Government earns 62.9bn/- from booming forestry sector

DODOMA: ENHANCED value chains and a surge in forestry product exports have enabled the Tanzania Forestry Services (TFS) to contribute a total of 62.9bn/- to the national treasury, marking a strong performance in the sector.

Between 2021 and 2023, TFS significantly reduced its financial reliance on central government funding, thanks to deliberate strategies aimed at strengthening internal revenue streams.

Speaking in Dodoma over the weekend, TFS Conservation Commissioner Professor Dos Santos Silayo said the 62.9bn/- contribution represents 15 per cent of the total 371.9bn/- generated by the agency from various internal sources during that period.

As of December 15th, last year, TFS had already collected 89.6 bn accounting for 56 per cent of its annual revenue target. With continued improvements and growth under President Samia Suluhu Hassan’s leadership, the agency projects to raise 175.9bn/- in the upcoming fiscal year.

“TFS has implemented strategic development projects aimed at commercialising forestry services and boosting revenue collections, ultimately increasing dividends to the government,” Prof Silayo noted.

He explained that the agency’s work is guided by a comprehensive 30-year strategy (2022–2050), focusing on the development and monitoring of government tree estates, promotion of ecological tourism, stakeholder engagement in conservation, expansion of the beekeeping sector and the modernisation of forest-based industries and product markets.

“These initiatives are designed to ensure sustainable forest management while maintaining the ecological services forests provide,” he added.

On ecological tourism, Prof Silayo noted significant growth over the past three years. In the 2020/21 financial year, TFS attracted 59,606 tourists, generating 154.9m/- in revenue. The following year, tourist numbers more than doubled to 152,002, with revenue increasing by 289 per cent to 603.3m/-.

The upward trend continued in 2022/23, with tourist visits reaching 242,824—a 60.8 per cent increase—resulting in revenue of over 1.3bn/-, a 127 per cent jump compared to the previous year.

Looking ahead, TFS aims to welcome at least 500,000 tourists to its forest parks by the end of this year, with projected earnings of 3bn/-.

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Prof Silayo also noted that TFS received 4bn/- in 2022/23 from special funds disbursed by the government to mitigate the effects of Covid-19.

The funds were used to boost conservation and tourism, including the construction of five entry gates, a 97km stretch of access roads and 190.5km of pedestrian pathways across 11 forest parks.

Further internal initiatives have led to the development of ecological and cultural attractions, with 231.7km of tourist trails repaired, 873km of forest roads maintained and ecological maps prepared for 25 forest parks.

TFS has completed the construction of two hostelsone at Wino Tree Farm in Madaba, Ruvuma Region and another in Saohill Forest, Mafinga, Iringa. Renovation works were also completed on one hostel and two guesthouses at the Amani Conservation Centre.