The Role of the Nonfarm Rural Sector and Periurban Agriculture in Tanzania’s Rural Development

Abstract

There is a growing recognition among policymakers of the importance of promoting rural nonfarm employment opportunities. In many developing countries agriculture alone can no longer absorb the rapidly growing rural population, and undeterred labor migration to urban areas in most cases brings only higher social costs. There is also a recognition that in most developing countries, deliberately exploiting the dynamic interplay between agricultural and nonagricultural sectors in rural settings can lead to sustained development and poverty reduction. So there is an interest among policymakers in the design of policies that not only promote rural nonfarm opportunities but also develop and support the virtuous cycle of mutually reinforcing progress in rural farm and nonfarm activities.