The economy of Tanzania is overwhelmingly agricultural; plantations grow cash crops, including coffee, sisal, tea, cotton, pyrethrum, cashews, tobacco, sugarcane, and cloves (cultivated in Zanzibar and Pemba).

Most of the population, however, is engaged in subsistence farming, growing corn, wheat, cassava, bananas, fruits, and vegetables. In addition, large numbers of cattle, sheep, and goats are raised. Timber is important and includes mahogany, teak, ebony, camphor wood, and mangrove. Manufactures include processed agricultural goods, beverages, wood products, and basic consumer items. Refined petroleum, fertilizer, aluminum goods, and construction materials are also produced. Diamonds, tanzanite, and other gemstones are mined; other minerals extracted in significant quantities include gold, salt, gypsum, phosphates, and kaolin.

There are also tin mines in NW Tanzania and coal and iron ore deposits near Lake Nyasa. Natural gas from deposits around Songo Songo Island, off the S central coast, are used to produce electricity.