Feb 21, 2019

Tanzania Liberalises Exports of Rough Coloured Gemstones, Including Tanzanite

Tanzania, which over the last few years has been strictly controlling the production environment and export of its rough gemstones, particularly tanzanite, has recently liberalised the export of such gemstones.

Sought to be implemented through revised guidelines issued by the Government of Tanzania under the nomenclature “The Mining (Mineral Value Addition) Guidelines 2019”, the policy now allows for the export of rough gemstones of up to two grams, as against exports of rough gemstones weighing under one gram allowed earlier. There was no such size restriction on the export of processed (cut and polished) gemstones.

Earlier, Tanzania had undertaken strict measures – including building a wall around Tanzanite mines – to prevent the smuggling of the popular gemstone, found only in Tanzania, in order to protect the country’s revenue from its exports. 

A wall costing US$ 2.2 million was built around the Mirerani mine in Manyara at the instance of the President of Tanzania, His Excellency John Magufuli. “In July 2017, President Magufuli ordered the military to construct a 24 km perimeter wall surrounding the mines in Mirerani, Manyara to curb smuggling of the rare gemstone,” said one media report.  The President had inaugurated the wall in April last year. It is reported that surveillance cameras were also installed round the tanzanite mines in the northern Manyara region, at his instance.

The wall is said to have resulted in increasing the country’s revenues from tanzanite substantially. Media reports say that as at September 2018, tanzanite revenues rose to Tsh 1.28 billion (US$ 461,000), from a low of Tsh 166 million (US$ 74,000) recorded in January 2015. 

Tanzanite is one of the important gemstones cut and polished in Jaipur, India, the hub of the coloured gemstone manufacturing business. The curbs on exports of larger sized rough from Tanzania had had a major impact on the industry in that city.

The Gem & Jewellery Export Promotion Council (GJEPC), for some time now, has been making great efforts to see that there was an adequate flow of supply of the rough from the African country to the lapidaries in Jaipur.