Tanzania: Govt Earns Big From Mining Reforms

THE government reforms in the mining sector has continued to yield results as Geita Region collected 400bn/- revenue from the sector in two years of President Samia Suluhu Hassan's administration.

The reforms made by the government included the establishment of an international gold trading centre in the gold-rich region which has five buying centres that have made trading easier for small scale miners, reduced transport costs and ensured taxes due to the government are paid.

The reforms also led to the creation of at least 44 gold trading centres and 70 other minerals trading centres across the country which have helped to stop smuggling of minerals outside the country.

Under the administration of President Samia, a number of reforms have been made, including the improvement of mining conditions for artisanal miners who contribute to 30 per cent of mining activities in the country.

Unveiling the regional achievements recorded in two years of President Samia leadership, the Geita Regional Commissioner (RC), Martin Shigela said the region has managed to collect 400bn/-as revenue from the mining companies.

"For the two years of President Samia's leadership, Geita region has been able to collect 400bn/- as revenue extracted by Artisanal and Small-Scale Miners (ASM), Medium Scale Miners and large-Scale Miners (LSM)," Geita RC underlined.

According to him, in previous years the region could not collect even 50 per cent of income collected within two years of President Samia, adding that the Head of State has created a friendly environment for investment.

"What does the collection of 400bn/- mean? Our President, Dr Samia has improved investment climate and promoted the country in the international sphere to attract more investors," the RC said.

The RC noted that within two years of President Samia's leadership, the Small and Medium Scale Miners have managed to extract 13.5 tonnes of gold while large Scale Miners have managed to extract almost 35,000 kilos of gold, equivalent to 35 tonnes.

In a related development, Mr Shigela expounded about the progress of Chato Airport, saying the government is going to improve various airport infrastructure, including construction of the passenger building to attract international airlines.

"We are going to build an airport control tower and a passenger building so that international airlines carrying businessmen from Congo, Burundi, Rwanda and Uganda can land at this airport," he added.

According to him, the government has already disbursed more than 54bn/- to construct the airport, adding that the Head of State has already allocated the fund and the second phase of construction has already started.

"We are going to construct a fence to prevent animals and people from interrupting the runway as well as installing lights system to allow planes to land at night in Chato Airport," Mr Shigela insisted.

Adding: "All this has been done during the two years of President Samia's leadership, when we said in Geita, nothing has stopped, it means all that was initiated by the late Dr John Magufuli, has been continued by President Samia."

According to the Third National Five-Year Development Plan III, the mining sector has placed Tanzania in the higher ranks among African economies in terms of FDI attraction and non-oil economies.

It says Tanzania is endowed with a variety of industrial minerals and precious

metals, including iron ore, soda ash, coal, clay soil, uranium, gold, diamond and tanzanite, a rare gemstone so far worldwide being found only in Tanzania thus it seeks to promote natural resources-based industrialisation.

Some of the key intervention areas in mining sector include strengthening the management and control of large-scale and medium scale mining, empower small-scale miners, including youths and women to participate in feasible mining activities by licensing areas with basic geological information, necessary training on productive mining, technologies and equipment and mining business through STAMICO;

Others are strengthening the Mining Commission, Geological Survey of Tanzania (GST), Tanzania Gemmological Centre (TGC) and Tanzania Extractive Industries Transparency Initiative (TEITI), promote mineral value addition and beneficiation, identify, promote and facilitate extraction of rare minerals and strengthen Corporation and Mineral Markets, Demonstration Centres and Centres of Excellence.

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