By Dorothea N. Daudi (Attorney)
Do you wish to invest in mineral business in Tanzania?
If yes you must hold a dealer mineral license and export permit in case of exporting minerals and mineral products. A dealer license permits the holder to acquire, purchase, and dispose minerals or mineral products and export mineral or mineral products outside the country.
Application for dealer mineral license in Tanzania is done by filing in a prescribe form MTF. 5 as provided in the Mining (mineral Trading) Regulation, 2010 and shall be addressed to the commissioner of minerals and be accompanied by the prescribed fee US$ 200. Each mineral that you are expecting to trade on has specific license fee hence the applicant must state the type of mineral or minerals for which license is sought.
After securing a dealer mineral license from the commission, a company/corporate shall apply for business license from the Ministry of industry, Trade and investment through its agency BRELA and accompanied with the following documents:-
a) Certificate of incorporation of the company.
b) Memorandum and articles of association of the company
c) Proof of Citizenship i.e members and directors of the company.
d) Proof of suitable company premises i.e the place of business of the company must be in Tanzania.
e) A certificate of taxpayer identification number.
f) Register for value added tax (VAT).
g) Register with worker’s compensation fund and insurance before commencing of business.
h) Register and obtain social security numbers from all mandatory social security schemes.
NB:
A dealer mineral license shall not be granted to a company which has not established a physical and postal address in the united Republic for the purpose of serving legal notices and other correspondences.
On the other hand, application for export permit for minerals is done by filing a prescribe form MTF.1 as provided in second schedule of The Mining (Mineral Trading) Regulations of 2010. The export permit is issued by ministry of Minerals through the Commissioner of minerals. Accompanied by prescribe fee USD 100.
An application for Minerals export permit shall state the following:-
a) Name of a license holder
b) License Number
c) Type of Minerals
d) Net weight
e) The value of the minerals to be exported
f) Certificate for payment of royalty
g) Date issued
h) The validity of an export permit.
i) Name of issuing officer.
NB. After acquisition of dealer mineral license, a licensed dealer shall pay to the government of the united Republic a royalty on the gross value of minerals produced under his license at rate depending on the type of minerals in which he is dealing with.