Tanzania Gears Up to Boost Mining Sector Growth

The Tanzanian government is taking bold steps to strengthen its mining sector, focusing on resolving conflicts, supporting small-scale miners with technology, expanding areas with verified geological data, and rolling out a framework to maximize the potential of strategic minerals.

Minister of Minerals Anthony Mavunde outlined these priorities during an interview on January 12, emphasizing the government’s commitment to building on the sector’s recent growth. Over the past year, the mining industry’s contribution to government revenue rose from 6.8 percent in 2022 to 9.0 percent in the 2023/24 fiscal year. This year, the sector is projected to generate approximately Sh1 trillion in revenue for the national coffers.

A key challenge the ministry is addressing is resolving disputes within the sector. These conflicts often arise between large-scale and small-scale miners or among small-scale miners themselves, particularly in areas with overlapping licenses and unclear ownership.

“We’re actively working to reduce conflicts and create harmony among stakeholders in the sector,” Minister Mavunde explained.

The ministry is prioritizing small-scale miners, many of whom operate without adequate geological information. To bridge this gap, the government plans to enhance mineral research and provide miners with accurate data on resource-rich areas.

“By equipping small-scale miners with reliable geological data, we’re ensuring they can operate more efficiently and increase their productivity,” Mavunde said.

With global demand for critical minerals on the rise, the ministry is finalizing a comprehensive framework to guide the exploitation and development of these resources.

“Our strategic minerals plan will focus on adding value, creating jobs, and contributing to the country’s economic growth,” Mavunde noted.

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Attracting investments is another key priority for the ministry, which is collaborating with the Tanzania Investment Centre (TIC) to create a more investor-friendly environment.

The sector’s robust performance has already made it a cornerstone of the economy, with a Sh1 trillion revenue target for the year.

The Ministry of Minerals is focused on ensuring that the benefits of mining are shared equitably among stakeholders while contributing to Tanzania’s overall development. By addressing challenges, fostering innovation, and leveraging strategic resources, the government aims to position the mining sector as a driving force for the nation’s prosperity.

Through these efforts, Tanzania is not just securing its mineral wealth but also paving the way for a sustainable and inclusive future in the mining industry.