Mining, Oil&Gas

Mavunde orders stricter enforcement to raise Tanzanian mining procurement to 90pc

The move is intended to deepen local participation in the mining industry and increase the sector's contribution to the national economy

Mwanza. Tanzania’s Minister for Minerals, Anthony Mavunde, has directed authorities to strictly enforce the Mining Act and its regulations to ensure that 90 percent of goods and services used by mining companies are supplied by Tanzanians.

The move is intended to deepen local participation in the mining industry and increase the sector’s contribution to the national economy.

Mr Mavunde issued the directive on Wednesday while launching the Fifth Local Content Implementation Forum in Mwanza.

The event brought together mining companies, suppliers, mineral traders, investors, public and private institutions, and associations representing small-scale miners.

He said effective enforcement of the Mining Act would expand opportunities for Tanzanian businesses and ensure that the benefits of the country’s growing mining industry are shared more widely.

“The government expects 90 percent of goods and services used in mines to be produced and supplied by Tanzanians. This requires strict enforcement of the law and greater preparedness among local businesses to seize the available opportunities,” Mr Mavunde said.

He urged Tanzanian suppliers to work together and strengthen their capacity to provide quality goods and services that meet the standards required by mining companies.

Mr Mavunde said rising investment in the mining sector and the planned development of new mines would create more opportunities for local companies.

He called on businesses to invest in domestic production, improve product quality and expand their capabilities to compete for contracts.

The minister also praised President Samia Suluhu Hassan for championing policies that have increased the participation of Tanzanians in the mining industry.

He said her administration had strengthened the legal and policy framework to ensure local businesses benefit from mining investments.

He warned investors operating in the sector to comply fully with Tanzania’s mining laws and local content requirements, saying the government would continue monitoring implementation to safeguard national interests.

According to the minister, annual procurement of goods and services by the mining industry has now reached Sh5.1 trillion, underlining the scale of opportunities available to Tanzanian companies.

The government has identified local content as a key pillar of its strategy to maximise the economic benefits of the mining industry.

Recent reforms have sought to increase the use of locally produced goods, promote technology transfer and create more employment for Tanzanians.

The mining sector remains one of Tanzania’s leading foreign exchange earners.

Gold continues to dominate mineral exports, while the government is also promoting investment in strategic minerals and new mining projects to support its long-term economic growth agenda.

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