Tanzania, located in East Africa, is known for its wildlife and natural resources. About 43.7% of its land is protected and includes places like the Serengeti and Kilimanjaro National Parks.
The country has minerals like gold, diamonds, coal, and tanzanite. In 2015, gold made $1.3 billion and was 90% of mineral exports.
Tanzania also has 45 billion m³ of natural gas, mainly in Songo Songo and Mnazi Bay. Its hydropower capacity is 562 MW, with plans to reach 4.7 GW. Farming and fishing make up 30% of the GDP, and tourism from wildlife adds over 13%.
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Tanzania’s Natural Resources And Their Locations
Here are some of the natural resources that have been discovered in Tanzania, including their locations:
Natural Resources | Locations |
---|---|
Gold | Lake Victoria region (Geita, Mwanza, Shinyanga) |
Diamonds | Mwadui mine in Shinyanga region |
Natural Gas | Songo Songo (Lindi), Mnazi Bay (Mtwara), Mkuranga (Coast Region) |
Graphite | Merelani Hills near Arusha |
Coal | Kiwira and Ngaka coalfields in the Mbeya region |
Uranium | Mkuju River project in Ruvuma region |
Rare Earth Elements | Ngualla in Mbeya region |
Forests | Magombera Nature Reserve, Amani, Kilombero, Uluguru NFRs |
Wildlife | Serengeti National Park, Kilimanjaro National Park |
Hydropower | Rumakali and Rhuhudji projects in Njombe region |
Arable Land | Morogoro, Dodoma, and Iringa regions |
Fish | Indian Ocean coastline and inland lakes like Lake Victoria |
Tanzania’s Natural Resource Discoveries
Tanzania is well known for its archaeological sites like Olduvai Gorge, often called the “Cradle of Mankind.” Fossils of early humans, such as Paranthropus boisei and Australopithecus afarensis, dating back millions of years, were found there.
Around 10,000 years ago, the region was home to hunter-gatherers. With time, Cushitic and Bantu-speaking groups settled, bringing farming and ironworking.
In the late 1800s, Germany colonized Tanzania and used its resources, especially sisal, which became important after 1892.
Railways helped expand coffee farms around Mount Kilimanjaro. In the early 1900s, coal was discovered in Mbeya, leading to the Kiwira coalfield.
By the 1950s and 60s, gold was found around Lake Victoria in Geita and Mwanza. This area is now a major gold hub. In the 70s and 80s, the Mwadui diamond mine in Shinyanga began operating to boost gemstone exports.
In the 1990s and 2000s, natural gas was discovered in Songo Songo and Mnazi Bay, with reserves estimated at 45 billion cubic meters.
Later, graphite was found in the Merelani Hills near Arusha, and rare earth minerals were discovered in the Ngualla area of Mbeya. In the 2010s, large offshore natural gas reserves were found in the Ruvuma Basin, especially near Mtwara.
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Viability Of Tanzania’s Natural Resources
Gold mining is one of Tanzania’s most profitable sectors and a major source of foreign exchange. In 2020, gold exports reached $2.9 billion. The Lake Victoria region, especially Geita and Mwanza, is the main center for gold mining.
Although regulatory issues and disputes with companies sometimes affect operations, global demand keeps the sector viable.
Tanzania has 55 trillion cubic feet of proven natural gas. Songo Songo and Mnazi Bay are key sites for domestic use and exports.
Natural gas helps reduce dependence on biomass, used by 90% of households. However, better infrastructure, like pipelines and processing plants, is needed.
Rare earth elements in Ngualla, Mbeya, are essential for modern tech, clean energy, and electronics. Tanzania’s deposits are among Africa’s best, but extraction still depends on advanced tools and facilities.
Tanzania has large graphite reserves, mainly in the Merelani Hills near Arusha. Graphite is key for batteries in electric cars and renewable energy systems.
The country ranks fifth globally in graphite reserves, though global competition from China could affect its position. Coal reserves stand at 1.6 billion tonnes, with 304 million tonnes confirmed. The Kiwira coalfield supports local energy production.
Still, the change to cleaner energy may lower long-term demand. Uranium at the Mkuju River project in Ruvuma can support nuclear energy and diversify exports. But safety concerns and changing global demand make its future uncertain.
The Mwadui diamond mine in Shinyanga has operated since colonial times and remains important, though global price swings and competition affect profits.
Tanzania’s 48.1 million hectares of forest and its wildlife generate over 13% of its GDP through tourism. But deforestation threatens this.
Regions like Morogoro and Dodoma support farming, which makes up 30% of GDP. Climate and water issues challenge this sector. Lakes and coastal waters offer fish that support livelihoods and food security.
Export Potential Of Tanzania’s Natural Resources
Natural Resources | Export Value | Primary Export Market |
---|---|---|
Gold | $3,369.7 million | India, Switzerland, China |
Cashew Nuts | $240 million | India, Vietnam, China |
Coffee | $120 million | Europe, USA |
Tobacco | $161.8 million | Europe, Asia |
1. Mineral Exports
Gold is Tanzania’s top mineral export. In 2024, gold exports were valued at around $3.37 billion, 36.8% of the country’s total goods exports.
Other minerals, including copper ores and concentrates, also added significant value to the mining sector, though not at the same scale as gold.
2. Agricultural Exports
Cashew nuts are a key agricultural export. In 2024, exports reached $240 million, driven by rising demand from countries like India and Vietnam. Coffee exports were valued at $120 million in 2024, and tobacco exports stood at $161.8 million.
These crops are long-standing contributors to the country’s export earnings. They continue to be in demand in global markets and are important for the income of rural farming communities.
3. Energy Exports
Tanzania has large reserves of natural gas. However, the country is still building the infrastructure needed for full-scale exports.
Liquefied natural gas (LNG) is expected to be a major export product in the future once this development is complete.
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Economic Impact Of Tanzania’s Natural Resources
Natural Resources | Contribution To GDP | Empolyment | Foreign Exchange Earnings |
---|---|---|---|
Agriculture & Fishing | 30% | 70% of workforce | $1.2 billion |
Mining (Gold, Diamonds) | 5% | 10,000+ jobs | $3.37 billion |
Tourism (Wildlife) | 13% | 200,000+ jobs | $1.88 billion |
Forestry | 1% | Informal sector | $50 million |
1. Contribution To GDP
Tanzania’s natural resources have a strong impact on the country’s GDP. Agriculture, which includes fishing, contributes about 30% of the total GDP.
Wildlife tourism is another key area, contributing over 13%. In recent years, the mining industry has also grown in importance.
Gold is the top mineral, helping the mining sector contribute around 5% to the GDP. This growth is mainly due to increased gold exports.
2. Employment
Natural resources create many jobs, both directly and indirectly. Around 70% of Tanzanians work in agriculture, most of them in informal roles.
Tourism based on wildlife supports over 200,000 jobs. Even with these benefits, a large number of citizens still live in poverty. Limited access to education and healthcare continues to be a major issue.
3. Foreign Exchange Revenue
Gold is Tanzania’s top mineral export and brings in major foreign exchange. In 2024, gold exports were worth about $3.37 billion, making it the country’s main source of export earnings.
Agriculture also brings in foreign income. Crops like cashew nuts, coffee, and tobacco are widely exported. In 2024, cashew nut exports alone earned $240 million. Wildlife tourism also adds value, with earnings of about $1.88 billion the same year.