Africa-Press – Uganda. Government has announced new measures to formalise artisanal and small-scale mining sector, aimed at improving market access, transparency and fair pricing for an estimated 300,000 miners operating across the country.
The announcement was made during the signing of a memorandum of understanding (MoU) between the Uganda National Mining Company (UNMC) and various mining sector associations.
The Permanent Secretary in the Ministry of Energy and Mineral Development, Eng. Irene Pauline Batebe, said the reforms seek to address long-standing challenges faced by artisanal miners, particularly the informal and unregulated sale of gold and other minerals.
Batebe said government plans to establish designated mineral markets and buying centres to replace the current practice where miners sell gold in hotels and other unofficial locations.
“Today, artisanal miners sell gold in hotel lobbies and corners. We are bringing clarity and transparency to mineral trading so miners can fetch the right value for their minerals,” Batebe said.
She added that government is undertaking biometric registration of artisanal and small-scale miners to generate accurate data on those operating in the sector, a move expected to strengthen regulation, planning and targeted support.
According to the ministry, about 70,000 artisanal miners are engaged in gold mining alone, highlighting the sector’s importance as a major source of employment and income.
Batebe said the reforms are anchored in the Mining and Minerals Act, 2022, which introduced wide-ranging changes, including the establishment of the Uganda National Mining Company and new production-sharing arrangements aimed at maximising national benefits from mineral resources.
She noted that although UNMC is barely a year old, it has moved quickly from establishment to implementation and is expected to play a central role in creating structured market access for artisanal miners.
In addition to the planned mineral markets, Batebe said government is supporting the Bank of Uganda to establish a gold purchase programme intended to stabilise the gold trade and strengthen Uganda’s mineral value chain.
She emphasised that artisanal and small-scale miners remain a key pillar of the mining industry and that government’s objective is to support, not displace them, as formalisation efforts intensify.
“With better financing and stronger stakeholder support, we are now in a good season to deliver,” Batebe said, adding that mining sector reforms are expected to improve livelihoods and generate broader economic impact.
Government has identified mining as one of the priority sectors to drive economic transformation and respond to growing public demand for jobs, value addition and improved service delivery.
Speaking at the MoU signing involving UNMC, mining associations and development partners, the chairperson of the Buhweju District United Miners Cooperative Society Ltd, Duesdedit Beinomugisha, said the initiative goes beyond paperwork and represents a collective commitment to reform a sector that has long failed to deliver optimal benefits to Ugandans.
Beinomugisha said Uganda has possessed mineral resources for centuries but has yet to fully harness their economic value, a gap that informed government’s decision to establish UNMC as a state commercial entity.
“The creation of the Uganda National Mining Company was a response by the state on how to harness and maximise benefits from the mining and minerals sector,” Beinomugisha said, describing UNMC as a vehicle for government participation in mining without distorting the market.
He said UNMC, jointly owned by the Ministry of Energy and Mineral Development and the Ministry of Finance, Planning and Economic Development, is expected to bridge long-standing gaps in the sector, particularly for organised artisanal and small-scale miners.
Under the partnership, Beinomugisha said miner cooperatives and associations will contribute licensed mineral rights, organised mining groups and local knowledge, while UNMC will provide technical expertise, access to finance, modern mining and processing technologies, and structured linkages to formal markets.
He said the arrangement directly addresses challenges that have kept artisanal miners on the margins of the industry, including limited financing, outdated technology and weak access to formal mineral markets.
Beinomugisha added that miners’ groups have already engaged several financial institutions, including commercial banks and development partners, to explore financing options to support formalisation and expansion of mining operations.
He said the partnership signals a shift towards collaboration, mutual trust and shared responsibility in reforming the mining sector, stressing that artisanal and small-scale miners must be treated as key players in Uganda’s mineral economy.
Government has identified mining as a priority sector for economic transformation, with reforms under the Mining and Minerals Act, 2022 aimed at increasing state participation, strengthening regulation and ensuring broader benefits for local communities.
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