The main activities performed in this area include:-

•  Facilitation in formation of Cooperative Organisations

•  Registration or re-registration of various Cooperatives Society basing on Cooperative Societies Act No. 20 of 2003 which require the establishment and registration of ecomically viable Cooperative Societies.

•  Activitivation and strengtheining existing Cooperative Societies through mobilization of members to increase shares and deposits in order to raise their working capital.

•  Organisation of Education and participatory training of Cooperative members, board members and staff.

•  Provision of regular guidance to LGA's and Cooperative Organisation so as to make them operative efficientlly and effectivelly.

•  Facilitation of inspection and auditing of Cooperative Societies books of accounts.

•  To perform all other activities required for the achievement of Cooperative Societies and related Organisations.

STATUS OF COOPERATIVE SOCIETIES IN THE REGION AS AT 30 TH MARCH, 2007

The region has 87 fully registered Cooperative Societies including one Cooperative Union (Lake Tanganyika Tobacco and Coffee Growers Cooperative Union) based at Mpanda, 11 Agricultural Primary Cooperative Societiies, 64 Savings and Credit Cooperative Societies (SACCOS), and 12 other Cooperative Societies. There are also 42 Cooperative economic groups.

Out of 11 Agricutural Primary Cooperative Societies, 5 Societies are engaged in Tobacco production which is cultivatede in Mpanda district, where about 7800 households are involved in small scale farming of the said crop. The amount of tobacco crop being harvested yearly and value of the product has been increasing for the last three years as shown below.

Tobacco Production trend for 3 production season 2003/04 to 2005/06

The estimated production of tobacco for the coming season 2007/2007 is 8,889,130 kgs valued Tshs 10,666,956,000/=

SAVINGS AND CREDIT COOPERATIVE SOCIETY (SACCOS)

Currently the region has 64 registered Savings and Credit Cooperative Societies. The Savings and Credit Societies are the Organisations dedicated to the promotion of thrift among its members and the creation of a source of credit for them at competitive rate of interest through financial intermediation.

Strong and sustainable SACCOS are expected to be a dependable source of working Capital required for various economic activities such as Agricultural production, Mining activities, forestry production process, acquisition of modern farming machines and tools, modern fishing gears and preservation facilities.

The distribution of SACCOS in 4LGA's in the Region is as follows:-

Challenges for Strengthening Cooperatives In Rukwa Region

•  Limited Capital and access to financial services:-

Like any other region, most of the people in RukwaRegion live in Rural areas engaged in agriculture, fishing, bee-keeping, mining and agri-business activities mainly for subsistence economy. These producers lack capital assets necessary for activation of various economic pottentials available. They can hardly afford to hire additional labour and purchase inputs. Commercial Banks and Financial Institutions find it risky to lend to small holders farmers and small scale business dealers. Most of house holds can neither save nor access loans from Commercial Banks and Financial Institutions.

•  Lack of Collective Markets

Most of our agricultural, livestock, forestry, mining and fisheries product lack reliable market because there is no established marketing organisation to cater for this product. This call for the establishment of organized Market centres and Marketing Organisations for this product. Probably strong and sustainable marketing Cooperatives and Savings and Credit Cooperatives (SACCOS) could solve this problem.

OPPORTUNITIES

•  Savings and Credit Cooperative Societies available

•  International Market in Matai area

•  Continuation of establishment of Savings and Credit Cooperative Societies (SACCOS) in each ward.

•  The allocation of Capital equivalent to Tshs 1.0 billion from the central government for the development of enterpreneurship in the region.

•  Availability of Cooperative development policy of 2002 which encourages the establishment of Cooperative Societies in various sectors.

OBSTACLES

•  Limited awareness on establishing strong and sustainable SACCOS.

•  Limited capability of members of SACCOS in control of loan repayment.

•  Problem of poor infrasttructure.

•  Unavailability of reliable and dependable market for food and cash crops.

•  Shortage of Cooperative experts to mobilise, supervise and inspect Cooperative organizations and its affairs.

•  Limited understanding of the people in acceptance to join Cooperative Societies.