Madagascar: mining operators want more support from the state

The Ilakaka-Sakaraha sapphire mine in Madagascar (illustrative image).

Getty Images/Lihee Avidan

Text by: RFI Follow

2 mins

The mining sector is neglected by the State, deplore the Chamber of Mines of Madagascar and the Federation of Malagasy Mining Operators in a joint press release.

The mining sector should be considered vital for economic recovery, but it faces many obstacles that paralyze it, regret these two organizations.

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With our correspondent in Antananarivo,

Laetitia Bezain

“ 

Will Madagascar give up making the mining sector one of the pillars of its emergence? 

ask the operators in their press release.

While the World Bank predicted in 2014 that mining would represent, by 2025, 14% of Madagascar's GDP, they currently represent only 5%.

The sector was not on the agenda of the great

National Forum of investments

for emergence organized by the presidency at the end of October, deplore the latter.

The sector has suffered firstly from the freezing of mining permits for 11 years, explains Rado Randrianatoandro, vice-president of the Federation of Malagasy mining operators.

 We are almost paralyzed and even on the verge of bankruptcy.

Operators are either forced to buy licenses from those who can still work and this is an additional cost, or they work informally, which is a real shame for the economy

 ,” he explains.

A dialogue requested with the State

Added to this is a lack of consensus on the bill relating to the

new Mining Code

.

"

 90% of proposals from the private sector were not accepted

 ," says Rado Randrianatoandro.

"

 Today everything is blocked while each of us sees that there is traffic going left and right

 ," continues the operator.

This

status quo

and the lack of support for the formal mining sector " would be

 tantamount to encouraging the trafficking of mining substances to the detriment of populations, the environment and the economy

 ", believe the Chamber of Mines and the Federation of Mining Operators, who call for "

 constructive, transparent and honest dialogue

 with the state.

►Also listen: Africa Economy - Malagasy mines take advantage of the global economy

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