Tanzania
has called on east African countries to harmonise mining policies and
legal frameworks to curb smuggling of tanzanite and other precious
stones in the region.
Speaking at a three-day seminar, which brought on board experts and stakeholders in mining sectors in Africa, Acting commissioner for minerals Eng Ally Samaje said smuggling of minerals is on the rise, negatively impacting on Tanzania’s projected tax collections in the sector.
Eng Ally Samaje
He said mining policies and laws differ from one country to another, citing: “In our country we have royalty tax, but in Kenya, such tax is not there, making some unscrupulous traders use the loophole to smuggle minerals to Kenya from where they export them.”
“If we have similar policies and regulations, there is a possibility for east Africans to benefit more from the mining sector.”
Samaje disclosed that harmonisation of mining policies and legal framework would enhance regional integration and make East African people benefit more out of their natural resources.
It is estimated that Tanzania loses an average of 3 kilos of tanzanite through smuggling daily.
According to Samaje, an average of 4 kilos of tanzanite are mined daily, but only 1kilo is taxed in Tanzania.
“That’s why we have started talking with our colleagues in Kenya on the need for them to amend their laws and policies for a win-win situation as they would also benefit from levying royalty taxes as we do here. We are thankful that they have started working on the matter and very soon they will amend their laws and policies.”
He also stressed the need for countries in the region to have smart policies and regulation so that east African people benefit from the extractive industry.
Amani Mustapha from an Arusha-based Civil Society Organisation — Haki-Madini, said more has to be done in the mining sector across the region.
“We haven’t yet tapped potentials available in the sector. What we collect as taxes is still small…more needs to be done to boost tax collections,” he said, suggesting the need for Tanzania to carry out inventory to know the exact amount of minerals available in the country.
“This will enable the government to plan.”
Earlier, Principal of the MS Training Center for Development Cooperation (MS-TCDC), Dr Suma Kaare said Africa is endowed with a wide range of minerals, but these have not relieved people from poverty.
She said although governments have attempted to cope with the new developments in the extractive industry, more has to be done so that the sector brings impact to as many people as possible.
Dr Saare suggested the need for the mining sector to be transparent, inclusive and people-centered.
The seminar brought on board prominent scholars in the sector, politicians representing the interests of communities interested in the extractive sector, community representatives, and policy makers, CSO practitioners working in the sector, donors, and students.
Speaking at a three-day seminar, which brought on board experts and stakeholders in mining sectors in Africa, Acting commissioner for minerals Eng Ally Samaje said smuggling of minerals is on the rise, negatively impacting on Tanzania’s projected tax collections in the sector.
Eng Ally SamajeHe said mining policies and laws differ from one country to another, citing: “In our country we have royalty tax, but in Kenya, such tax is not there, making some unscrupulous traders use the loophole to smuggle minerals to Kenya from where they export them.”
“If we have similar policies and regulations, there is a possibility for east Africans to benefit more from the mining sector.”
Samaje disclosed that harmonisation of mining policies and legal framework would enhance regional integration and make East African people benefit more out of their natural resources.
It is estimated that Tanzania loses an average of 3 kilos of tanzanite through smuggling daily.
According to Samaje, an average of 4 kilos of tanzanite are mined daily, but only 1kilo is taxed in Tanzania.
“That’s why we have started talking with our colleagues in Kenya on the need for them to amend their laws and policies for a win-win situation as they would also benefit from levying royalty taxes as we do here. We are thankful that they have started working on the matter and very soon they will amend their laws and policies.”
He also stressed the need for countries in the region to have smart policies and regulation so that east African people benefit from the extractive industry.
Amani Mustapha from an Arusha-based Civil Society Organisation — Haki-Madini, said more has to be done in the mining sector across the region.
“We haven’t yet tapped potentials available in the sector. What we collect as taxes is still small…more needs to be done to boost tax collections,” he said, suggesting the need for Tanzania to carry out inventory to know the exact amount of minerals available in the country.
“This will enable the government to plan.”
Earlier, Principal of the MS Training Center for Development Cooperation (MS-TCDC), Dr Suma Kaare said Africa is endowed with a wide range of minerals, but these have not relieved people from poverty.
She said although governments have attempted to cope with the new developments in the extractive industry, more has to be done so that the sector brings impact to as many people as possible.
Dr Saare suggested the need for the mining sector to be transparent, inclusive and people-centered.
The seminar brought on board prominent scholars in the sector, politicians representing the interests of communities interested in the extractive sector, community representatives, and policy makers, CSO practitioners working in the sector, donors, and students.
SOURCE:
THE GUARDIAN
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