Sunflower or safflower oil and fractions market in Tanzania

Earlier Report Observations

From 2018 to 2021, the market volume for sunflower and safflower oil in Tanzania grew steadily from 268 thousand tons to 314.8 thousand tons. This expansion was primarily driven by government policies, including a reduction in import duty on crude palm and sunflower oils and the removal of VAT on locally produced sunflower oil. These measures lowered costs for farmers and processors, encouraging both domestic production and imports. Support through input provision, extension services, and VAT exemptions on processing equipment further boosted local output, which rose from 264.2 thousand tons in 2018 to 304.1 thousand tons in 2021.

After stabilizing at 314.8 thousand tons in 2022, the market volume increased again to 329.7 thousand tons in 2023. Private investment in hybrid seed production and processing facilities, incentivized by tax and tariff benefits, played a key role in this growth. The government maintained import tariffs on palm oil to protect the domestic sunflower oil sector, while VAT exemptions on processing equipment continued to support industrialization. These efforts helped raise production to 326.9 thousand tons in 2023, despite global supply chain disruptions and price fluctuations that affected import patterns.

Tanzania has one of the highest per capita consumption rates of sunflower oil in Africa at 9.2 kg of refined oil per person, sustaining robust domestic demand. Since 2011, large-scale producers have been required to fortify edible oils with vitamin A, influencing production standards. The sunflower oil sector has also benefited from growing regional demand, with ongoing investments in seed multiplication and processing technologies enhancing capacity.

Production sunflower or safflower oil and fractions in Tanzania

In kind, 2017-2020, K t

From 2017 to 2020, Tanzania ranked 14th globally in terms of production volume for sunflower or safflower oil and fractions.

Top producers of sunflower or safflower oil and fractions, 2017-2020

World map of production of sunflower or safflower oil and fractions, 2017-2020

Tanzania's production of sunflower or safflower oil and fractions has increased for the third consecutive year. In 2020, the country produced 289.3 K t, marking a 4.6% rise compared to 2019. Over the 2017-2020 period, production grew by 11.6%, with a compound annual growth rate (CAGR) of 3.7%.

Annual dynamics of production in Tanzania in kind, 2017-2020, K t

In value, 2017-2020, M $ US

In 2020, the output of sunflower or safflower oil and fractions in Tanzania was valued at 422.6 M $ US, reflecting a sharp increase of 35.4% from the previous year. From 2017 to 2020, production rose by 40.3%, with a CAGR of 12.0%. The largest decline occurred in 2019, at 8.3%.

Annual dynamics of production in Tanzania in value, 2017-2020, M $ US

Exports sunflower or safflower oil and fractions from Tanzania

Exports in kind, t

After two years of decline, Tanzania's exports of sunflower or safflower oil and fractions increased in 2020. The export volume reached 3 474 t, representing a sharp rise of 27.0% compared to 2019. Between 2017 and 2020, exports decreased by 61.7%, equating to an annualized rate of 27.4%. The lowest volume was recorded in 2019 at 2 736 t, while the largest decline occurred in 2018, at 62.1%.

Annual dynamics of product's exports from Tanzania in kind, 2017-2020, t

From 2017 to 2020, Switzerland dominated Tanzania's export structure in kind, accounting for 90.7% of total flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Tanzania in kind, 2017-2020

Exports in value, K $ US

Following a two-year decrease, Tanzania's exports of sunflower or safflower oil and fractions increased in 2020. Exports amounted to 5 074 K $ US, which is 64.3% higher than in 2019. Over the 2017-2020 period, exports fell by 51.8%, with a CAGR of 21.6%. The minimum value was recorded in 2019 at 3 088 K $ US, and the largest decline occurred in 2018, at 58.0%.

Annual dynamics of product's exports from Tanzania in value, 2017-2020, K $ US

Throughout 2017–2020, Switzerland was the central partner in Tanzania's export structure in value terms, holding a share of 84.7% of total flows, while other markets contributed less significantly.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Tanzania in value, 2017-2020

Imports sunflower or safflower oil and fractions to Tanzania

Imports in kind, t

The market showed an unstable trend during this period. Import volumes varied 1.8 times, from a low of 7 235 t in 2018 to a high of 13 123 t in 2019. In 2020, Tanzania imported 11 867 t of sunflower or safflower oil and fractions, indicating a limited contraction of 9.6% compared to the previous year. The largest increase was recorded in 2019, at 81.4%.

Annual dynamics of product's imports to Tanzania in kind, 2017-2020, t

In 2017–2020, the geographical pattern of imports in kind was characterized by a strong dominance of Ukraine, which accounted for 79.0% of total flows, with other partners holding relatively minor shares.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Tanzania in kind, 2017-2020

Imports in value, K $ US

In 2020, Tanzania's imports of sunflower or safflower oil and fractions amounted to 7 717 K $ US, showing a robust fall of 11.2% compared to the previous year. Over the 2017-2020 period, imports increased by 27.4%, with a CAGR of 8.4%. The minimum value was recorded in 2018 at 5 830 K $ US, while the maximum was in 2019 at 8 691 K $ US. The largest increase occurred in 2019, at 49.1%.

Annual dynamics of product's imports to Tanzania in value, 2017-2020, K $ US

Throughout 2017–2020, Ukraine remained the main destination for Tanzania's imports in value terms, taking 83.5% of total flows, with the remaining share distributed across various smaller markets.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Tanzania in value, 2017-2020