Tanzania:Global Downturn Hits Crop Markets

Source from:  The Citizen 12/30/2009

The global economic crisis depressed world coffee, cotton and sisal prices. Prices of cotton (A Index and Memphis) declined as the demand fell in China, the Bank of Tanzania noted in its last month's report. Tanzania exported 95.2 tonnes of cotton worth $107.8 million, which were sold at an average of $1,132.6 a tonne this year. Ninety-four tonnes worth $118.1 million were exported last year. A tonne was traded at $1,255.9. Prices of robusta and arabica decreased because Brazil raised its output. However, the World Bank has reported that the coffee consumption has fallen in some Eastern Europe countries. Tanzania exported 59.2 tonnes of coffee worth $116.8 million in the year to October 2009 against 38.2 tonnes worth $86.8 million in the year to October 2008. The increase in export earnings was on account of a rise in export volume, despite the fall in the crop price to $1,973.8 a tonne in year to October this year from $2,272 before. The sisal price declined to $1,122.3 a tonne in the year to October this year from $1,137.7 before. But no sisal has been exported this year. Tea prices rose at an average of three per cent in the year to October 2009 from the previous trading year. Prices at the Mombasa auction picked up by 5.1 per cent. The country exported 17.5 tonnes worth 29.2 million in the year to October 2009, lower than 25.8 tonnes of $39.3 million the previous trading year. Tea export earnings declined because the export volume fell. Tea price increased to $1,666.8 a tonne in the year to October 2009 compared with $1,522.4 in the corresponding period a year earlier. The tobacco price increased to $3,129.2 a tonne from $2,645.4 in the same period. The report shows that 58.8 tonnes of the crop worth $184 million were exported against 25.4 tonnes worth $67.6 million previously. Enditem