Tanzania Targets Big Increase in Mineral Revenue

(Bloomberg) -- Tanzania intends to collect 470.9 billion shillings ($205.5 million) from minerals in 2019-20, compared with a projected income of 310.6 billion shillings in the fiscal year ending June 30.

The East African nation plans to boost production and exports, open new mineral trading centers, curb smuggling and ensure closer supervision of the industry, Mining Minister Doto Biteko told lawmakers Monday. By the end of March, Tanzania had collected 244.3 billion shillings from the industry, he said.

READ: Tanzania to Revoke Mining Licenses After Finding Unpaid Dues

The state expects to open seven new centers for trading minerals in the next financial year in addition to the 21 already in operation, Biteko said. The Mining Commission has put on notice for revocation 1,131 licenses after investors failed to comply with the country’s regulations, he said.

By the end of March, a total of 13,177 applications for mining licenses had been submitted and 4,831 permits had been granted. About nine companies expressed interest in constructing smelters and refineries in the country, the minister told lawmakers.

To contact the reporter on this story: Ken Karuri in Dar es Salaam at kkaruri@bloomberg.net

To contact the editors responsible for this story: David Malingha at dmalingha@bloomberg.net, Eric Ombok, Helen Nyambura

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