Minerals investors urged to abide by Mines and Minerals Act 2017

01Mar 2021
Correspondent
Mwanza
The Guardian
Minerals investors urged to abide by Mines and Minerals Act 2017

MINERALS minister Doto Biteko has called upon investors in the sector to adhere to available regulations as well as the Mines and Minerals Act 2017.

He made the remarks on Wednesday in Mwanza during a meeting with stakeholders in the minerals sector and the president and CEO of Barrick Gold Corporation, Dr Mark Bristow. The meeting was meant to discuss the investors’ strategic plan for the coming ten years.

Biteko said it was crucial meeting and discussing various issues with the stakeholders including Barrick Gold Corporation which operates the North Mara, Bulyanhulu and Buzwagi mines.

He assured investors that Tanzania is one of the best investment destinations in the continent insisting the fifth phase government under President John Magufuli has created good investment and business environment to facilitate smooth operations.

“May I remind you to consider the “local content” element in your contracts; you must ensure that some of your commodities are purchased locally,” he said.

Dr Mark Bristow commended the government’s efforts in developing the country’s minerals sector. He said in the coming ten years, the mining company will work in accordance with the laws. He insisted that the company has always being working to improve its relationship with the government.

“We promise to adhere to the country laws, pay relevant taxes on time and ensure transparency in our operations,” he said.

 The mining sector has continued to grow whereas last year it grew by 17.7 percent while revenue collections increased to 528bn/- in 2019/2020 compared to 270bn/- recorded in the 2015/2016 financial year.

In her remarks at the opening of the international minerals and mining investment conference 2021 in Dar es Salaam early this week, Vice President, Samia Suluhu Hassan said the amendments of laws and endorsements of new regulations in the mining sector are not for scaring away investors, but to create a win-win situation between them and the government.

She said changes in the Mines and Minerals Act 2017 were meant to create a conducive environment for investors in the mining sector.

According to VP Samia, the government targets to increase the contribution of the mining sector to the national income by 10 percent by 2025 from the current 3.5 percent.

She added: “The Minerals Ministry targets to collect 526.7bn/- in the 2020/2021 financial year. In between July 2020 and January 2021 the ministry collected 360.74bn/-, equivalent to 117 percent of the target.”

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