Tanzania’s mining minister, Angellah Kairuki, says the government’s new mining laws, which have drawn wide criticism from foreign mining firms and commentators, are bearing fruit. She cites the 1.3 percent GDP growth that the sector registered in the first quarter of 2018 as concrete evidence.
Recent statistics from the country’s mining ministry indicate that mining now contributes around 4.8 percent to the GDP, which presents a 1.3% growth from the previous figure of 3.5%.
In her analysis on Thursday last week, Kairuki indicated that the figures signified that the government’s move to strengthen inspection and management of the sector by restricting illegal trade in minerals was paying dividends.
However, the minister said the government was aiming at the mining’s contribution to Tanzani’s GDP grow to at least 10 by 2025. “We aim for a larger piece of the pie,” she revealed.
Ironically, in the first quarter, Acacia, a company whose operations the new mining laws have adversely affected, was one of the two major contributors of the 30, 953 kilograms of gold production, the other one was state-owned Stamigold, a subsidiary of State Mining Corporation (Stamico). Small scale miner’s contributed about 2,021.4kg. The figure registered in the first quarter, represents a big leap, considering that total production in 2015 was 38, 000 kilogram.
The breakdown of diamond production in terms of carat in the first quarter was as follows: 248,083.94 carats of diamonds were produced by Williamson Diamond Ltd, Shinyanga, while El Hilal mines produced 43,285.31 carats. The same mines produced 191,407 carats in 2015.
Tanzanite One reported 535.99kg of tanzanite and 516,408.93kg of other minerals in Quarter 1 this year.