Tanga youth, women tap into growing mining opportunities

TANGA: TANGA Region is increasingly turning to its mineral wealth as a springboard for economic transformation, with the sector offering fresh opportunities to create jobs, attract investment and strengthen its contribution to the national economy.

Beyond the glitter of precious stones and the promise of mineral deposits lies a growing web of economic opportunities, ranging from transportation and food supplies to accommodation, equipment sales and mineral processing. These activities are opening new doors for young people, entrepreneurs and communities seeking to benefit from the region’s expanding mining industry.

Regional Mining Officer Laurent Bugashi said the sector holds enormous potential to transform livelihoods, arguing that its benefits extend far beyond digging minerals out of the ground.

In an interview with the Daily News, Mr Bugashi said the growing presence of smallscale miners, coupled with emerging mineral projects, was creating opportunities for wider economic participation and stimulating business activities across the region.

According to Mr Bugashi, approximately 60,000 people are currently involved in mining activities across the region, with young people accounting for about 70 per cent of those engaged in the industry.

He said many young people were increasingly turning to mining because they viewed it as an avenue through which they could improve their livelihoods and achieve economic independence.

“The mining sector has many opportunities that can help young people overcome unemployment. Apart from extracting minerals, there are businesses and services that are necessary for mining operations and which can provide employment to many people,” he said.

The opportunities, he explained, range from supplying food and mining equipment to providing transportation, accommodation and other services required by miners and investors.

Mr Bugashi said the region had 3,122 mining licence holders, comprising one large-scale licence holder associated with an investment of at least 100 million US dollars, 31 medium-scale operators and more than 3,000 small-scale miners.

The dominance of smallscale mining, he said, presented an opportunity to expand participation in the industry, particularly among young people seeking employment and business opportunities.

Women carve out opportunities in mining

Women are also playing an important role in the mining value chain, although relatively few are directly involved in mineral extraction.

Mr Bugashi estimated that women account for nearly 40 per cent of those participating in the sector, with many engaged in supporting activities such as food vending, crushing rocks, selling mining equipment and supplying other necessities.

He said expanding opportunities for women in the industry could further improve household incomes and strengthen the contribution of mining to local economic development.

The participation of women in supporting services also demonstrates how mining can generate livelihoods for people who may not have the technical skills or capital required to operate mines.

Processing offers new opportunities

Mr Bugashi identified mineral processing and laboratory services as some of the most promising investment opportunities in Tanga, noting that the region currently lacks a laboratory capable of providing the necessary services to miners.

As a result, miners have to seek laboratory services from other regions, including Dar es Salaam, Dodoma and the Lake Zone.

He said establishing such facilities in Tanga would reduce the distance miners travel to access services while creating employment for young people with relevant technical qualifications.

“The opportunity is significant because miners currently depend on services from outside the region. Establishing these facilities in Tanga would improve access and create new business opportunities,” he said.

He added that improving the quality and availability of services across the mining value chain could help the region attract more investment and increase the economic benefits derived from its mineral resources.

The opportunities are consistent with Tanzania’s broader mining development agenda, which emphasises mineral value addition, investment, employment creation and the development of small-scale miners.

Nationally, the mining sector contributed 10.1 per cent of Gross Domestic Product (GDP) in 2024, up from nine per cent in 2023, according to the Tanzania Extractive Industries Transparency Initiative (TEITI).

The sector’s growing contribution to the national economy underscores the potential for regions such as Tanga to strengthen their economic performance through increased mineral production, processing and investment.

Revenue contribution

Mr Bugashi said the mining sector was also contributing significantly to government revenue through various charges collected by the mining authorities.

During the last financial year, the region collected 13.9bn/- against a target of 11bn/-, representing 127.4 per cent of the target.

He explained that the collections comprised charges and other levies administered by the mining authorities and did not include taxes collected by the Tanzania Revenue Authority (TRA).

“When you combine these collections with taxes collected by TRA, the contribution of the mining sector to revenue in Tanga Region is substantial,” he said.

The collections, he added, demonstrated the sector’s potential to contribute further to public finances as mining activities expand and more projects become operational.

Communities benefit through CSR Beyond employment and revenue, mining companies are also required to contribute to the development of communities surrounding their operations through Corporate Social Responsibility (CSR) initiatives.

Mr Bugashi said mining companies were required to submit their CSR plans to the respective local government authorities every October for consideration by CSR committees established in each council.

The companies are also expected to submit implementation reports to the relevant committees, enabling authorities to monitor the delivery of planned community development projects.

He cited Stahabu Village in Pangani District as an example of a community that had benefited from mining-related investment.

The village has received a school valued at 900m/- through the Tajiri Mineral Project, associated with Nyati Mineral Sands.

The facility comprises a kindergarten, a primary school and a secondary school with boarding facilities.

Other areas that have benefited from mining-related CSR initiatives include Kalalani, Kigwasi and Kwamsisi.

Mr Bugashi said such initiatives were important in ensuring that communities surrounding mining projects also benefited from the exploitation of mineral resources.

New projects signal economic transformation

The regional mining officer said Tanga had significant potential to increase its contribution to the national economy through the implementation of planned large- and mediumscale mining projects.

He cited a new mineral processing plant being constructed in the Bosha area as an example of how investment was already creating opportunities for surrounding communities.

According to him, the project had begun benefiting residents through employment and opportunities to establish businesses providing services to workers and other people involved in the project.

He said the investment had also contributed to an increase in land values in the surrounding area, reflecting growing economic activity and demand for property.

Mr Bugashi further cited the Magambasi gold project in Handeni District as another development with the potential to strengthen the region’s mining economy.

He said the project, which had previously been affected by disputes between companies associated with the mine, had resumed operations while efforts to resolve the underlying conflict continued.

He said the implementation of planned projects, alongside improvements in services and mineral processing, would increase the value of the mining sector to Tanga’s economy.

“The region has significant potential to increase its income and contribution to the national economy through mining. If the planned projects are implemented efficiently, the sector will create more opportunities for young people and other residents,” he said.

Skills development

To support the growth of the sector, the Department of Mines provides on-site training to small-scale miners, particularly during inspection visits.

Mr Bugashi said the training aimed to improve mining practices and equip miners with knowledge necessary to undertake their activities more effectively.

He said young people interested in pursuing careers in the sector could also access formal training at institutions offering certificate, diploma and degree programmes.

Institutions he cited include the Tanzania Gemological Centre in Arusha, the University of Dar es Salaam, the University of Dodoma, the Dar es Salaam Institute of Technology and various vocational training centres under VETA.

He said developing the necessary skills would be important in enabling young people to participate in the expanding mining value chain, including technical and professional services.