In Q4 2024, Tanzania’s agricultural GDP soared to 11,252,481 TZS Million (USD 4.11 billion), a 60.7% increase from 7,003,566.89 TZS Million (USD 2.56 billion) in Q3 2024, driven by cash crops like cashew nuts and tobacco, per the National Bureau of Statistics (NBS). From 2005 to 2024, agricultural GDP averaged 5,776,720.05 TZS Million, growing at a CAGR of ~11.2%, with 2024 marking an all-time high. Contributing 25.3% to Tanzania’s USD 79 billion economy in 2023, agriculture employs 65% of the workforce. Tanzania ranks 2nd in East Africa for agricultural GDP, behind Ethiopia’s USD 6.45 billion, and 9th in Africa for nominal GDP, ahead of Côte d’Ivoire (USD 86 billion) but trailing Nigeria (USD 252 billion).

Explanation of Figures and Years:

• Agricultural GDP (Q4 2024): 11,252,481 TZS Million (USD 4.11 billion, using 2,735 TZS/USD) reflects a 60.7% quarter-on-quarter growth from Q3 2024’s 7,003,566.89 TZS Million (USD 2.56 billion), highlighting a significant seasonal or policy-driven surge (e.g., cashew nut exports via the Tanzania Mercantile Exchange).
• Historical Context (2005-2024): The average agricultural GDP of 5,776,720.05 TZS Million and a CAGR of ~11.2% (calculated from 1,496,674.79 TZS Million in Q3 2005 to the 2024 peak) show consistent long-term growth.
• GDP Contribution (2023): Agriculture’s 25.3% share of Tanzania’s USD 79 billion GDP underscores its economic dominance, with 65% workforce engagement noted in 2022.
• Regional Position (2024): Tanzania’s USD 4.11 billion agricultural GDP ranks 2nd in East Africa, behind Ethiopia (USD 6.45 billion), and its USD 79 billion nominal GDP places it 9th in Africa, compared to Nigeria’s USD 252 billion and Côte d’Ivoire’s USD 86 billion, based on 2024 estimates from web sources.

Recent Data and Growth Trends:

• According to the National Bureau of Statistics (NBS) - Tanzania, the GDP from agriculture in Tanzania reached 11,252,481 TZS Million (approximately USD 4.11 billion, using an exchange rate of 2,735 TZS/USD as of early 2025) in Q4 2024, a significant increase from 7,003,566.89 TZS Million (approximately USD 2.56 billion) in Q3 2024. This represents a quarter-on-quarter growth of 60.7%, indicating a robust seasonal or policy-driven surge in agricultural output.
• The average agricultural GDP from 2005 to 2024 was 5,776,720.05 TZS Million, with a record low of 1,496,674.79 TZS Million in Q3 2005 and the all-time high in Q4 2024. This reflects a long-term upward trend, with the 2024 Q4 figure being 7.5 times the 2005 low, showcasing significant growth in the sector over two decades.
• From 2005 to 2024, the compound annual growth rate (CAGR) of agricultural GDP can be estimated using the formula: CAGR=(1,496,674.7911,252,481​)191​−1≈0.112 or 11.2% This indicates an average annual growth rate of approximately 11.2%, driven by improvements in productivity, policy reforms, and market access.

Contribution to National GDP:

• Agriculture accounted for 25.3% of Tanzania’s GDP in 2023, per web sources, and 15.9% of GDP growth in the first three quarters of 2024, making it the largest contributor to economic growth during that period.
• Tanzania’s total GDP in 2024 was estimated at USD 79 billion (approximately 216,065 billion TZS, using the 2025 exchange rate).
• Agricultural GDP in Q4 2024 (11,252,481 TZS Million or 11.25 trillion TZS) represents about 5.2% of the annual GDP for a single quarter, suggesting agriculture’s significant seasonal contribution, likely due to harvest cycles or policy impacts like the online auction system for cash crops.
• In 2021, agriculture contributed 27% to GDP, indicating a slight decline in its share by 2023 (25.3%), reflecting gradual diversification into industry (31%) and services (42%). However, agriculture remains the backbone of employment, engaging 65% of the workforce in 2022, down from 84.8% in the early 1990s.

Key Drivers of Agricultural GDP Growth:

• Cash Crops: The Q4 2024 surge was driven by increased production of cash crops like cashew nuts, tobacco, and cereals. Cashew nut procurement reached a five-year high, boosted by the Tanzania Mercantile Exchange’s online auction system, which improved farmer prices and market efficiency.
• Policy Reforms: Under President Samia Suluhu Hassan, agricultural budget allocations increased from 294 billion TZS in 2021/22 to 1.248 trillion TZS in 2024/25 (a 324.49% rise), enhancing productivity and infrastructure.
• Export Growth: Agricultural exports, including cashew nuts and tobacco, contributed to total exports reaching USD 16.1 billion (20% of GDP) in 2024, up from 18% in 2023.
• Climate and Investment: A favorable agricultural season in 2024, coupled with increased electricity supply and business environment improvements, supported growth.

