FARMERS in the country have every reason to smile after EFTA, a lease financing company purchased 200 units of tractors to support agriculture mechanisation.
The New Holland TT75 4WD tractors for leasing to smallholder Tanzanian farmers are set to increase agricultural production, and improve food security in the country.
The firm’s Managing Director Nicomed Bohay said in a statement that, the move is aimed at boosting mechanisation to Tanzania’s smallholder farmers.
“Annual Tanzanian tractor sales are estimated at 1,800 units, meaning EFTA’s 530 tractors boost Tanzanian tractor access for farmers by 23 per cent,” he said.
Mr Bohay further disclosed that EFTA sealed a deal of 200 new tractors with one of the respected top brands in the world for farmers and SMEs in Tanzanian agricultural sector, to reaffirm EFTA’s commitment of providing access to finance without collateral to farmers who wouldn’t have met eligibility criteria from mainstream financial institutions.
The lease financing company is implementing the deal in collaboration with a number of stakeholders namely New Holland Agriculture, Hughes Agriculture Tanzania Ltd (HAT) and CRBD Bank.
This is the first time a broader partnership, including New Holland Agriculture and CRDB, has been formed to significantly scale up tractor access by smallholder farmers.
In his part, the Managing Director for HAT, Mr Stuart Leishman, said mechanisation was key to ensure the long-term goal of Tanzania becoming food secure.
“We are proud to participate in the process of increasing the number of emerging farmers who are using tractors and implements to improve their yields.”
“Thanks to our valued partnership with EFTA, New Holland Agriculture and the support from CRDB, we believe we have created a solution where farmers can now acquire New Holland tractors from EFTA, at affordable rates.”
The Managing Director for CRDB Bank Abdulmajid Nsekela, said that partnership with EFTA to support the SMEs in Tanzania demonstrates their readiness to support the agriculture sector.
“SMEs are the engines of growth for the economy, contributing heavily to the economy and employment,” he said.
On his part, the group Chairman of EFAfrica, Mr Michiel Timmerman said they were excited by the ground-breaking deal because of the impact it will deliver, by providing affordable mechanisation and access to a leading tractor brand with excellent after-sales service and parts provided by Hughes Agriculture throughout the country.
