DAR ES SALAAM, June 7 (Xinhua) -- The government of Tanzania has set aside 78 billion Tanzanian shillings (about 33.5 million U.S. dollars) for issuing loans to edible oil and sugar factories to boost production of the commodities and reduce shortages, a cabinet minister said on Tuesday.

       Mwigulu Nchemba, the Minister for Finance and Planning, told parliament that the loans will be issued in the 2022/2023 financial year through the state-run Tanzania Agriculture Development Bank.

       Most of the money will be loaned to edible oil and sugar factories in Kigoma, Manyara and Shinyanga regions, Nchemba said when he tabled his ministry's budget estimates for the 2022/2023 financial year that runs from July 1, 2022, through June 30, 2023.

       "The aim of issuing the loans is to reduce shortages of the two commodities in the country," said the minister.

       According to official statistics, Tanzania currently produces only 205,000 tons of edible oil a year, while its annual demand is 570,000 tons.

       According to the statistics, Tanzania's annual demand for domestic sugar is about 470,000 tons.