CRDB disburses 150bn/- to boost coffee sector

KILIMANJARO: CRDB Bank has injected 150bn/- into coffee sector for the 2024/2025 season, in a financing drive aimed at boosting production, empowering farmers and strengthening the country’s position in the global coffee market.

The bank’s Northern Zone Agriculture and Trade Relations Manager, Mr Rogers Mselle, said recently during the sixth Kahawa Festival in Kilimanjaro that the loans were designed to promote sustainability in coffee production and improve farmers’ livelihoods.

“The loans are designed to support the coffee sector by empowering farmers with low-interest financing,” said Mr Mselle when representing the CRDB Northern Zone Manager, adding that the funds will help farmers cover operating expenses during coffee cultivation.

He said that most players in the coffee value chain are members of cooperative institutions, an area where the bank has also been actively involved.

“CRDB Bank is a major player in strengthening cooperatives in the country,” he said.

CRDB Bank has provided 10.2bn/- to support the establishment of the Cooperative Bank of Tanzania (CBT), further demonstrating its commitment to the cooperative movement.

The lender commended the Tanzania Coffee Board (TCB) for introducing the annual Kahawa Festival, describing it as a key platform for promoting coffee production and trade in Tanzania.

ALSO READ: Govt reaffirms commitment to coffee sector development

TCB Director General Primus Kimaryo applauded the lender for its continued contribution to the coffee sector, noting that its support has encouraged more farmers to engage in coffee cultivation.

“Coffee farming and trade require substantial financing. By engaging in this sector, CRDB Bank is playing a major role in enabling farmers and stakeholders to access affordable credit, which will drive growth and sustainability,” he said.

Mr Godbless Massawe, from the Kilimanjaro Native Cooperative Union (KNCU 1984), said financial support such as that provided by CRDB Bank is already yielding positive results, with more youth now venturing into coffee farming.

“Youth participation in coffee farming ensures sustainable production,” he said.

The country’s coffee production for the 2024/25 marketing year was projected to reach approximately 1.5 million (60-kilogramme bags), marking a 7.0 per cent increase from the previous year.

The growth is attributed to the effective restoration of ageing plantations and consistent demand from major buyers, notably the European Union.