The Tanga Region in Tanzania is increasingly turning to its mineral wealth as a springboard for economic transformation. The sector is offering fresh opportunities for job creation, investment attraction, and contribution to the national economy. With a growing web of economic opportunities, ranging from transportation and food supplies to accommodation, equipment sales, and mineral processing, young people, entrepreneurs, and communities are seeking to benefit from the region's expanding mining industry.

According to Regional Mining Officer Laurent Bugashi, the sector holds enormous potential to transform livelihoods, with benefits extending far beyond digging minerals out of the ground. With approximately 60,000 people currently involved in mining activities across the region, young people account for about 70 per cent of those engaged in the industry. Many young people are turning to mining as an avenue to improve their livelihoods and achieve economic independence.

The region has 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 small-scale mining presents an opportunity to expand participation in the industry, particularly among young people seeking employment and business opportunities.

Women are also playing an important role in the mining value chain, although relatively few are directly involved in mineral extraction. 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. Expanding opportunities for women in the industry could further improve household incomes and strengthen the contribution of mining to local economic development.

Mineral processing and laboratory services are identified as some of the most promising investment opportunities in Tanga, with the region currently lacking a laboratory capable of providing necessary services to miners. 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 mining sector is 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. The collections demonstrate the sector's potential to contribute further to public finances as mining activities expand and more projects become operational.

Mining companies are also required to contribute to the development of communities surrounding their operations through Corporate Social Responsibility (CSR) initiatives. Communities such as Stahabu Village in Pangani District have benefited from mining-related investment, receiving a school valued at 900m/- through the Tajiri Mineral Project. Such initiatives ensure that communities surrounding mining projects also benefit from the exploitation of mineral resources.

Key points

  • The Tanga region has significant potential to increase its contribution to Tanzania's economy through mining.
  • Women are playing a crucial role in the mining value chain, particularly in supporting activities.
  • The region requires investment in mineral processing and laboratory services to create employment and improve access to services.

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SaharaWire Newsroom
SaharaWire

Reporting for SaharaWire from the Nairobi bureau.