Uganda rolls out regulated mineral markets to curb smuggling, boost miner incomes

The Ministry of Energy and Mineral Development has launched a new initiative aimed at formalising Uganda’s mineral trade, starting with gold and tin, as government moves to curb smuggling, improve pricing and increase value addition in the sector.

The initiative, dubbed the Uganda Mineral Markets, will create a regulated trading framework linking licensed miners, buyers and refiners on a single platform. Officials say the move is intended to enhance transparency, improve compliance with the law and ensure that miners—especially artisanal operators—earn fair value for their minerals.

Speaking in Ntungamo District, Agnes Alaba, the Commissioner of the Department of Mines, said the programme will establish mineral markets that streamline the value chain from production to refining.

“This is not about excluding anyone,” Alaba said, representing the ministry’s Permanent Secretary. “It is about creating an organised market where government can regulate pricing, trace minerals and ensure that those doing the work benefit from what they produce.”

She said the ministry is currently sensitising miners across the country ahead of implementation, noting that many licensed artisanal miners lack access to reliable markets and are often exploited by middlemen.

According to Alaba, the absence of structured markets has pushed some miners to operate informally, smuggling minerals across porous borders and accepting low prices. The new framework, she added, will formalise artisanal mining, reduce illegal trade and increase government revenues.

Artisanal miners welcomed the move but called for additional support.

Deusdedit Beinomugisha, chairperson of the Buhweju District United Miners Cooperative Society Limited, said the Mining and Minerals Act, 2022 has already improved operating conditions but access to finance remains a major challenge.

“First of all, we appreciate government for the new law because it has brought clarity and order,” Beinomugisha said. “What has not been there is financial support to help artisanal miners scale up.”

He also urged government to fast-track plans to allow minerals to be used as a form of savings at the Bank of Uganda, arguing that this would strengthen miners’ financial security and boost the sector’s contribution to the economy.

Ntungamo Deputy Chief Administrative Officer Fidelis Kiiza called on miners to comply with the Mining and Minerals Act, saying the law creates opportunities for all stakeholders if properly implemented.

The Energy ministry says the Uganda Mineral Markets initiative is part of a broader strategy to position mining as a key driver of economic growth, improve traceability of high-value minerals and integrate small-scale miners into the formal economy.