Dar policy to promote small scale miners

Artisan miner at work

Tanzania has allocated 109,298 hectares of land to small scale miners to promote entrepreneurial potential.

William Ngeleja, Minister for Energy and Minerals says that the government has introduced significant changes to mining policy to make sure that small scale miners benefit.

Mr Ngeleja said the changes include mineral rights and licenses for dealing in minerals and will be exclusively controlled by Tanzanian citizens and corporate bodies.

“Looking at the contribution of the sector to the countries’ economy as well as individuals, it was vital for government to allocate more land for small scale miners,” he said.

The restrictions will apply only to ‘primary mining licenses’, which are licenses with respect to small scale mining operations involving capital expenditure of less than US$100,000.

Given the country’s rich endowment of mineral resources principally gold, diamonds, gemstones and the recent discovery of nickel and uranium, mining has been one of the main sectors to have benefited from Government reform and investment incentives.

As a result, Tanzania’s mining industry has experienced a boom in both mineral exploration and mining activities during the past ten years.

The government said that it recognises the potential of the mining industry to serve as the engine of growth for the entire economy.

However, it will take stern measures against miners, operating without following the country’s laws and regulations.

A senior lecturer at Mzumbe University, Dar es Salaam Dr Honest Ngowi says that the Tanzania’s new regulatory framework will bring a win-win situation for both mining companies and the government while providing investors with direction and assurance.

With a distinction as the sole producer of the precious stone, Tanzanite, in the world, Tanzania is also the fourth largest producer of gold in Africa after Ghana, South Africa and Mali; and ranks among the top producers of diamond in the world.

Source: The East African,www.theeastafrican.co.ke, reported by John Mbalamwezi

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