Handling uncertainty: Policy and organizational practic
Tanzania’s small-scale gold mining sector
Jesper Bosse Jønsson and Niels Fold
Abstract
Small-scale mining supports the livelihoods of several hundred thousand rural households in Africa. Nonetheless, the
understanding of the organizational dynamics of small-scale miners’ activities is modest. The paper outlines th
mining codes in Tanzania and contrasts them to prevalent organizational practices in two Tanzanian small-scale mining
settlements. It is argued that there is a need to adjust the regulatory mechanisms to well-consolidated practices:
practices differ substantially from official prescriptions of the mining codes over an extended period of time, ce
of the regulatory framework need reconsideration. The paper examines three pertinent operational component
form and managing practices between the two study sites: dealing with licence acquisition, accessing working
sharing output. These components are considered vital for the proper manoeuvring of local small-scale mining
the reasons for the variations are essential to understand for policymakers and development practitioners. By
prevalent practices and context-dependent variations in some of the crucial organizational components, it is possible to
design a robust and resilient regulatory framework for small-scale mining. A number of policy adjustments are
proposed. narf_1226 211. .220
Keywords: Artisanal and small-scale mining; Gold; Organizational practices; Mining codes; Policy; Tanzania.
1. Introduction
From the 1980sand onwards,manyAfrican states,
submittingto donor-instigated structuraladjustment
programmes, underwentwide-rangingpolitical and
economic transformations. State control and ownership
decreased significantly, giving way to an investor-friendly
environment, mining being one of the most affected sectors
(Campbell et al., 2004). In 1992, the World Bank published
its ‘Strategyfor African Mining’ arguingthat the
endorsement of reformed mining codes
1
could transform
the underperforming African mining sector into a driver of
economic recovery. The new mining codes have expanded
the opportunities for commercial, particularly foreign,
mining companies and have led to substantial risesin
explorationand mininginvestments (Liebenthal et al.,
2003; Campbell et al., 2004). In addition, the existence of
small-scale mining and its importance for poverty reduction
have gradually been recognized, which hasresulted in
efforts to legalize, formalize, and regulate the sector. Fund
from the World Bank have been allocated to draft new
small-scale mining codes in a number of African countries
with the stated aim of building human and institutional
capacity in order to implement the legislation and address
the sector’s associated problems (World Bank, 1992, 2004;
UNECA, 2002).
In tandem with the recognition of its importance, the
small-scale mining sector has received increasing attention
from the international donorcommunity (Hilson, 2005,
2007). Evidence suggests, however, that the impacts of the
small-scale mining support programmes have been limited
mainly due to the failure of top-down support approaches t
adequately involve beneficiaries, the limited capacity withi
government institutions, and the lack of knowledge about
small-scale miners’ livelihoods (Banchirigah, 2006; Hilson,
2007).Hence,Hilson (2005)strongly advocates more
baseline studies within small-scale mining settlements to
Jesper Bosse Jønsson is a post-doctoral researcher at the Department of
Geography and Geology, University of Copenhagen, Denmark. He is the
coordinator of the Centrefor Sustainable Artisanal and Small-Scale
Mining (SASMin). E-mail: jbj@geo.ku.dk.
Niels Fold is a Professor at the Department of Geography and Geology,
University ofCopenhagen, Denmark. He is the Director of SASMin
(see sasmin.ku.dk).
1
A mining code “isthe combination of statute law, regulations and
agreements which govern the allocation, tenure and operation of mining
rights” (World Bank, 1992: 21).
Natural Resources Forum 33 (2009) 211–220
© 2009 The Authors. Journal compilation © 2009 United Nations