The government has rolled out a targeted strategy to strengthen and develop small-scale mining, placing priority on access to licences, financing, modern technology, reliable markets and mineral-rich areas backed by geological data.
The strategy was outlined by the Minister for Minerals, Mr Anthony Mavunde, during the first meeting of the Parliamentary Standing Committee on Energy and Minerals held on January 15, 2025, at the Pius Msekwa Hall in Dodoma.
Mr Mavunde said the mining sector is governed by the 2009 Mineral Policy and the Mining Act, Chapter 123, which guide exploration, extraction, value addition and mineral trade to ensure Tanzanians, particularly small-scale miners, derive sustainable benefits from the country’s mineral resources.
He said consistent implementation of the policy and legal framework has significantly transformed the sector, with its contribution to Gross Domestic Product rising from 2.7 percent in 2010 to 10.1 percent in 2024.
According to the minister, improved governance, transparency and accountability have driven a sharp increase in government revenue from mining, which rose from TZS 173.7 billion in the 2012/13 financial year to TZS 1.071 trillion in 2024/25.
He said the government has continued to prioritise small-scale miners by allocating them areas with verified geological information and issuing primary mining licences in key mining zones, including Nyanhwale, Simanjiro, Mbogwe and Chunya. The move, he noted, aims to improve productivity, safety and incomes.
Mr Mavunde said the Ministry of Minerals has also introduced the Mining for a Brighter Tomorrow (MBT) initiative to strengthen small-scale miners’ access to capital, technology and geological data, reducing reliance on foreign financiers. More than 12,000 small-scale miners have so far benefited from the programme.
On mineral exports, he said earnings increased from about TZS 4.9 trillion in 2013 to approximately TZS 10.7 trillion in 2024. To support transparent and competitive trading, the government has established 44 mineral markets and 114 mineral trading centres across the country.
Employment in mining has also expanded, with direct jobs in mining companies rising from 7,280 in 2011 to 19,371 in 2024.
Over the same period, procurement of local goods and services increased from TZS 1.85 trillion in 2018 to TZS 4.41 trillion in 2024, an increase of 88 percent.
Mr Mavunde further said the government is strengthening foreign exchange reserves through domestic gold purchases.
He noted that from October 1, 2024, the Bank of Tanzania began buying gold through local refineries and had acquired 16.4 tonnes valued at approximately TZS 5.7 trillion by December 2025, placing Tanzania among Africa’s top ten countries in terms of gold reserves.
He added that the Mineral Policy places strong emphasis on corporate social responsibility, with mining companies implementing development projects in surrounding communities, including schools, water projects, roads, health facilities and agricultural support.
The Parliamentary Standing Committee on Energy and Minerals, chaired by Ms Subira Mgalu and deputised by Mr Simon Songe, commended the Ministry of Minerals for the progress made and praised the Bank of Tanzania for the rapid accumulation of gold reserves.
The committee also urged the Ministry of Minerals, through the Geological Survey of Tanzania, to expand mineral exploration coverage beyond the current 16 percent to unlock more opportunities for Tanzanians in the sector.
Earlier, the Mining Commissioner, Dr AbdulRahman Mwanga, said implementation of existing policies and laws has enabled the establishment of 16 mineral smelters and six mineral refineries, alongside two medium-scale mines and two large-scale projects at various stages of development.