A Dissertation Submitted in Partial Fulfillment of the Requirements for the Award of the Degree of Master of Science in Procurement and Supply Chain Management (MSc-PSCM) of Mzumbe University.The aim of this study was to find out the factors affecting procurement and storage of grain at the NFRA, maize in particular, having regard to optimizing maize reserve in the country. The study specifically examined in detail those factors, and looked at them not as stumbling block, rather as stepping stone into smooth process of procurement and storage of the said maize, thus suggested a step forward. The study employed a case study approach and collected data from National Food Reserve Agency (NFRA) which was used as a case for the purpose of this study. Data were collected from such departments as Management, Procurement, Finance, Administration, Stores and Warehouse, supporting staff and farmers just to mention a few. Both primary and secondary data were collected. The results were presented using frequency distribution tables and charts. The results from the analysis revealed that maize reserve in Tanzania plays a significant role of not only catering for food during times of scarcity, but also serves as a vital economic tool which provides the country with foreign currency. It was further revealed that the most challenging factors affecting procurement were transportation, inadequate maize from farmers, shortage of storage facilities and farmers awareness. However, storage is challenged by poor and old technology that causes most of inconveniences in the stores and warehouses. It was thus concluded that most of challenges facing procurement and storage stand unattended and unnoticed. This has led to poor maize reserve services in the country which in return it renders food crises unresolved and perpetual in Tanzania. Further, the use of old storage techniques and poorly managed storage facilities makes this sector a cost centre instead of income generator. It was thus recommended that NFRA management and the government should look at maize reserve with different perspective as a means to improve economy of this nation as well as employment creation.