Bagamoyo. Minerals Minister Anthony Mavunde has urged Tanzanians to pool financial resources and business expertise to tap into the mining sector’s Sh5.1 trillion procurement market, warning that local companies risk missing out on lucrative opportunities if they fail to strengthen their participation in the supply chain.
Mr Mavunde said a significant share of business opportunities in the sector was reportedly concentrated among no more than six companies, calling for more Tanzanian firms to enter the market and supply goods and services to mining operations.
He made the remarks on Saturday, October 17, during the inauguration of a wire mesh manufacturing plant established by Geofields Tanzania Limited in Kerege, Bagamoyo District, Pwani Region.
The plant, which has an annual production capacity of more than 100,000 panels, is expected to strengthen domestic manufacturing and reduce reliance on imported mining equipment.
Mr Mavunde said the Government was committed to creating a conducive business environment that would enable local manufacturers to meet the needs of mining companies and compete in regional and international markets. He added that expanding domestic production would help increase Tanzanian companies’ participation in the mining value chain while creating jobs and building technical expertise.
The investment operates under Geofields Underground Support (GUS), a division specialising in ground-support products used in underground mining operations.
Geofields founder and director Denis Dillip said the factory had the capacity to meet the needs of mining operations across Tanzania, with plans to expand production and strengthen the company’s regional presence.
He said the company had already established a branch in the Democratic Republic of Congo as part of its expansion strategy. Mr Dillip said the company had invested in modern manufacturing technology and technical expertise to ensure its products met international quality and safety standards, particularly those required to protect workers in underground mines.
The company has also engaged specialists trained in Australia and China to strengthen technical capabilities, facilitate technology transfer and improve production efficiency.
Mr Dillip credited the Government’s Local Content policies, implemented through the Ministry of Minerals and the Mining Commission, with encouraging investment and expanding the participation of Tanzanian companies in the mining sector.
He cited partnerships with African Underground Mining Services (AUMS) and its Australian partners, Perenti and Barminco, as well as collaboration with Geita Gold Mine, which he described as a major customer and strategic partner.
Geofields currently employs 105 people and plans to create additional jobs as production expands. The investment is also expected to develop specialised technical skills and generate further business opportunities for Tanzanians.
Coast Regional Commissioner Stanislaus Nyongo said the region had 1,768 large and small industries, adding that the new facility would further strengthen its industrial base.
Chairperson of the Parliamentary Standing Committee on Energy and Minerals, Ms Subira Mgalu, urged the company to prioritise residents of Kerege when recruiting workers.
Mining Commission chairperson Janeth Reuben Lekashingo said the sector’s success should be measured not only by mineral production but also by the growth of local companies, employment creation, technology transfer and the establishment of domestic industries.
She said these indicators were essential to ensuring that mineral resources contributed to sustainable industrial development and broader economic growth.