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Another Rwandan minerals container stolen at Dar port

Friday April 11 2014

Rwandan exporters have once again fallen victims to mineral theft racket at the Dar es Salaam port.

Rwanda Today has established that minerals that were stolen recently are valued at Rwf542 million. The minerals were being exported by Mineral Supply Africa, a local Rwandan medium-sized firm.

The minerals, sources said, were offloaded from the container and replaced with cement.

The incident is just the latest in a number of thefts of minerals in Dar es Salaam, according to market players.

READ: Consignment theft exposes rot at Dar port

Rwandan business community is jittery about using the port and have petitioned Tanzanian authorities to plug all loopholes exploited at the port by criminals.

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“We would rather spend more on northern corridor where security of our goods is guaranteed,” said Hannington Namara, the chief executive officer of Private Sector Federation (PSF).

“Rwf542 million is a lot of money for a small and medium enterprise,” Mr Namara said, fearing that the thefts could bring down some of the businesses.

The mining sector is steadily becoming one of Rwanda’s biggest foreign exchange earners, raking in Rwf86.7 billion in 2012, second to tourism. The government targets over Rwf268.6 billion from mineral exports by 2017.

Last year, a consignment of Rwandan minerals valued at Rwf11 billion was stolen at Dar es Salaam port, leading to a row between Rwanda and Tanzania.

READ: Local exporters lose Rwf12.7bn in container thefts at Dar port

Though the Tanzanian authorities arrested several officials in connection with the theft, Mr Namara said Rwandan exporters have not been compensated yet.
“Tanzania told our members that investigations are still ongoing,” said Mr Namara.

Last year, Rwanda’s ambassador to Tanzania, Dr Benjamin Rugangazi, called Tanzania’s Minister for Transport, Dr Harrison Mwakyembe, to express his government’s displeasure over the theft of minerals container at the part.

The transport minister subsequently summoned his Home Affairs counterpart, Dr Emmanuel Nchimbi, who ordered the police to launch investigations.

Rwanda’s Trade Minister Francois Kanimba said his government started monitoring the situation following complaints from exporters that their minerals were being exchanged at Dar es Salaam port.

He, however, would not disclose the identity of the owners of the container at the centre of investigations.

Rwanda’s annual exports of cassiterite, wolframite and coltan, used in mobile phones and video-game consoles, may climb to $400 million by 2015 from last year’s approximately $150 million as a new mining code is enacted to boost production and investment in the sector.

Besides the theft, the Rwanda business community is also jittery about the non-tariff barriers along the central corridor, saying they add to the cost of doing business.

READ: Export firms stuck with Rwanda’s minerals

Some of the barriers are many weighbridges, which still exist between Dar es Salaam and Rusumo border.

A transit cargo truck driver, Rashid Ali said they spend over one hour at Kibaha, Mikesi, Morogoro, Dodoma, Kahoma and Nyakau areas for security checks.
“The worst people are the traffic police officers who always stop the trucks and demand bribes,” said Mr Ali.

Findings by the centre for economic prosperity, a regional think tank, noted that police were using roadblocks to line their pockets with bribes, which in total ranged between Rwf42 million and Rwf56 million per month.

Technocrats at the East African Community Secretariat are optimistic that Tanzania will remove all the non-tariff barriers as required by the economic bloc laws.

Michael Lugaiya, principal Customs officer in charge of compliance and enforcement said removal of the non-tariff barriers is a process that needs time.
 “I do not see why trucks should not take two days from Dar es Salaam port to cross Rusumu border,” he said.

He said the five members states are guided by a roadmap approved by the Council of Ministers and Heads of States Summit in November last year to implement the single Customs Territory.