It is an undeniable fact today that mining is one of those sectors that have immensely contributed to the country’s economic growth.

Despite its infancy, the sector today contributes nearly three per cent to the national wealth (GDP) and in 2007, accounted for more than 42 per cent in total exports.

In 2008, the government earned $102.5 million in taxes and revenues, rising from a mere $1.82 million in 1997. A recent study indicates that the revenue from only three big gold mines in the country will rise to a peak of over $280 million by 2017. But crucially, the industry employs an estimated 13,000 people and represents the largest inflow of Tanzania’s total foreign direct investment (FDI).

However, all is not rosy in the sector. The sad plight facing small-scale and artisanal miners, thousands of whom derive their livelihood from mining, remains the biggest challenge towards attaining the fullest potential of the sector or derail its successes.

A win-win relation between large investors and the thousands of small-scale and artisanal miners is therefore vital for tranquility and sustainability. In the past, ruthless eviction of the latter to pave the way for the bigger miners created conflicts, costing innocent lives and worsening the business environment!

For long, one of the governance weaknesses in mining was how to address the needs of the small-scale miners and make them thrive alongside the big investors. Lack of financial resources, expertise and education on health and environmental issues around mining are some of the factors that they grappled with.

But now there could be hope that the long journey towards lifting the lives of an estimated 1 million miners is on. The launch, on Wednesday, of a Sh650 million government-backed plan to equip some 6000 small-scale miners is a most welcome intervention.

However, this should only be a beginning. The Sh1.2 billion set aside in the budget to train and equip the local miners is not enough considering the herculean challenges. Other initiatives like Africa Barrick Gold (ABG)’s $2 million fund to develop the North Mara small-scale mining industry will go a long way to turning around the fortunes of the entire industry.

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