Tanzania raises royalty fee on gold exports
SUNDAY, 28 AUGUST 2011 19:07 DOREEN DAVID
DAR ES SALAAM, TANZANIA- The third largest gold producer in Africa, Tanzania, has attracted significant investment in the mining sector over the past decade and it is planning to conclude negotiations with mining companies next month to allow the government to raise royalty payments on gold exports from three percent on net income to four percent of gross export value.
According to the Minister for Energy and Minerals, Mr William Ngeleja, the need for negotiations to raise is due to the fact that for the last five years, Tanzania's annual gold exports have tripled to US$1.5 billion due to the increase in the price of gold, but Government revenues have remained at around $100 million a year.
"We drafted a new (mining) policy in 2009 and enacted a new mining Act last year, among other things, to address the shortfalls identified in the past. We have now decided that the Government shall own a stake in all future mines," Minister Ngeleja added.
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Very sad indeed. As long as CCM is in power Tanzania will continue to be exploited.From 3% to 4%. Therefore out of every dollar we get only 3cents!
I'm afraid if oil is discovered in Mtwara Tanzania will get only 0.05% while Nigeria and the oil rich kingdoms like Saudia and Kuwait demand 40-45%
This is so sad!
<br />From 3% to 4%. Therefore out of every dollar we get only 3cents!<br />
I'm afraid if oil is discovered in Mtwara Tanzania will get only 0.05% while Nigeria and the oil rich kingdoms like Saudia and Kuwait demand 40-45%<br />
This is so sad!
Sasa increment ya 1%jamani nkadhani labda kumi.
Watu wanavuna$ 1.5 billion nasi twaambulia $100 million ivi mgodi uko kwao uko kwetu?
From 3% to 4%. Therefore out of every dollar we get only 3cents!
I'm afraid if oil is discovered in Mtwara Tanzania will get only 0.05% while Nigeria and the oil rich kingdoms like Saudia and Kuwait demand 40-45%
This is so sad!
We can recover some of % in royalties through tax, consumer spending and investments in other sector. Unfortunately we are getting paid only 3% and yet these companies are listed in Canada and LSE, their staff are getting paid in US dollar or Euros. Notwithstanding they are also offered a tax exemption We are doomed kwa kweli.