2020.pdf?utm_source=euronews%26utm_medium=organic%26utm_campaign=whitepaper

European Travel Commission. (2021, May 6). MIXED PROSPECTS FOR SUMMER 2021 AS EUROPE WORKS TO OVERCOME VACCINE HURDLES. Retrieved from https://etc-corporate.org/news/mixed-prospects-for-summer-2021-as-europe-works-to-overcome-vaccine-hurdles/

Lauren M. Sauer, M. (2021, May 21). What Is Coronavirus? Retrieved from https://www.hopkinsmedicine.org/health/conditions-and-diseases/coronavirus

OECD Better Policies For Better Lives. (2020, December 14). Rebuilding tourism for the future: COVID-19 policy responses and recovery. Retrieved from https://www.oecd.org/coronavirus/policy-responses/rebuilding-tourism-for-the-future-covid-19-policy-responses-and-recovery-bced9859/

Southan, J. (2021, May 14). Travel industry experts weigh-in on post-COVID trends. Retrieved from euro news travel: https://www.euronews.com/travel/2021/05/14/what-will-travel-look-like-in-a-post-covid-world

The New York Times. (2021, April 16). Gauging the Prospects for International Travel. Retrieved from https://www.nytimes.com/2021/04/16/travel/international-summer-travel-coronavirus.html

Relations between Tanzania and China could be central for future African ecological transition.

By Alessandro Deligios – Art in Tanzania internship

Bagamoyo, Tanzania

In these last years China is exploiting her economic power to take more influence in geopolitical arena. According with the future model of geo-economic competition, China firstly seems try to become the leader State in Asia, secondly is taking more power in many areas of the word. One of the strategies to extend her influence is the Belt & Road Initiative (BRI), with which, through financing project in different word areas, China is able to deeply link the economy of various countries to her one and so create a global economic network that have Chinese economic and financial system as reference – the so-called Beijing consensus.

Jakaya Kikwete and Xi Jinping

In particular China is focusing on East Africa and in this region Tanzania-China relationship is a key for Beijing to get a strategic economic position: in 2013 the Tanzanian ex President Jakaya Kikwete signed an agreement for allow China to invest in the financing of Bagamoyo port project, around which it should have place a special economic zone, that expected China to have especial condition for example for water and energy provisions and the security that Tanzania wouldn’t have financing another competitor port. But in January 2016 the project has been annulled by the President John Magufuli because the agreement for him was like sell Tanzania to Chinese investors.

In climate discussion we know that African countries are the most affected by the problem brought by climate changes, especially by the global warming: the continent probably will be exposed to longer periods of drought and water provision will be always more difficult. About this we also know that China is one of the countries which release the highest levels of greenhouse gases. Despite the attempts of Kyoto Protocol, signed in 1997 and started in 2005, and of Paris Agreement in 2016, emissions have not yet been limited in satisfactorily way. Developed countries have the responsibility to help the developing ones in ecological transition and the GEF (Global Environment Facility) is a program managed by the UN and the Word Bank that give financing to the developing countries for they can get positive results related to four areas: climate changes, desertification, international water pollution and biodiversity. Good results are got in third and fourth areas, but not in the first two. At the start of April 2021 the First Minister Geoffrey Mwambe said that Tanzania would be ready for a new agreement about Bagamoyo port project if terms will be changed: in this Tanzania-China relations can be central for the ecological transition of all the Africa. Tanzania could advance conditions for the project according with UN 2030 Agenda sustainability goals, cooperating with others African countries for doing the same with others Chinese investments in Africa, when possible. With high chance China is so interested in extend her economic influence in Africa to get more global diplomatic weight to be disposed to accept conditions of sustainability for her projects. It could be one of the few ways to do that China – but not only, also other countries that would like investing in Africa – massively reduce her emissions. And this will be more powerful based on how many countries will collaborate: it should be a priority because fast growing economies have to develop in sustainable way and must do pressure on developed countries, especially on China in that global big player that is trying to extend own power.

GEF logo
UN 2030 Agenda sustainable development goals

Sources

– (About climate issue and international relations)

J. Grieco, G. J. Ikenberry, M. Mastanduno, Introduzione alle relazioni internazionali, UTET, 2017

– (About Bagamoyo port project)

D, Ayemba, Bagamoyo port project timeline and all you need to know, 15 April 2021, on Construction Review Online, https://constructionreviewonline.com/project-timelines/bagamoyo-port-project-timeline-and-all-you-need-to-know/.

P. Mittal, Tanzanian Bagamoyo Port Project Story, 16 September 2020, on Belt and Road News, https://www.beltandroad.news/2020/09/16/tanzanian-bagamoyo-port-project-story/.

A. D’Amaro, Un ponte tra Cina e Africa: il porto di Bagamoyo, Tanzania, 8 September 2020, on Lo Spiegone, https://lospiegone.com/2020/09/08/un-ponte-tra-cina-e-africa-il-porto-di-bagamoyo-tanzania/ .