Agriculture is the back-borne of the Tanzanian economy. It contributes over 47% of the country's national output (GDP), employs over 75% of its people, and accounts for over 41% of its foreign exchange. Thus, the transformation of agriculture is essential for accelerating Tanzania's socio-economic development, including poverty reduction.
In the pursuit of the National Strategy for Growth and Reduction of Poverty (MKUKUTA) and Millennium Development Goals (MDGs), specific cluster strategies and intervention packages have been identified to achieve set targets. The MKUKUTA based MDG costing for agriculture aims at answering the question about what it takes in terms of resources to meet the targets set under this sector.
The MKUKUTA based MDG costing for agriculture took into consideration what it takes in terms of resources to achieve the following targets:
Increased agricultural growth from 5% in 2002/03 to 10% by 2010;
Increased growth rate for livestock sub sector from 2.7% in 2000/01 to 9% by 2010;
Increased food crops production from 9 Millions tons in 2003/04 to 12 Millions tons in 2010;
Maintained Strategic Grain Reserve of at least 4 month of national food requirement;
Reduced proportion of rural population (men and women) below the basic needs poverty line from 38.6 percent in 2000/01 to 24 percent in 2010;
Reduced proportion of rural food poor (men and women) from 27% in 2000/01 to 14% by 2010;
Increased productivity and profitability both within agriculture and outside agriculture sector;
Increased off farm income generating activities; and
Secured and facilitated marketing of agricultural products.