Tanzania seizes Sh1.2 billion gold in anti-smuggling operation

The seizure was announced by the Minister for Minerals, Anthony Mavunde, during a press briefing in Dar es Salaam.

Mr Mavunde said the gold was confiscated on July 25, 2026, during an operation targeting the illegal transportation of minerals.

"The seizure was carried out in Kiluvya as part of ongoing efforts to enforce laws governing the trade and movement of minerals," he said.

Following the operation, the gold was deposited at the Bank of Tanzania (BoT), where it was sealed under mineral identification numbers MC 1066128 and MC 1066129.

The government collected Sh108.3 million from the consignment through royalty, inspection fees, the HIV Response Levy, service levy and withholding tax.

Royalty accounted for the largest share at Sh69.35 million, followed by Sh24.77 million in withholding tax. Inspection fees amounted to Sh9.91 million, while the service levy contributed Sh3.10 million and the HIV Response Levy Sh1.24 million.

Mr Mavunde said the gold would remain under the custody of the central bank while the relevant legal procedures continue.

He declined to identify the owner of the consignment but warned that the government would take firm action against those involved in mineral smuggling, including revoking their mining licences and barring them from participating in the sector.

"The gold was seized by law enforcement agencies during an operation conducted by the Ministry of Minerals' task force to curb the illegal transportation of minerals," he said.

Mr Mavunde said mineral smuggling deprives the country of revenue that could otherwise be used to improve public services, urging traders to comply with the law and use official mineral trading channels.

He warned that any minerals transported without valid permits or that bypass official mineral markets would be confiscated and deposited with the Bank of Tanzania.

Preliminary investigations indicate that smugglers are increasingly using vehicles to transport minerals illegally.

"For example, the suspects used a vehicle to transport the gold from Kahama to Dar es Salaam. This is not the first such incident, suggesting the existence of a wider smuggling network," he said.

Mr Mavunde said he had directed the ministry's task force, working with security agencies, to identify those receiving the minerals in Dar es Salaam.

"Our objective is not only to arrest those transporting the minerals but also to dismantle the entire smuggling network by identifying those coordinating the operations and receiving the illegal consignments," he said.

He reiterated that anyone found to be involved would have their licence revoked and be permanently barred from conducting business in the mining sector.

Mr Mavunde said the government's efforts to curb mineral smuggling had strengthened the mining sector's contribution to the economy.

He noted that during the 2024/25 financial year, the mining sector contributed more than Sh1 trillion to the Consolidated Fund, making it the country's largest source of non-tax revenue.