By Alfred Zacharia
Tanzania’s mineral sector continues to demonstrate robust performance, contributing TZS 726.2 billion to government revenue between July 2024 and March 2025.
The amount includes royalties worth TZS 612.6 billion and inspection fees totaling TZS 113.6 billion, according to the Minister of Minerals, Anthony Mavunde.
Presenting the Ministry's budget estimates for the 2025/26 financial year in Parliament on May 2, 2025, Minister Mavunde said the revenue was generated from the production of minerals valued at over TZS 11.3 trillion.
“This achievement is a reflection of improved supervision, expanded market access, and enhanced transparency in mineral trading and regulation,” said the Minister.
During the nine-month period, seven new mineral buying centers were established across various regions, including Nhungwiza in Geita, Nachingwea, Liwale, Likofia in Lindi, Mugumu in Serengeti, and Ikinabusu in Simiyu.
This brings the total number of mineral trading centers to 109.
The Ministry also officially recognized 142 bulk mineral trading sites through Government Gazette No. 906 of November 15, 2024.
The areas now operate under formal guidelines for trade, contributing to increased market regulation.
Sales at mineral markets reached TZS 2.82 trillion between July 2024 and March 2025, up from TSh 1.93 trillion during the same period the previous year.
As a result, royalty and inspection fee collections rose from TZS 136.7 billion to TZS 182 billion.
Minister Mavunde reported that the Mining Commission issued 9,540 permits for the export of minerals between July 2024 and March 2025, compared to 8,809 in the previous period.
The total value of minerals exported under these permits stood at TZS 9.25 trillion.
Additionally, 116 permits were issued for mineral imports valued at US$14.8 million, indicating increased international trade activity.
As part of its oversight role, the Mining Commission conducted audits of 21 companies engaged in mining, road construction, and mineral trading.
These audits uncovered unpaid government dues totaling TZS 1.25 billion. Of this, TZS 576.9 million has already been recovered, while companies owing TZS 676 million have committed to phased repayments.
The Commission also audited large mining companies including Dangote Cement, Williamson Diamond, El-Hillal Minerals, North Mara Gold Mine, Geita Gold Mine, STAMIGOLD, and Bulyanhulu Gold Mine. Issues identified included the lack of mine closure plans, inadequate waste rock dump sites, and damaged water quality monitoring boreholes.
The firms were directed to rectify these shortcomings.
Medium-scale mining operations were also scrutinized, with 53 mines inspected. The audits revealed poor environmental designs and inadequate tailings dam structures.
Inspections extended to 14,847 small-scale mines in 30 mineral-rich regions. Common issues included abandoned open pits, lack of personal protective equipment, unsafe explosive storage, and absence of environmental protection plans.
“We’ve issued directives for these operators to implement corrective measures to ensure safer, more sustainable mining practices,” Mavunde noted.
The demand for explosives has risen sharply due to growing mining and infrastructure development.
Between July 2024 and March 2025, the government issued 267 permits related to the import, transit, manufacture, and export of explosives, generating US$133,438 in revenue.
Inspections were also carried out in locations proposed for explosive storage warehouses.
Companies such as Indo African Explosives (Dar es Salaam), Lindi Jumbo Limited, AECI Mining, and East Africa Harmony Mining were among those granted approval to build storage facilities after meeting safety requirements.
Eight new explosive storage facilities were approved for construction, including those by Heshem Tanzania (Chunya), China Civil Engineering (Nzega), Ideal Detonators (Pwani), Canuck Company (Kahama), and Sekenke One Mining Cooperative (Singida).
The facilities are expected to enhance safety and accessibility in mining operations across the country.