Mining sector milestones as contribution to national economy hits 10pc
DODOMA: PRESIDENT Samia Suluhu Hassan has highlighted major strides made in the country’s mining sector during her four years in office, revealing that the sector now contributes 10 per cent to the national economy up from 6.8 per cent recorded in 2020.
Addressing the Parliament yesterday in Dodoma, President Samia said the growth reflects her administration’s commitment to formalising and empowering the sector, particularly small-scale miners whose contribution to mineral revenues has now reached 40 per cent.
She attributed the success to increased investment in minerals purchasing and marketing centres, as well as enhanced support for artisanal miners. The number of mineral purchasing centres has grown from 61 in November 2020 to 109 in 2024, while mineral markets have increased from 41 to 43.
Further, she said the government, in collaboration with the private sector, has established internationally recognised gold processing plants in Mwanza, Dodoma, Dar es Salaam, Geita and Chunya, enhancing value addition and reducing mineral smuggling.
To strengthen institutional oversight, the government has continued to reinforce the National Mining Corporation (STAMICO), enabling it to actively engage in mining and mineral trading activities as initially pledged.
In her address, President Samia also announced the government’s successful distribution of drilling equipment to support small-scale miners in key mining areas such as Tambi-Mpwapwa, Nyawa-Bariadi, Matondo-Makongorosi, Matundasi-Chunya, Rwamgasa, Nyaruyeye, Nyamalimbe, Nyakagwe in Geita, MavotaBiharamulo, Endabash-Karatu, Mwakitolya-Shinyanga and Mbangala-Songwe.
Additionally, she disclosed that 2,648 mining license applications had been revoked to free up land for small-scale miners, boosting their capacity to operate legally and contribute more to the sector.
The Head of State recounted her April 2021 declaration to revamp the sector by enforcing the Mining Act of 2017, cracking down on smuggling and removing bureaucratic bottlenecks to attract major investors and foster public-private partnerships.
She also reiterated the government’s long-term goal of boosting the entire mineral value chain, supporting the development of processing, smelting, refining and manufacturing plants that leverage modern technologies.
President Samia affirmed her administration’s continued commitment to empowering small-scale miners through training, affordable loans and access to working tools, while maintaining a strong STAMICO to champion public interest in mineral ventures.
Reflecting on sector performance from 2015 to 2020, she noted that the mining sector’s GDP contribution rose from 3.4 per cent in 2015 to 5.2 per cent in 2019. Government revenue from mining also grew sharply, from 168bn/- in 2014/15 to 527bn/- in 2019/20.
Moreover, the sector was the country’s top foreign exchange earner in 2019, bringing in 2.7 billion US dollars
