Dug too deep: untangling the policy terrain of the minerals commodity sector in Tanzania

Mjimba, Vuyo (2011). Dug too deep: untangling the policy terrain of the minerals commodity sector in Tanzania. In: Rethinking Development in an Age of Scarcity and Uncertainty, 19-22 Sep 2011, York.

Abstract

This paper aims to present empirical based analysis of the mineral policy terrain in Tanzania and its consequences on efforts of integrating the mineral sector into the country’s national economy. The paper shows that large-scale mineral exploitation projects in an economical liberalised Tanzania have not produced the envisaged economic development outcomes. The projects remain minimally integrated into the local economy mostly drawing low cost supplies instead of leading to the development of globally competitive high cost supplies. The study concludes that this outcome arises from suboptimal and ineffective policy regimes that gridlock the development of supplier capabilities. These policy regimes largely originate from external sources rather than from within Tanzania.

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