Tanzania: Small Scale Mining Contribution to GDP Rise to 44 Pc

MINERALS Minister Dr Dotto Biteko has said that the contribution of small-scale miners to the Gross Domestic Product (GDP) has increased from between 23 and 27 per cent in the last fiscal year to 44 per cent recorded in 2022.

Dr Biteko made the remarks over the weekend during his official tour of Geita Town Council in Geita region, where he had the opportunity to visit the new Geita Gold Refinery (GGR).

He said the growing contribution of small-scale mining was the result of changes in the mining laws and policies in 2016/17, as the government under President Samia Suluhu Hassan keeps emphasizing rights and responsibilities in the sector.

He added: "Few days after she took over the position, the next quarter of the year has seen us moving to 30 per cent, I am happy to say that today small-scale miners all over Tanzania are competing in large scale. "

As I said to date small scale miners contribute 44 per cent to the GDP, and in the past the group contributed less than 4 per cent and this as a result of the amendments of the mining laws."

Geita Acting Regional Commissioner, Mr Said Nkumba said Geita Region is a major beneficiary of the mining laws amendments, traced back to 2015 when the region mined 337.48 kg of gold worth 28.8bn/- securing the State 1.154bn/- in royalty.

"In the financial year 2016/17 about 832 kgs of pure gold were collected worth 62.9bn/-, making the government get 3.4bn/- as royalties.

"In the financial year 2017/2018 the region collected about 1634.43kgs of pure gold valued at 125.4bn/- prompting the government to get 4bn/- as royalties.

In addition, Nkumba said for the financial year 2019/2020 about 5131.39 kgs of pure gold were collected worth 520.62bn/- and seeing the government earning 36.43bn/- as royalty.

AllAfrica publishes around 400 reports a day from more than 100 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.