Amidst on how mining sector in Tanzania could be an egg basket for country's sources of revenue, last week, for three days, mining sector in Tanzania accomplished a milestone provided by dialogue on how best mining sector in Tanzania could be brought into its full potential.
Amongst stories that emerged during the discussion were challenges architects in the sector are facing and how these challenges could be talked to discussion on how Tanzania could continue to maintain its position in a list of top five producer of gold in Africa, discussion that in my view reaffirmed the future of gold industry in Tanzania is paying off, thanks to management and supervision of the sector imposed by the government.
While increased revenue collection from the sector year by year seem to have increased for example from 270bn/- in the financial year 2015/16 to 258bn/- in 2019/2020 and there are expectation that for year 2020/21 collection might reach 526bn/ with an average of 43.89bn per month, in my opinion this collection isn't enough.
It isn't enough in my opinion as Tanzania is blessed with other minerals that to be viewed as strategic mineral at the same time for security mineral.
Allude to discussion laboured in the conference, the Ministry of mineral in this financial year is likely to exceed collection target based on collection trend that could be described by effective controlling of mineral sector that is starting to bring positive returns in government collections.
While I do welcome news on increase in revenue collection and reassurance that the recent review of laws and regulations were meant to create a win-win situation between investors and the country, I would like to call upon Tanzanian government to start thinking strategically to capitalize and position to take lead on emerging electric vehicle demand jump.
Tanzania has been best known for its gold production in 2020 being at its peak amongst African gold producing nations. It is also rich in other industrial and technological minerals for instance, rare earth metal such as praseodymium (Pr) neodymium (Nd) that are essential element in energy technology in evolving electrified world. Nickel similar to graphite is a key ingredient for electric car vehicles.
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