QUESTIONS CHECKLIST

Respondents Information
Institution: TANZANIA MINERALS AUDIT AGENCY (TMAA) ARUSHA OFFICE
Name of Respondent: Eng.Gilay Charles Shamika
Designation: Senior Minerals Engineer and Gemologist
Respondent Email: gcshamika@yahoo.com

1.0 Does TMAA Audit

exports/sales?

Tanzanite

production

and

TMAA being an agency mandated to audit and monitoring all

production and export of minerals produced and imported in
the country, do the audit of rough tanzanite as well.
Tanzanite is mined at one area Mererani and TMAA has
stationed Auditors who make follow ups of the production
and sales Local and Export and make sure everything is
done as per Minerals Act and regulations. One Auditor in
Sorthouse, Underground and at Airport KIA, ARUSHA & JNIA.
2.0 What is the model of TMAA Audit to curb tanzanite
smuggling at TanzaniteOne Mining?
The TMAA Auditor at TanzaniteOne Mining LTD records all
productions and exports of the tanzanite. During sales and
export apart from TMAA Auditor, the Officials from Madini
Office and TRA are communicated to witness the tanzanite
before sales/export.
Color, Size, Clarity and Carat weight are thoroughly checked
to see if they comply with the value and are not more than
one gram per piece.
When the due diligence is established by all, the sealing and
documentation of that tanzanite is issued for other
arrangements.
At the airport, TMAA Auditors are present to confirm all
exported minerals meet the standards according to the

Minerals Act of 2010 export permits, payment and if roughs

tanzanite are less than one gram per piece.
In summary, observe the Audit and monitoring Chain
by TMAA:
Underground Auditor monitors production quantity:
verify, records and escort production to Sorthouse
Sorthouse auditor monitors processing of gems, sales and
export- quantity and quality:
verify, record and witness all sales and exports production
Airport Auditor monitors smugglers:
Verify records, witness all documentations and apprehend
smugglers.

For small scale and medium miners at Mererani, the joint

team between TMAA and MEM which has an Office at
Mererani, always do periodic strategic audit to establish the
amount of tanzanite produced. The law requires them as well
to report after three months the production and sales from
their mining area. Failure to do that leads to the revocation
of their license renew. The sales and export of their
production is supervised by MEM and TMAA. The same
procedures like the ones conducted to large mining
companies TanzaniteOne applies to those Small and
Medium Miners.

3.0 What are the measures usually taken by

TMAA when someone is caught smuggling
minerals?
Since TMAA is not an Authority, it has no ultimatum rather
than reporting to the Ministry of Energy and Minerals (MEM)
for the way forward according to the Mining Act, 2010.The
directives from MEM on the exporters of unauthorized rough
tanzanite has been always for them to pay penalties or
confiscate the tanzanite. This is according to the Mining Act,
2010 regulation.TMAA after confiscating the minerals

including rough tanzanite; it auctioned all minerals and

gemstones accrued for years at Arusha Gem Show 2014 for
Tanzanian to get opportunity to buy the minerals and send
the message to those who do illegal businesses of minerals
and gemstones.

4.0 What is the major challenge facing TMAA in

doing its audit and monitoring of minerals?
The major challenges is on small and medium miners who
dont want to declare their productions properly and
sometime sell confidential in black market and smuggling to
Kenya where then the tanzanite is exported to Japur India
and USA.
The joint team of MEM and TMAA staff to curb this challenge
has resulted into small and medium miners to follow
procedures. Still sometime these miners when the auditor is
stationed at their mines, they stop operating. When the
auditors are not around; they do mining confidentially during
night. The process is like cat and rat hunting.

5.0 Why buyers from abroad like to buy rough

gemstones instead of cut and polished?
The market force (demand and supply) is the one which
drive any business. The buyers in abroad (demand) prefer
rough tanzanite for them to be able to cut and polish in the
shape and sizes they want. Additionally, the standard of cut
in our lapidaries in Tanzania is not preciously as in their
countries. That means cutting in Tanzania is double cost
since you need to re-shape again to meet international
standards.
Therefore, the suppliers (Tanzanians) see no need of cut
while the demand is for rough. To get rid of this problem is to

increase capacity in strengthening our Lapidaries for cutting

and polishing to meet the standard demanded by buyers.
The TANZANIA GEMOLOGICAL CENTRE at Arusha under MEM
is purposely introduced to serve this demand.