https://www.dailynews.co.tz/in...-to-cease-operations



Hunting companies get 12 months to cease operations

MARC NKWAME 29 DECEMBER 2017



THE Government has resolved to grant at least 12 months’ grace period for all owners of hunting blocks to sum up their operations before the state reclaims back the precincts ready for new arrangement in which they are to be squarely auctioned.


That was among the agreements reached by the Minister for Tourism and Natural Resources, Dr Khamis Kigwangallah, during his roundtable meeting with representatives of hunting companies, which was held at LAPF complex in Dodoma.

Dr Kigwangwallah’s meeting with members of the hunting tourism industry, follows the minister’s recent decision to suspend all hunting block licences, including those issued in this year, pending the proposed new arrangement devised by the government to auction the blocks.

“The government’s decision to start new system of issuing hunting blocs through public auction remains,” insisted Dr Kingwangallah but pointed out that due to requests from operators of many blocs, he has decided to give them one more year for operation.

Speaking through the Tanzania Hunting Operators Association (TAHOA), the current owners of hunting blocks in the country, appealed to the Minister to grant them more time because they had invested a lot in the area in terms of premises and infrastructure.

“Many of us keep investing in the blocks, in terms of new buildings and other tangible features; if the blocks get auctioned now, it means the new buyers will get the already developed infrastructures at our expense,” stated Mr Tallal Abood the Director for TAHOA.

On their part, Dr Licky Abdallah of Malagarasi Hunting Safaris and Mr Benson Kibonde of Mkwawa Hunting Safaris appealed to the government to grant them more time because they are all setting out to market the blocks and seek new hunters during the great ‘Hunters Convention’ at the Dallas State in the United States next week.

“Most of our buyers, that is 70 per cent come from the United States,” they pointed out.Tanzania with a total of 157 hunting blocks found in the 28 game reserves operating under the Tanzania Wildlife Management Authority (TAWA), has the highest number of such blocks in Africa.

Wow, some people are going to get some great deals this year on last minute offers. And some of the better operators are going to get screwed on their investment.

http://allafrica.com/stories/201712290591.html


Tanzania: Govt Defies Pressure Over Hunting Blocks

By Valentine Oforo


Dodoma — The government has rejected a plea by tourism stakeholders to extend the transition period for the switch from tendering to auctioning in the acquisition of hunting blocks.

Instead, it offered a grace period of one licence extension to all hunting operators to prepare themselves before the new system takes off.

Yesterday, Natural Resources and Tourism minister Hamisi Kigwangalla met with stakeholders, who asked for the extension of operation licence to at least five year.

The stakeholders argued that they have already invested billions of shillings under the old system, particularly in developing and handling of businesses and thus they needed a reasonable period to recover their money.

Tanzania Hunting Operators Association (Tahoa) chairman Michal Mantheakis said they welcomed the switch with an open heart, but required sufficient time to ensure that it would not negatively impact on other parties.

"We have invested heavily through conservation efforts, infrastructure, modern tour vehicles as well as putting up many other key facilities. We need time to recover our investments, or else, we will experience huge losses," he said.



He noted that the hunting business was currently underperforming due to several technical factors, causing the government to get poor revenues from the key sub-sector.

"In 2016, the government raised VAT charges in the tourism sector, and unfortunately, foreign visitors refused to pay the new rates and so we, operators, incurred losses. However, the ban over importation of lions and elephant trophies in key foreign countries resulted in a significant reduction in the number of foreign hunters that come to Tanzania."

He also warned of a looming bleak future for hunting tourism in Tanzania following the recent decision by the government to revoke all hunting blocks licences.

"Normally, January and February are key months for advertising and attracting tour safaris bookings from overseas. As I speak, we are supposed to jet off to Europe and the US to exhibit our hunting sites at international tourist platforms, but unfortunately, we are stuck because of the a note from Dallas Safari Club and Safari Club Convention that bans us from participating and exhibiting our products unless the parent ministry lifts the announcement," he said.


Mr Frank Laizer, another stakeholder, asked the governemnt to conduct a survey of all hunting blocks within the country to determine the reality on the ground in order to decide over changing the system.

He said the hunting business was becoming more and more complicated on a daily basis; that's why some players had returned their blocs to the government.

Another stakeholder, Dr Leak Abdallah, decried poor cooperation between the ministry and hunting tourism players.

"The problem is that there are few experts on hunting tourism in Tanzania, which explains why the ministry seems to be little-informed," he said.

He warned that the government could continue getting poor revenues from the sub-sector in the absence of serious interventions to overhaul and develop it.

