Assessment of the Warehouse Receipts System in the Procurement of Cashew nuts – Tanzania Experience

The study was actualized to assess the Warehouse Receipts System in the Procurement of Cashew nuts four years after its introduction following failure of liberalized Agricultural Markets in the cashews business. It was conducted at Ruangwa and Liwale districts in Lindi Region using a survey design. Data gathering and analysis were done using qualitative and quantitative techniques. The study found out that majority of key cashew stakeholders is satisfied with the system. The main reasons behind their satisfaction include; better price for the crop, stable market, safe and easy way when carrying out business transactions, assurance of paying back the loans, among others. The study also identified various challenges experienced by the stakeholders in cashew business. The main challenges include; loss of weight, lack of transparency on the auction price, lack of comprehensive quality control, high interest rate charged, multi-levies imposed on the crop, and political interference. The study recommends various strategies that can be employed to address the reported challenges. The strategies include; review of the levies imposed on the crop, use of up to date weighing scales when receiving and issuing the cargo, auction's transparency to buyers and keeping away from political interference.