Artisanal iron ore mining in the Kigezi region is improving the livelihoods of hundreds of local residents involved in the trade, while local governments are also benefiting from royalties paid by mining companies.
The growing trade has created jobs for miners, machine operators, truck drivers and other people involved in the iron ore value chain.
Mr Edison Kabahena Ngoma-Ngime, the vice chairperson of the Kigezi Iron Ore Artisanal Miners Association, said about 2,000 people were earning a living from the trade.
‘Local people who are involved in iron ore gathering and mining sell one tonne of iron ore to investors who own iron ore crushing machines for between Shs30,000 and Shs50,000, depending on the quality,’ Mr Ngoma-Ngime said.
He said the income had enabled families involved in the trade to meet household needs, including paying school fees, buying scholastic materials and purchasing essential household items.
Another iron ore dealer in the region, Mr Jackson Muhumuza, said the establishment of about 10 iron ore crushing facilities had boosted the local trade by providing a ready market for miners. He added that the facilities had also created employment opportunities for machine operators and truck drivers.
Districts cash in
Kabale District LC5 Chairperson Denis Nzeirwe Ndyomugyenyi said the district had collected about Shs290 million in royalties from mining companies during the first quarter of the financial year.
He attributed the revenue collection to a strategy under which the district requires mining companies to sign memoranda of understanding with the local government.
‘We shall not allow any mining company to operate in our district unless it has signed a memorandum of understanding with the district administration showing the terms and obligations of each entity,’ Mr Ndyomugyenyi said.
He said the district was also requiring mining companies to install weighbridges to establish the volume of minerals extracted and facilitate accurate assessment of royalties.
‘We are also demanding that every company carrying out mining activities must have a weighbridge so that we can demand royalties from the line ministry after knowing how many tonnes of minerals have been mined from our district,’ he said.
Pollution concerns
While some residents are benefiting from the growing iron ore trade, authorities have raised concerns about its environmental impact.
Kabale Resident District Commissioner Maj Godfrey Katamba said the district security committee would not tolerate mining and iron ore crushing companies that fail to control air and water pollution in communities where they operate.
‘After receiving several concerns about air and water pollution from community members where iron ore mining and crushing activities are taking place, I have issued warning letters and companies that fail to put in place dust arresters shall risk being closed,’ Maj Katamba said.
However, some operators say they have adopted measures to minimise their environmental footprint.
Mr Brian Munanura, the deputy general manager of Sino Minerals, which operates an iron ore crushing facility in Buhara Sub-county, Kabale District, said the plant uses wet-crushing technology to minimise dust emissions.
‘At our facility, we use wet crushers that are dust-free and the water used in the process is collected in an established pond and recycled and reused in subsequent crushing processes. We observe social and environmental safeguards to avoid pollution of any nature,’ Mr Munanura said.
Government calls for responsible mining
The environmental concerns are not new. During a consultative meeting with artisanal miners from the Kigezi region in June 2024, State Minister for Mineral Development Phiona Nyamutoro urged miners to observe environmental, health and safety standards as they carry out their activities.
The minister said structural challenges facing artisanal and small-scale miners, including inadequate regulation, nomadic operations, limited geological information, poor market access, environmental degradation and inadequate technical and financial capacity, needed to be addressed by all stakeholders. She added that addressing the challenges would enable artisanal and small-scale miners to contribute more effectively to Uganda’s social and economic development.