Sunday, January 22, 2017

Dark Horse Artisanal Gold

All those goldminers we saw in Daraina and in neighboring areas have for years been deliberately overlooked by the government, their occupation “neglected as a formal activity.” Despite the fact that an estimated million people participate in this hidden sector, the government has, until recently, averted its eyes to both potential taxes from the activity, and its associated problems of child labor, dangerous working conditions, and illegal trafficking. Moreover, as we witnessed, this mining often takes place in protected areas, an incursion the international community frowns upon. However, artisanal gold is now beginning to emerge from the dust in more ways than one. In 2016, for the first time, the government officially announced the export of gold from the country, albeit from a commercial mining facility, an important realignment to reality that other countries have already reported as the import of gold from Madagascar. Moreover, in 2006, the government introduced a mining code requiring artisanal miners to buy an annual permit for what is merely the value of one day’s earnings in the sector, about $2. The proceeds are to go to the mayor for investment in roads, clinics and medical care. However, illegality remains pervasive, as miners forgo permits and continue to seek out prime prospecting regardless of protected areas’ borders. Despite gold’s footprint in parks and dangerous mining conditions, it also has a bright side, being a reliable source of income with the potential to spur the socio-economic development desired in many areas. A major conference in December was to rally donor support for work toward certification of Madagascar’s gold production as fair trade. The outcome is uncertain, but it is preceded by the World Bank’s support, part of a significant $1.8 million contribution to improve revenue collection and management across multiple sectors, including artisanal mining. 

https://www.theguardian.com/global-development/2016/jul/25/surge-in-gold-prices-no-change-in-fortune-madagascar-miners-africa

(Emma)

No comments:

Post a Comment