EA farmers plot to elbow out commodity brokers

DAYS of commodity brokers in East African region are
numbered as members of East Africa Farmers Federation
(EAFF) plot to enable farmers meet their clients directly
through information sharing.
EAFF Chief Executive Officer, Mr Stephen Mushiri, said in
Dar es Salaam during an East African Community (EAC)
agricultural climate index and budget analysis meeting, that
brokers also known as middlemen are making huge profits
from farmers.
"We are sponsoring a bill at East African Legislative
Assembly (EALA) on cooperative to be able to engage in
cross border business deals," said Mr Muchiri while
meeting local members of EAFF, who included
representatives from Agriculture Council of Tanzania (ACT),
Mviwata and Tanzania Federation of Cooperatives (TFC).
He said most local farmers are exporting commodities to
Kenya under the EAC Customs Union, but they do so
through brokers who pocket hefty profits in the exercise
leaving the real producers languishing in abject poverty.
Mr Mushiri urged local EAFF affiliates to rally behind the
cooperative bill when it goes to national assembly for
ratification, saying it will make sure that brokers are
elbowed out of the commodity value chain.
He also warned against focusing on the envisaged
commodity exchange market saying it also involves brokers
to a large extent. "Let the commodity exchange be there but
it should be one of the markets and not an exclusive
market.
Farmers must have a right to choose their markets," the
EAFF CEO noted. Agriculture Council of Tanzania Executive
Director, Janet Bitegeko said currently brokers are calling
the shorts at most commodity markets in the country.
"Because of lack of market information our farmers are
being assisted by brokers to sell their produce which we
are currently trying to find a solution," said Ms Bitegeko.
She revealed that ACT is currently running a pilot project in
Ifakara area of Morogoro where farmers get market
information through their mobile handsets and know prices
and markets to take their commodities to.
Bitegeko said through the project farmers have also been
trained on quality, standards and knowledge of market
specifications so that they plan ahead of the season what to
produce as per market demand.