COAL TO DRIVE INDUSTRIAL DEVELOPMENT IN TANZANIA





▪️ Minister Mavunde listens to and addresses stakeholders’ challenges

▪️ Coal stakeholders commend the government for its engagement

▪️ Pledge to increase production to boost national revenue

▪️ Steel plant to be built in Dodoma, set to use 20,000 tons of coal annually

📍Dodoma

The Minister of Minerals, Anthony Mavunde, has stated that coal plays a strategic role in accelerating Tanzania’s economic transformation toward an industrial economy. He noted that coal is not only a source of energy but also a key driver in adding value to minerals and other industrial raw materials.

He explained that through proper utilization of coal, the country can reduce dependence on imported goods, increase local production, and strengthen value chains across sectors including energy, industry, and mining.

Speaking on March 30, 2026, during a meeting with coal stakeholders held at the Mining Commission Hall in Dodoma, Mavunde emphasized that the government will continue to listen to and resolve stakeholders’ challenges to ensure the sector grows efficiently and rapidly.

“Coal is a key pillar in industrial development. We need to increase production and ensure its use adds value within the country,” said Mavunde.

During the meeting, the minister received various concerns from miners and traders, including high production and transportation costs, as well as market access challenges. He assured stakeholders that the government will work on these issues to improve the business and investment environment.

He also stressed that the establishment of indicative pricing will involve all stakeholders to safeguard the interests of the sector.

Coal stakeholders praised the government’s efforts, noting that inclusive dialogue has increased trust and transparency in the sector. They also pledged to boost coal production to meet domestic demand and increase national revenue through the mining sector.

To strengthen coordination and unity within the sector, Mavunde encouraged stakeholders to form an association that will bring them together, making it easier to address challenges collectively and efficiently.

As part of efforts to strengthen local industries, Mavunde revealed that A1 Steels Tanzania Ltd plans to construct a steel manufacturing plant in Dodoma. The plant is expected to consume approximately 20,000 tons of coal per year, a move that will increase demand for the resource and create more opportunities for local producers.

The project is anticipated to create jobs, add value to minerals, and enhance the contribution of the industrial sector to the national economy.

The meeting demonstrated the government’s commitment to making the coal sub-sector a key driver of industrial development in Tanzania, with continued collaboration between the government and stakeholders remaining a crucial pillar for success.

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