Tin exports to change mining sector GDP role

24Feb 2020
The Guardian Reporter
Dar es Salaam
The Guardian
Tin exports to change mining sector GDP role

​​​​​​​PRIME Minister Kassim Majaliwa has termed Tanzania’s qualification to export restricted tin as a game-changer that would see mining sector contribution hit 10 per cent of GDP by 2025.

Closing the Tanzania Minerals and Mining Investment Conference 2020, the premier said now that Tanzania has met the requirements for the sale of tin, tungsten and tantalum (3T minerals), the mining sector is set for a major boost.

Current statistics show that the contribution of the mining sector to the economy stands at 5.07 per cent but ministerial experts project it to reach 10 per cent by 2025.

 Majaliwa launched Tanzania’s certificate of origin for the export of the minerals at the conference, where he said attainment of the 10 per cent target is now more assured than it was the case earlier.

A statement released by Prime Minister’s Office said the launch of the certificate now puts Tanzania at the centre of implementation of the protocol against the illegal exploitation of natural resources.

The premier expressed hope that things will go well considering the role played by mineral markets and sale centres located in key regions, he said, pointing out that at present there is a sale centre and market for each of the Mainland regions.

 “In the first half of the financial year 2019/2020, the government collected 242.53bn/- in mineral royalties and levies which is equivalent to 51.5 per cent of the projected 470.89bn/-,” he said.

The Deputy Minister for Minerals, Stanslaus Nyongo told editors in Dar es Salaam last week that the 3T minerals which are usually found together have mostly been located  in Kyerwa and Ngara districts in Kagera Region.

Tanzania becomes the fourth country in the Great Lakes region after the Democratic Republic of Congo, Rwanda and Burundi to issue a certificate of origin for selling the minerals.

The sale of the so-called 'conflict minerals' is restricted globally as they are often used to finance armed conflicts.

Regional efforts to end illicit trade in the 3Ts began in the early 2000s with the Great Lakes Region countries meeting in Dar es Salaam in 2004, to sign a protocol outlining presale requirements including issuance of certificate of origin.

The issuance of a certificate of origin completes lengthy efforts entailing international and regional initiatives to support the formalization of the 3T artisanal mining sector.

The wider purpose was to develop and implement traceability, due diligence and supply chain transparency for the three minerals.

The 3Ts and gold ore extracted from eastern DRC taken through a variety of intermediaries before being purchased led to the restrictions of their sale.

This was a result of international campaigns pressurizing governments in the Great Lakes region to control the flow of the minerals which are essential in the manufacture of a variety of devices like smartphones, tablets and computers.