Yet despite all the arguments and recommendations, Minister Kigwangalla said the government had no plan to reverse its stance over the matter.

What I find sad is the fact that a lot of good operators, who have been operating for years within the law and paying their share properly, are going to have to go through this silly restructuring because of the screw up of a few corrupt safari operators!

I commented on the DSC FB posting regarding this issue:

LOTS of room for improvement with regards to the current system.

I think a lot of the operators would agree that 5 year leases are way too short for proper investement in the hunting blocks.

I would propose 15 year leases for “prime” blocks and 30 year leases for “depleted” areas. This would include benchmarks on a periodic basis, say every 5 years, for operators to meet in terms of community development, local employment and anti poaching measures.

Once again, Tz screws the pooch. Changing horses in the middle of the stream is now the norm....

http://www.huntingreport.com/w...te.cfm?articleid=842



Tanzania Minister Announces Two-Year Extension on Current Block Allocations

(posted December 29, 2017)

Hunting operators in Tanzania have received a two-year extension of their current block allocations from Minister of Natural Resources and Tourism (MNRT), Dr. Hamisi Kigwangalla. The Hunting Report acquired a copy of the official letter to this effect from the MNRT signed by Kigwangalla.

The letter basically reverses an earlier verbal announcement that the ministry was backing away from its plan to revoke recent allocations and auction off hunting blocks to the highest bidders, as we reported in the January issue of The Hunting Report. At the time our January report was written, we had received information that the minister was considering a new tender system instead. Now the auction scheme appears to be back on the table, but the MNRT won't implement new allocations immediately for blocks currently held by operators. The letter from the MNRT reads, in part:

"In order to allow smooth transition, The Ministry decided to provide two years tenure to all hunting companies. This letter serves to confirm your renewal until 31st December, 2019. Note that, during the two years procedures for auctioning shall take effect."

Tanzania completed block allocations in 2017 for a period of five years, but in late October the new minister announced plans to revoke those allocations and to reallocate hunting blocks by auction for 2018 (see our report in the December issue for background). Operators maintain that the current allocations are legally binding under Tanzania's Wildlife Conservation Act. They have resisted the minister's plans, which threatened to interfere with existing commitments to clients and with investments in hunting blocks. The letter grants a measure of certainty to hunting operators in time for the hunting show season.

Tanzania plans to begin auctioning unoccupied blocks soon. Media outlet All Africa reported erroneously that operators would only have one year "grace period" in their existing blocks. Uncertainty in allocations will hurt the hunting sector in Tanzania, and operators have indicated that they will continue to pressure the minister for a sensible allocation system that grants some stability to operators who have made heavy investments in their blocks. For now, hunters are assured that Tanzania operators will be able to conduct safaris in their current blocks in 2018 and 2019. - Justin Jones, Assistant Editor

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Good first step.

Any chance that the current actual hunting concession operators could, unofficially, informally, and very quietly band together to "Prearrange" the outcome of the planned auction of hunting zones? Kind of depends on whether there are significant numbers of folks not currently involved in outfitting who would be viable bidders against the current outfitters (Assuming the current outfitters want to continue in Tanzania). In any case it appears that planning a hunt in Tanzania anytime in the next two /three years will require careful analysis of whatever happens in the auction.

The Tanzanian government has ZERO business sense.

Except, unfortunately, when it comes to filling their own pockets.

We shall see.

Keep in mind the people calling the shots are corrupt, incompetent, racist Communist blacks. They’ll do whatever lines their pockets the quickest and easiest way possible, not what is best for the wildlife or the common citizens. White outfitters will be taking it in the shorts going forward.

quote:

Originally posted by Michael Robinson:
The Tanzanian government has ZERO business sense.

Except, unfortunately, when it comes to filling their own pockets.

We shall see.

You mean more like shooting themselves in the foot?

I hate to tell this, but I honestly think there is NO business sense in the whole of Africa!

I know people who have tried setting businesses in several countries there, and all came unstuck due to total corruption!

Yes we shall see, I see a changing Africa from where it was when I got in the business, It seem that changes in Africa never get better, but that's big government world wide..

If anyone believes the corruption will disappear or even be less in Africa, They have to have a liberal mindset, be idealogs, it ain't gonna happen..

What we have to hope for is the new corruption works better than the last siege..

Its business as usual - the initial proposal has been withdrawn and concessions will be continuing with their 5 year lease.

This information which is still warm, has come from a very reliable source and should be announced by the respective outfitters at the SCI Convention.

They sure like to keep everyone on their toes!