Tanzania to begin redistributing fallow mining land to small-scale miners

Baobab trees in Tanzania's Ruaha National Park

EFFORTS to reform Tanzania’s minerals sector continued apace, according to Reuters which said the East African country would begin cancelling inactive mining exploration licences and distribute the mineral-bearing property to small-scale miners.

Citing comments made in parliament by deputy minister for minerals, Stanslaus Nyongo, Reuters reported that “… all inactive prospecting licences are cancelled for the areas to be given to the small-scale miners who are eager to develop and increase the contribution of the mining sector”.

Nyongo told lawmakers the government was determined to end challenges facing artisanal miners so more Tanzanians could up take up the activity.

Tanzania’s president, John Magufuli, has made the most waves with Acacia Mining, a London-listed gold miner which is controlled by Barrick Gold. He imposed export bans on the firm’s gold concentrates asserting the company had underpaid the fiscus tax totalling $190bn, including penalties and interest, for nearly 20 years.

Some of Magufuli’s reforms have seen taxes on mining firms go up while measures have also been taken to curb illegal mineral exports. In February parliament passed a law giving artisanal miners tax relief on their sales of precious minerals and gem stones to boost their slice of revenues from the sector, said Reuters.