Tanzania’s Position in Africa

Comparison with Other African Countries: The provided data lists agricultural GDP for several African countries in Q4 2024, but direct comparisons are challenging due to differing currencies and economic structures. To contextualize, I’ll convert Tanzania’s figures to USD for consistency (using approximate 2025 exchange rates where available) and compare with key countries, supplemented by web data on nominal GDP rankings.

• Tanzania: 11,252,481 TZS Million ≈ USD 4.11 billion (2,735 TZS/USD).
• Nigeria: 5,785,472 NGN Million ≈ USD 3.47 billion (1,665 NGN/USD). Nigeria’s agricultural GDP is slightly lower than Tanzania’s in USD terms, despite Nigeria’s larger overall economy (USD 252 billion nominal GDP in 2024, Africa’s largest). Agriculture contributes less to Nigeria’s GDP (around 20%) compared to Tanzania’s 25.3%.
• Kenya: 434,459 KES Million ≈ USD 3.37 billion (129 KES/USD). Kenya’s agricultural GDP is comparable to Tanzania’s but slightly lower, despite Kenya’s larger overall economy (USD 104 billion, 7th in Africa).
• South Africa: 115,477 ZAR Million ≈ USD 6.43 billion (18 ZAR/USD). South Africa’s agricultural GDP is higher in USD terms, reflecting its diversified and industrialized agricultural sector, but its overall GDP (USD 373 billion, 2nd in Africa) dwarfs Tanzania’s.
• Ethiopia: 774 ETB Billion (774,000 million) ≈ USD 6.45 billion (120 ETB/USD). Ethiopia’s agricultural GDP is higher, as agriculture dominates its economy (around 35% of GDP), and its total GDP is USD 127 billion (5th in Africa).
• Egypt: 689,598 EGP Million ≈ USD 14.09 billion (49 EGP/USD). Egypt’s agricultural GDP is significantly higher, reflecting its large-scale irrigation-based agriculture, with a total GDP of USD 348 billion (3rd in Africa).

Ranking in Africa:

• Tanzania’s nominal GDP in 2024 was USD 79 billion, ranking it 9th in Africa behind Nigeria (1st, USD 252 billion), South Africa (2nd), Egypt (3rd), Algeria (4th), Ethiopia (5th), Morocco (6th), Kenya (7th), Angola (8th), and ahead of Côte d’Ivoire (10th, USD 86 billion).
• In terms of agricultural GDP, Tanzania’s USD 4.11 billion in Q4 2024 places it among the top contributors, likely in the top 5-7 in Africa, behind countries like Egypt, Ethiopia, and South Africa but ahead of Nigeria and Kenya for that quarter. This is notable given Tanzania’s smaller overall economy compared to Nigeria or South Africa.
• Agriculture’s share of GDP (25.3% in 2023) is higher than Nigeria (20%), Kenya (15-20%), and South Africa (2-3%), but lower than Ethiopia (35%). This underscores Tanzania’s heavy reliance on agriculture relative to more industrialized economies like South Africa.

Tanzania’s Position in East Africa

East African Context: East Africa is the continent’s fastest-growing region, with projected GDP growth of 4.9% in 2024 and 5.7% in 2025, driven by countries like Tanzania, Kenya, Uganda, Rwanda, and Ethiopia. Tanzania is a key player in this region, both economically and agriculturally.

• Tanzania vs. Kenya:
  • Agricultural GDP: Tanzania’s USD 4.11 billion in Q4 2024 surpasses Kenya’s USD 3.37 billion, reflecting Tanzania’s larger agricultural sector. Kenya’s agriculture contributes around 15-20% to its GDP (USD 104 billion), compared to Tanzania’s 25.3%.
  • Overall Economy: Tanzania’s GDP (USD 79 billion) is smaller than Kenya’s (USD 104 billion), making Tanzania the 2nd largest economy in East Africa after Kenya.
  • Agricultural Employment: Tanzania’s agriculture employs 65% of the workforce, higher than Kenya’s ~40%, indicating greater dependence on the sector.
• Tanzania vs. Uganda:
  • Agricultural GDP: Uganda’s 8,948 UGX Billion ≈ USD 2.43 billion (3,680 UGX/USD) is lower than Tanzania’s USD 4.11 billion, showing Tanzania’s stronger agricultural output.
  • Overall Economy: Uganda’s GDP (~USD 45 billion) is significantly smaller, ranking it 4th in East Africa after Ethiopia, Kenya, and Tanzania.
  • Agricultural Contribution: Agriculture accounts for ~24% of Uganda’s GDP, similar to Tanzania, but Tanzania’s larger scale and export focus (e.g., cashew nuts) give it an edge.

