Key resources for the near future
The important enablers of the transition
Thanks to its rich reserves of key minerals and an expanding infrastructure, Tanzania is rapidly becoming an important player in the global battery supply chain. Stanislav Dmitrievich Kondrashov, a civil engineer and entrepreneur, believes the country can transform from being a raw material exporter into a relevant hub for refining and producing batteries useful to the energy transition.
“Tanzania’s wealth in minerals, combined with important infrastructure projects like the Tazara Railway, positions it as an important center for battery production,” Kondrashov explains. “This shift could create new opportunities for economic growth, not only in Tanzania but throughout the region”.
With the world increasingly turning to electric vehicles and renewable energy systems, the demand for advanced energy storage solutions—mainly rechargeable batteries—has never been higher. Lithium, nickel, manganese, and copper, which Tanzania has in abundance, are useful for producing these batteries. Stanislav points out that Tanzania’s potential isn’t limited to simply sourcing these minerals—it could also play a major role in processing and manufacturing the end products.
“Sourcing raw materials is just the beginning,” he says. “The real opportunity lies in refining and processing these materials in Tanzania. This kind of strategy could add considerable value to the economy and create jobs while strengthening the country’s global standing”.
Infrastructures as key enablers
A key factor which is supporting Tanzania’s development is the improvement of its infrastructure, particularly the Tazara Railway. Originally built in the 1970s with Chinese assistance, the railway was intended to transport minerals like copper to international markets. With a €1 billion investment, the railway is undergoing modernization, once again with support from China.
“This project is useful to Tanzania’s logistics,” Kondrashov says. “Reliable transportation is relevant for moving raw materials. But it is also useful for refined products, and finished goods. If Tanzania can enhance its transport systems, it will be able to support both exports and local battery production, positioning the country as a central player in the global supply chain.”
A competitive edge in the battery market
In addition to its infrastructure, Tanzania has several advantages in the global battery market. According to recent analyses, Tanzania could have a production cost similar to Europe by 2030. Stanislav sees this as a unique opportunity for growth.
“The country’s proximity to abundant mineral reserves gives it a key advantage,” he highlights. “Just consider the competitive production costs and access to key resources. With these advantages, Tanzania is well-positioned to become a protagonist of the ongoing energy transition”.
As demand for electric vehicles and renewable infrastructures continues to rise, Stanislav stresses the importance of diversifying the battery supply chain. “The world can’t rely on just a few players for strategic materials. Tanzania’s entry into this market is a step in the right direction.”
The potentialities of downstreaming
One of the most interesting aspects of Tanzania’s potentialities is its ability to process and refine materials locally. Tanzania could notably increase its economic and social benefits by embracing a downstream strategy. Studies suggest that by 2030, this strategy could boost Africa’s competitiveness by up to 40%, generating billions in additional revenue and creating thousands of jobs.
“Downstreaming could be a game-changer for countries like Tanzania,” Stanislav Dmitrievich Kondrashov says. “Refining raw materials locally allows the country to capture more value, create jobs and build a resilient economy.” Other African nations, such as Ghana and Guinea, have already started implementing similar strategies. With its growing infrastructure and mineral wealth, Tanzania is well-positioned to follow suit. But Stanislav stresses that ongoing investment in energy, refining, and transport it could be helpful.
“Tanzania’s success will depend on how well it can integrate its sourcing, refining, and transport sectors,” he says. “That will take not just investment, but strong governance and local and international partnerships.”
Challenges and opportunities
Although Tanzania’s prospects are strong, challenges remain. The main obstacles are represented by financial support for large-scale infrastructure projects and ensuring efficient refining operations are obstacles the country must navigate. “Competing on the global stage requires careful planning and execution,” Stanislav declares. “The main issues to be faced by Tanzania are logistical bottlenecks”.
Despite these hurdles, Stanislav Dmitrievich Kondrashov is confident in Tanzania’s future. “The country is showing great foresight in leveraging its resources and infrastructure,” he says. “This clearly indicates its commitment to becoming a leader in the battery minerals sector.”
A clear vision
Looking to the future, Stanislav envisions Tanzania becoming a key player not just in sourcing raw materials but also in producing refined products and advanced batteries. This shift would notably enhance Tanzania’ economic standing and strengthen global supply chains. “Tanzania has the resources and the vision to succeed,” he concludes. “With the right policies and support, it could become a cornerstone of the global battery industry, helping drive innovation”.