By Alfred Zacharia
The Lindi Region in southern Tanzania is witnessing steady economic growth on the back of the mining sector, whose rapid expansion is drawing both local and international investors while creating thousands of jobs for Tanzanians.
Speaking during the opening of the Lindi Mining and Investment Opportunities Exhibition on June 11, 2025, Zanzibar’s Minister of Water, Energy and Minerals, Hon. Shaib Kaduara, described mining as a “transformational force” for Lindi’s economy.
"In just four years, mining has brought significant economic changes to this region. The sector is not only unlocking the value of our natural resources but also empowering Tanzanians directly through employment and business opportunities," he said.
The minister highlighted that the sector currently provides employment to thousands of locals, with over 95 percent of mining jobs in the region going to Tanzanian citizens.
“This demonstrates our deliberate policy to ensure Tanzanians benefit directly from their country’s wealth,” Kaduara emphasized.
In the 2022/2023 financial year, Lindi generated TSh 4.33 billion (approximately $1.7 million) in government revenue from mining, reaching 90.42 percent of its TSh 4.8 billion target. However, Kaduara believes this is just the beginning.
"With the resources available in Lindi, there is huge potential to significantly grow these revenues through enhanced investment, modern technology, and better resource management."
He explained that the government is focused on value addition through the establishment of mineral refining and processing plants. The move is especially targeted at strategic and rare earth minerals to ensure more value remains within the country before export.
Lindi’s Regional Commissioner, Ms. Zainab Telack, said large-scale mining projects are playing a central role in reshaping the regional economy.
“The presence of vast mineral reserves, particularly graphite, places Lindi in a strategic position. Our graphite reserves alone are estimated at 17 million tonnes, with the potential to generate nearly $12 billion once fully exploited,” she noted.
She added that the region has also seen growth in mining activities at all levels. The number of small-scale mining licenses has increased from 2,811 to 3,218, while medium-scale licenses have risen from 16 to 25. Additionally, one large-scale mining license and ten processing licenses are currently active.
One of the flagship projects, the Lindi Jumbo graphite mine, is expected to employ more than 350 people directly once fully operational.
The Chief Executive Officer of the State Mining Corporation (STAMICO), Dr. Venance Mwase, commended the region’s momentum in advancing the mining sector, particularly in strategic minerals.
“Lindi is becoming a key player in Tanzania’s drive to develop strategic minerals that the world now demands. STAMICO will continue to support small-scale miners by providing them with modern rock drilling equipment to improve productivity and safety,” he said.
Beyond minerals, Dr. Mwase emphasized that STAMICO is also working to strengthen other sectors linked to mining. The corporation is conducting training for salt farmers on better processing methods and assisting them to access stable markets.
“Mining must not work in isolation. We are committed to ensuring that even related sectors like salt farming benefit from technical know-how, improved processing, and reliable markets,” he added.
Tanzania’s mining sector has become one of the fastest-growing contributors to the country’s economic diversification, driving job creation, industrial growth, and rural development, while positioning regions like Lindi as emerging hubs for both local and global investors.