Business

BoT ready to buy minerals from domestic dealers-govt


DODOMA: THE government, through the Bank of Tanzania (BoT), is willing to purchase minerals from domestic mineral dealers at the current rate price in the international market so as to boost foreign exchange earnings in the country.

Minister for Minerals, Mr Anthony Mavunde, made the statement in Dodoma on Thursday in a meeting with mining stakeholders, noting that the move is intended to improve the financial flow in the economy and give dealers a wider chance to make profits.

The stakeholders, included miners, mineral refiners, mineral traders, the Ministry’s institution executives, the Ministry of Finance, and BOT.

The aim of the meeting was to look at how mining stakeholders can be empowered in refining, and trade, especially in the area of enabling them to get loans, do business in the country, and get profit while the government gets taxes and increases foreign currencies.

Explaining  on strategies to empower mining stakeholders in the country, Mr Mavunde said that previously, the Ministry  sat with financial institutions to provide education on the best way to empower mining stakeholders through loans and emphasized that other strategies have continued to be put in place, including empowering small  scale miners by providing them with mining sites and resources.

“The issue of mineral dealers to have special agreements to sell their minerals overseas due to unreliable funding has been one of the major challenges.”

“Thus, in order to empower them, the sixth phase government has devised a plan that involves selling minerals domestically at a price that corresponds to the global market. So, you have to seize this chance in order to increase your earnings, and the mining industry will continue to play a significant role in the import of foreign exchange,” he remarked.

He also explained the advantages of minerals being sold to BOT, saying  there will be a rise in foreign exchange and money circulation in the nation concurrent with traders selling their minerals at the international market price and earning the profit.

In line with that, he emphasized that the Ministry, in partnership with other institutions, will keep on training miners and mineral dealers so that their operations are profitable and contribute to the 2030 Vision of the Ministry, dubbed “Life and Wealth.”

He added that the government would keep supplying small-scale miners with tools, particularly rock-cutting machines, noting that the government plans to import 15 rock-cutting and carving machines by June next year.

He has also underlined that in order to boost output and enable the government to collect more taxes, the Ministry, in collaboration with the Ministry of Energy, has put policies in place to guarantee that reliable energy is available in all areas with mining activities.

Similarly, Minister Mavunde has urged all holders of mining licenses to develop their territories in accordance with the Mining Act and Regulations.

Emphasizing that failure to do so will result in action being taken against the non-developers, including the issuance of default notice, license suspension, and eventually, the transfer of their licenses entitlement to other parties who are interested in developing the areas.



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