The approval followed negotiations between the company and the Government.
About 165 cane growers will be allocated 20-hectare plots when the land is fully developed.
This will result in 1 500 new jobs being created, the firm said.
"It is envisaged that the same model already applied to the initial 700 hectares of the Kilimanjaro Empowerment Block will be extended to the remaining 3 300 hectares and funding will be sourced from banks through the
"Various service providers will partake in the project development of value of about
The initial phase of Project Kilimanjaro, being undertaken by
Under the partnership framework,
Currently, Hippo and Triangle are providing input and extension support to over 1 000 farmers.
"To date has seen 741 hectares under the co-management arrangement. The company also continues to provide technical services assistance to a number of new sugar cane out-grower development projects for the benefit of local farmers," said Mr Mhere.
Meanwhile, sugar production for this season is projected to remain flat. Research firm
However, the expected rains will boost the security of water for irrigation during the next two seasons, according to the research firm.
"Forecasts for rainfall in 2022/23 season are weighted towards normal to above average downpour increasing irrigation water cover which is currently set to cover two planting seasons easing constraints on production," said
"However, downside from prolonged wet spells include water-logging potentially compromising the improvement in yields.
"On this backdrop, we expect annual cane production to remain flat at 1 655 tonnes," said
During the half-year period to
But deliveries from private farmers underperformed the comparable season by 5 percent as spells of wet weather delayed harvesting.
Export volumes into the east African region increased in the half year to
Exports to
On the other hand, export sales to
Total sugar industry export sales for the period improved to 35 265 tonnes, a 19, 31 percent growth from 29 558 tonnes in 2021.
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