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Copper tipped to rival gold as driver of Tanzania’s growth
Copper is fast emerging as Tanzania’s next major mining opportunity. PHOTO | FILE
What you need to know:
- Copper is fast emerging as Tanzania’s next major mining opportunity
Dar es Salaam. Copper is fast emerging as Tanzania’s next major mining opportunity, with rising global prices and demand positioning the mineral as a strategic resource capable of rivalling gold in fuelling the country’s economic transformation.
Despite its growing potential, experts say Tanzania has historically focused more on gold due to its higher global price. However, with copper’s critical role in electrical manufacturing and renewable energy, calls are growing for the government to recalibrate its mining priorities.
Specialists in mining and logistics are now urging investment in the full copper value chain and the creation of an enabling environment to attract more investors.
According to the Tanzania Mining Commission, the government has already introduced several measures to boost production in response to global demand. These include reforms to formalise and support artisanal and small-scale miners, who continue to face operational challenges.
During a recent visit to inspect the construction of a copper value addition facility in Mbugani Ward, Chunya District, Mbeya Region, Minerals minister Anthony Mavunde emphasised the importance of strict adherence to laws and regulations mandating local processing before export.
He said while locally mined copper currently has only between 0.5 and 2 percent purity, the new plant, owned by Mineral Access System Tanzania (MAST), will process the mineral to over 70 percent purity—marking a significant step forward for the sector.
“It is in the government’s interest to ensure value addition occurs within Tanzania. This will enable us to extract greater economic benefits from our natural resources,” Mr Mavunde said.
He praised MAST’s operational model, which involves supporting small-scale miners through training, financing and the purchase of low-grade copper—a move he described as commendable.
Leading miners may have fathomed the changes and that is probably why Barrick Gold Corp is proposing to change its name to Barrick Mining Corp. — dropping “gold” from the title — signalling that Canadian mining company is pulling away from its storied bullion roots.
Barrick is investing $6 billion to build a giant copper mine in Pakistan, which it aims to start up in 2028 and could operate for at least four decades. It’s also expanding a Zambian copper mine that could make it one of the largest in the world.
Barrick chief executive Mark Bristow has talked for years about expanding in copper and even weighed takeovers of copper producers Freeport-McMoRan Inc. and First Quantum Minerals Ltd. that never came to pass.
Data from the World Bank’s commodity price database shows that copper prices have surged by 88 percent in five years, rising from $5,182.63 per metric tonne in March 2020 to $9,739.68 in March 2025. This price trajectory has reshaped the global minerals landscape and experts warn that Tanzania must act swiftly to capitalise on this momentum.
Figures from the Tanzania Mining Commission reveal that national copper production more than doubled between 2020 and 2025—from 21,154.64 metric tonnes to 44,690.56 metric tonnes. Over the same period, exports increased from 13,405.03 tonnes worth Sh252.5 billion to 27,528.46 tonnes worth Sh533.9 billion.
Speaking to The Citizen, Ms Annasia Kwayu from the Commission’s Financial Audit, Tax Review and Local Content Section said the industry is witnessing growth across exploration, processing and mining, particularly among small to medium-scale operators.
She noted that copper output could rise to 205,713.88 metric tonnes by 2030, assuming an average annual growth rate of 15.08 percent.
“This growth hinges on sustained investment in processing facilities and supportive infrastructure for value-added production.”
Infrastructure is indeed playing a central role. The Julius Nyerere Hydropower Project (JNHPP), completed in April 2025, now generates 2,115 megawatts and serves as a key power source for mining activities.
Simultaneously, construction of the standard gauge railway (SGR), linking Dar es Salaam to Mwanza and Kigoma—with future extensions into Burundi—is expected to improve mineral transportation efficiency.
ASNL Advisory Limited mining expert Humphrey Simba said the time has come for copper to receive the attention it deserves.
“It’s high time the government prioritised copper. It is essential in producing electrical wires and in high demand from global electrical equipment manufacturers. Copper is now a game-changer,” he said.
Echoing his sentiments, Sas Logistics Limited chief commercial officer Alex Lugendo highlighted surging global demand—particularly from China and South Korea—and called for a strategic national response.
“There is a real opportunity in copper mining. We must engage stakeholders, simplify cross-border procedures, resolve legal challenges and support logistics if we are to seize this moment,” he said.
Mr Lugendo also pointed to port infrastructure upgrades in Dar es Salaam, Tanga and Mtwara that are improving cargo flows. “Our company ships chemicals to the DRC and returns with copper cargo. This signals expanding regional trade.”
Meanwhile, geologist and former minerals commissioner Dalaly Kafumu underscored the importance of building a robust copper value chain and developing local industries.
“We have a cable manufacturing plant that currently imports copper. If we process it domestically, we reduce the need to import and cut costs. Reviewing mining laws to attract investors is essential now that copper is a high-demand strategic mineral,” he said.
Dr Kafumu also noted that while gold is often exported in raw form, value addition in copper could significantly transform the mining industry and enhance its contribution to national development.
