Effect of Leasing Coffee Estates on Coffee Production

Abstract

This study focused on the effect of leasing coffee estates on coffee production in Tanzania, the study evaluates the reasons for continued decline in coffee production in Tanzania after independence. The main objective of this study was to probe into the problems that are associated with the decline of coffee production and possible ways of increasing production through easing coffee estates. The Nkwansira and Tchibo estates were taken as the case study. Case study design was the main method that was used to show the direction of the study, and methods of data collection used were interview, questionnaire, observations and documentary sources. The collected data was analysed by using both qualitative and quantitative descriptive statistics methods/techniques. The major findings indicate that the government policy on leasing of coffee estates improve the quality and production of coffee in the areas and entails a better utilization of land, but the government interference has distorted the trends of coffee production in the nationalized coffee estates. Also, the study discovers a lot of shortfalls in the processing and signing of the land lease agreements. Finally, the study recommends that's: i. The rural cooperative societies that operate their coffee estates under lease should be assisted in follow up of leasing agreements. The main attention should be on collection of land lease fee, and legal action should be taken in any breach of contract. it. The Government should put more effort to encourage the small growers to increase their production and improve quality in order to survive in the competitive market environment. Otherwise, farmers should be left to take their own course in selecting an income generating activity that is suitable to their own farming and marketing environment. iii. Because it was noted that many coffee estates in the county, which were leased by Tanzanians, were almost dead. The government should take a legal action against those who breach contracts, and failed to fulfil with the terms or otherwise /ease to the proper investors available. Evidently the role of the Government is highly needed on improving the coffee industry in the country. This is due to the fact that most of the cooperative society's leaders are the ones who contribute to the failure of the cooperative econon7ic activities, either by commission or omission and their ignorance on leasing agreements when performing their responsibilities v. All signed land leasing agreements should be reviewed by attorney general and amendments made thereon, land surveyor should perform a land valuation on the expense of the Government to the leased coffee estates in Tanzania.