Chamber of minerals and energy supported ban since it was in line with industrialisation strategy spearheaded by the government.
It urged the government to conduct a feasibility study on viability of and preferred practical mechanism to develop smelting capability in the country.
Following the ban, Acacia Mining said its revenues are expected to fall.
The Tanzania Chamber of Energy and Minerals (TCEM) said Wednesday that the government’s ban on gold and copper concentrate exports is good, but noted that it should have been conducted in phases.
TCEM Executive Secretary Gerald Mturi told The Citizen that the chamber fully supported the ban since it was in line with the industrialisation strategy spearheaded by the government.
“The ban is in line with the industrialisation strategy….TCME fully supports that vision and will continue to engage the government in seeking dialogue considering the fact that this is a process that requires a phased approach with consultation and involvement of industry stakeholders.”
Mr Mturi added that any decision should consider the fact that smelting and mining are two different activities, and urged the government to conduct a feasibility study on viability of and preferred practical mechanism to develop smelting capability in the country.
Maximising value
The study should also consider the viability of attracting investment for such an activity (smelting) in Tanzania, noting that the government’s ban had the good intention of ensuring Tanzania fully benefits from minerals extracted in the country through maximising value, creating employment and increasing government revenue.
“The TCME is committed to continue working with the government on these and other issues that affect the mining industry,” Mr Mturi said.
Responding to the proposal, the Commissioner of Minerals in the Ministry of Energy and Minerals, Mr Ally Samaje, said industry players had not yet forwarded any suggestion on how they think the issue should be handled.
He added that there was also no request for the deadline on the ban to be extended.
“We haven’t received any suggestion on the deadline extension. However, the doors are open for their suggestions. We will consider them accordingly,” Mr Samaje told The Citizen.
He said the government was ready to work with stakeholders to put in place mechanisms that would be in favour of all parties.
“There is no problem on that as long as they have suggestions and, as the government, it is our duty to work on them for the betterment of the industry.”
Fall in revenues
Meanwhile, Acacia Mining said Wednesday that its revenues are expected to fall following the government’s ban on exports of concentrates.
Acacia Public Relations Manager Nector Foya told The Citizen in an email that the March 3 ban would affect its Bulyanhulu and Buzwagi mines.
“At this stage, we are continuing to operate our mines in the same way we were before the announcement from the Ministry of Energy and Minerals, but we don’t export the concentrates,” she said.
Ms Foya added that they were trying to engage the government in an attempt to resolve the matter and at the same time keep the ongoing operation of the mines under close review.
Acacia, formerly known as African Barrick Gold, is the largest gold mining company in Tanzania, owning North Mara, Bulyanhulu and Buzwagi mines.
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