• Tanzania vs. Ethiopia:
  • Agricultural GDP: Ethiopia’s USD 6.45 billion dwarfs Tanzania’s USD 4.11 billion, as Ethiopia’s agriculture is more extensive due to its larger population (120 million vs. Tanzania’s 65 million) and arable land.
  • Overall Economy: Ethiopia’s GDP (USD 127 billion) ranks it 1st in East Africa, ahead of Tanzania.
  • Agricultural Contribution: Ethiopia’s agriculture contributes ~35% to GDP, higher than Tanzania’s 25.3%, reflecting its greater reliance on the sector.
• Tanzania vs. Rwanda:
  • Agricultural GDP: Rwanda’s 658 RWF Billion ≈ USD 0.48 billion (1,370 RWF/USD) is much smaller than Tanzania’s, reflecting Rwanda’s smaller economy (USD 13 billion).
  • Overall Economy: Tanzania far outpaces Rwanda, which ranks lower in East Africa.
  • Agricultural Contribution: Rwanda’s agriculture contributes ~25% to GDP, similar to Tanzania, but its scale is limited by land size.

Regional Leadership:

• Tanzania is the 2nd largest economy in East Africa after Kenya, with a GDP of USD 79 billion in 2024, and its agricultural GDP of USD 4.11 billion in Q4 2024 likely places it 2nd in the region behind Ethiopia.
• East Africa’s regional GDP growth is driven by agriculture, services, and infrastructure, with Tanzania contributing significantly (17% of Africa’s GDP in 2022, projected to rise to 29% by 2040).
• Tanzania’s agricultural exports (e.g., cashew nuts, tobacco) and tourism (5.7% of GDP in 2021) bolster its trade hub status, enhanced by the Dar es Salaam port, which serves six landlocked neighbors.

Insights and Challenges

• Strengths: Tanzania’s agricultural GDP growth reflects improved productivity, export performance, and government investment. Its 2nd-place ranking in East Africa and top-tier agricultural contribution in Africa highlight its regional importance.
• Challenges: Dependence on agriculture (65% of employment, 25.3% of GDP) makes Tanzania vulnerable to climate shocks. Poverty remains high (43% below USD 2.15/day), and structural transformation is slow due to limited industrialization.
• Opportunities: Continued reforms, infrastructure projects (e.g., Standard Gauge Railway), and regional trade agreements (e.g., AfCFTA) could enhance Tanzania’s position as an agricultural and trade hub.

Conclusion

Tanzania’s agricultural GDP of 11,252,481 TZS Million (USD 4.11 billion) in Q4 2024 underscores its robust agricultural sector, driven by cash crops and policy reforms. It ranks 2nd in East Africa behind Ethiopia in agricultural output and overall GDP (USD 79 billion), and 9th in Africa, ahead of Côte d’Ivoire but behind Nigeria and South Africa. Its agricultural contribution (25.3% of GDP) is higher than most regional peers, cementing its role as a key agricultural player, though diversification and climate resilience remain critical for sustained growth.

Key Figures Table

The table includes:

• Agricultural GDP (Q4 2024, USD Billion): Converted from local currencies using approximate 2025 exchange rates.
• Nominal GDP (2024, USD Billion): Sourced from web data for context.
• Agriculture’s Share of GDP (%): Based on 2023/2024 data from web sources or inferred from context.
• Region: To distinguish East African countries from others in Africa.
• Notes: Highlights key factors or context for each country’s agricultural sector.

Notes:

• Agricultural GDP: Calculated for Q4 2024 using provided data and exchange rates (e.g., Tanzania: 11,252,481 TZS Million ÷ 2,735 = USD 4.11 billion).
• Nominal GDP: Sourced from 2024 estimates (e.g., IMF, World Bank data from web sources).
• Agriculture’s Share: Based on 2023/2024 data or estimates from web sources (e.g., Tanzania: 25.3% in 2023; Ethiopia: ~35%).
• Exchange Rates: Approximate, reflecting early 2025 values for consistency in comparisons.
• Context: Tanzania ranks 2nd in East Africa for both agricultural GDP (behind Ethiopia) and nominal GDP (behind Kenya). In Africa, it ranks 9th in nominal GDP and likely top 5-7 in agricultural GDP for Q4 2024.