Chunya District Council in Mbeya is recording significant revenue growth thanks to increased transparency in gold pricing, which has strengthened integrity in the trade and reduced smuggling outside the district.
The development has been supported by the establishment of an official minerals market that attracts traders from across the region and abroad, encouraging miners and vendors to trade within the district.
Chunya District Council Chief Executive Officer Tamim Kambona said gold mining remains the council’s leading source of revenue alongside agriculture.
“The two major mines, Kopa and Ujenzi, have contributed significantly to our income. Approximately 30 percent of the council’s revenue now comes from gold,” he said.
Kambona noted that the price of gold has stabilized at around TZS 300,000 per gram, a result of key reforms introduced by President Dr. Samia Suluhu Hassan in the mining sector. “Price transparency has eliminated loopholes for fraud and reduced smuggling,” he added.
He also highlighted that the gold market has become a hub for international traders, motivating local miners and sellers to conduct business legally rather than risk illicit trade.
However, Kambona acknowledged that the market space is becoming limited for some traders. To address this, the council plans to add an additional floor to expand capacity and improve business conditions.
“Council revenue has been steadily increasing year by year. Chunya is now widely recognized as the ‘Gold Province’,” he said.
Local traders are already feeling the positive impact. Hamis Juma, a clothing vendor in Chunya, said the local economy has benefited from the strong cash flow generated by mining.
“The presence of gold has created major opportunities. Many young people and women have improved their livelihoods. Even our businesses benefit from the increase in customers from inside and outside the district,” he said.