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Tanzania seeks govt shareholding in new mines law
Tue Aug 11, 2009
* New law due in parliament in late 2009
* Government to determine what it deems a strategic mineral
* Law to compel firms to procure goods and services locally
By George Obulutsa
DAR ES SALAAM, Aug 11 (Reuters)
Tanzania plans to include a clause in its new mining law allowing the government to own shares in firms extracting what it considers strategic minerals, its energy and minerals minister said on Tuesday.
The mining sector is Tanzania's second largest foreign exchange earner after tourism, having earned $1.08 billion in 2008, up from $983 million a year before.
The east African nation is due to revise the mining law passed in 1998, later this year. The law will also compel mining firms to buy goods and services locally when they are available.
Critics have long complained that benefits from the lucrative sector were not benefiting the common citizen.
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