Overview
Tanzania’s mining sector contributes 7-8% of GDP and is projected to contribute 10% of GDP by 2030. The country aims to become a strategic global supplier of critical minerals; it boasts high-quality deposits of gold, diamonds, nickel, graphite, cobalt, lithium copper, helium, and rare earth elements. The country is believed to possess some of the world’s most significant untapped critical mineral reserves.
The Government of Tanzania (GoT) is prioritizing downstream processing and industrialization, creating a window for U.S. commercial engagement and for U.S. government programs that promote secure, transparent, and diversified critical mineral supply chains.
The Tanzanian mining industry has attracted strong international investor interest. Despite the government’s stated availability of investment incentives, this sector is highly complex with significant challenges in the regulatory, policy and tax realms. Mining regulations require local content, government equity participation, and value addition.
Sub-sector Best Prospects
The mining sector depends on imported machinery and supplies. There are significant opportunities for the export of U.S. technology, machinery, and services.
Opportunities
- Supply of equipment and explosives, grinding media, mill liners, etc.
- Establishment of value-added activities
- Mineral processing industry e.g. smelters
- Mineral exploration and mapping
- Drilling
- Off-grid power solutions
The major pieces of legislation governing the industry today can be found through the Tanzania Chambers of Mines.