Inventory-Backed Financing for Coffee and Cotton in Tanzania: Financing Manual

This resource is part of AgriFin’s collection of training materials on agricultural finance developed as part of AgriFin’s technical assistance projects with financial institutions in Africa and Asia. The training materials are intended for practitioners working in financial institutions that lend to agricultural clients – both farmers and enterprises. All training materials can be downloaded and adapted for re-use.  

Coffee and cotton marketing systems in Tanzania have substantially changed since liberalisation of the sub-sectors in the 1980s. The changes created new marketing opportunities for producers and private traders but also accentuated financing problems in the production and marketing of coffee and cotton. This training manual sets out how warehouse receipts systems (WRS) can be used to help ease access to inventory-backed financing as well as improve trade in coffee and cotton in Tanzania.