Peanuts belong to the legume family and grow underground, thus referred to as groundnuts. Peanuts has high protein content (usually more than 20%) and high oil content (usually more than 40%). It is also a nutritious source of fats, carbohydrates, vitamin E and minerals such as calcium, phosphorus, iron, zinc, magnesium, and potassium.

Commercial groundnut production in Tanzania started in 1946 at Kongwa, Urambo, Nachingwea, under the groundnut scheme. However the scheme failed and was subsequently abandoned in 1951.

Currently, major groundnuts growing regions include Dodoma, Tabora, Shinyanga, Singida, Mtwara and Mwanza. Groundnut is usually intercropped with cereals or cassava. 11 varities of groundnuts have been released to date and pendo is very popular.