Tanzanian President Fast-tracks Liganga Mining Project for Economic Boost

By Adonis Byemelwa

Tanzanian President Samia Suluhu Hassan has directed the Ministry of Industry and Trade, along with the Ministry of Planning and Investment, to expedite the acquisition process for a company that will facilitate the launch of the Liganga and Mchuchuma project.

This project, situated in the Ludewa district of the Njombe region, aims to provide essential raw materials for Saturn Corporation Limited's large vehicle assembly plant in Kigamboni, Dar es Salaam, and other industries.

During the inauguration of a plant today, President Samia emphasized the significance of utilizing local raw materials in car manufacturing, highlighting the importance of resources like glass and steel.

As a step towards this, she revealed that a glass factory in Mkuranga, Pwani region, has been authorized to utilize raw materials from Engaruka in the Manyara region, known for its soda ash deposits.

President Samia's directive comes amidst growing pressure from stakeholders to kickstart the project, given its anticipated benefits. The government has already disbursed TZS 15.4 billion for compensating 1,142 individuals and institutions to facilitate the project.

Studies conducted in 2013 indicate significant reserves in the Liganga and Mchuchuma area, with over 428 million tons of coal and more than 126 million tons of iron ore. These resources are projected to sustain mining operations for over 140 years for coal and 58 years for iron ore.

The Liganga and Mchuchuma project is considered strategically important for Tanzania's development agenda, as emphasized by various stakeholders and politicians, including Zitto Kabwe.

In related remarks, President Samia urged Tanzanians and companies to capitalize on opportunities in raw material production for other industries. She stressed the potential for local beneficiation, particularly in automotive parts manufacturing, to reduce import reliance and stimulate industrial growth and employment.

She called for value chain integration to enhance collaboration among industries, creating a symbiotic relationship where one industry's output supports another's needs.

The Mchuchuma iron mine and Liganga project, located in the Ludewa district of the Njombe region, hold substantial reserves of iron ore and coal. With over 126 million tons of iron ore, the Mchuchuma mine is poised to fuel domestic steel production, supporting various downstream industries and infrastructure projects.

Liganga's vast coal deposits, exceeding 428 million tons, promise to serve as a vital energy source for industrial processes and electricity generation, positioning Tanzania as a regional player in the energy sector.

The Mchuchuma and Liganga project is poised to drive Tanzania's economic growth, industrial development, and job creation, making it a cornerstone of the nation's strategic initiatives.