Dodoma. The government has introduced a special strategy to empower small-scale miners to expand their operations and eventually own large mining enterprises.
The initiative aims to facilitate access to capital, modern technology and capacity-building to ensure sustainable mining and business development.
The minister for Minerals, Anthony Mavunde, announced the plan on March 27, 2025 in Dodoma during a special meeting with leaders of the Federation of Miners Associations of Tanzania (FEMATA).
The discussions focused on improving the development and regulation of the mining sector for the benefit of both industry players and the national economy.
Mr Mavunde said that the programme would enable small-scale miners to transition into medium-scale operators and ultimately become owners of large-scale mining ventures, contributing significantly to national revenue and economic growth.
He directed ministry officials, through the Mining Commission, to establish a system for identifying and supporting high-performing small-scale miners.
Those who demonstrate commitment and professionalism will be progressively assisted to scale up their operations.
“We all recognise the contribution of small-scale miners to government revenues. We want to see them grow into medium and eventually large-scale operators,” Mr Mavunde said.
He said the government is developing a framework to identify and support the most dedicated and skilled miners so they can own large mines.
“In a few years, we expect to see Tanzanian billionaires emerging from this sector,” Mr Mavunde said.
Government guarantee fund
As part of the initiative, Mr Mavunde said the government, through the ministry of Finance, will utilise the Export Guarantee Scheme to provide small-scale miners with affordable loans.
These funds will enable them to acquire modern machinery and equipment, moving them away from trial-and-error mining towards a more productive and efficient approach.
“We want to empower small-scale miners with advanced machinery to increase their output and earnings. Through the government guarantee fund, they will access soft loans, allowing them to make long-term investments in the mining sector,” he noted.
To further enhance the efficiency of small-scale mining operations, the minister instructed the State Mining Corporation (STAMICO) to increase the availability of exploration and drilling equipment.
This will ensure that miners have access to modern geological data before commencing operations.
“We will not distribute the new drilling rigs until we acquire additional processing equipment. We want miners to have access to both exploration and processing tools, ensuring they extract and refine minerals efficiently. Our goal is to provide affordable and quality services to miners, thereby boosting their productivity,” Mr Mavunde added.
Recognition for government reforms
Meanwhile, FEMATA has announced plans to organise a peaceful demonstration in appreciation of President Samia Suluhu Hassan’s efforts to improve the mining sector.
FEMATA President, John Bina, said that since President Samia took office, small-scale miners have benefited from favourable policies, including improved access to capital and streamlined licensing procedures.
“We have witnessed how President Samia’s administration has supported small-scale miners. We have received affordable financing, licensing procedures have been simplified, and now we have a clear path to owning large mines. We sincerely appreciate the President’s commitment, and we will hold a demonstration to show our gratitude and solidarity,” Mr Bina said.
The government’s renewed focus on empowering small-scale miners is expected to create a more inclusive and dynamic mining sector.
By ensuring equitable opportunities for local miners, Tanzania is poised to experience significant growth in mineral production and investment, ultimately strengthening the national economy.
Permanent Secretary in the ministry of Minerals, Mr Yahya Samamba, said that small-scale miners play a crucial role in the mineral value chain.
The government, he noted, is committed to engaging all stakeholders to address industry challenges and develop policies that reflect the sector’s realities.
“We are ensuring that all mining stakeholders, including small-scale miners, have a platform to voice their concerns and contribute to policy-making. Our goal is to create a regulatory framework that fosters sustainable growth in the sector,” he said.
