London Politica 7/31/23 London Politica 7/31/23

Zama Zamas or Artisanal Miners? How cheap labour and abandoned gold mines have created a rift between neighbours

Background

South Africa’s rich mineral wealth once brought European invaders to its shores, yet today as the state struggles to keep the lights on, illicit mining has become endemic in the country. Abandoned mines are still full of gold and have been taken over by illegal miners backed by influential business leaders both national and international. These miners (primarily working in Free State Province) are known as Zama Zamas, a Zulu term that loosely translates to "someone who is trying" or “a hustler”. They operate in a criminal underworld that is often violent, dangerous and exploitative. They are often heavily armed and primarily come from South Africa and neighbouring countries such as Lesotho and Zimbabwe. The high unemployment rate in South Africa (currently at 32.9%) leads many to search for any work available legal or otherwise. Youth unemployment stands even higher at 46.5%, with younger workers more attracted to the physically demanding work of the mines.

South Africa holds over 50% of the world’s gold reserves and gold mining makes up around 7% of South Africa’s GDP. There are approximately 6000 abandoned mines in South Africa (remnants from the collapse of the legally recognised mining sector post the gold price crash in 1989). Thus, illegal mining in South Africa is not a new problem and many Zama Zamas were at one point legally recognised miners left without work after the collapse of the legally recognised sector, but reports of Zama Zamas raiding and sexually assaulting members of South African settlements has led to riots in Johannesburg and the burning of the homes of suspected Zama Zamas. But much of the political reaction in South Africa and neighbouring Lesotho, however, has not been in economic terms but social and criminal ones. In fact, National Police Commissioner, Lieutenant General Fannie Masemola’s description of the conditions by which the police can measure success is in the satisfaction of the community as opposed to the actual prevention of illegal mining.

Effect on Lesotho Relations

Relations between South Africa and Lesotho have become strained as a result of the Zama Zama problem. Most recently, 31 people were killed by a methane blast at a gold mine that was officially designated as disused, with the South African authorities claiming the victims to be Zama Zamas from Lesotho. Lesotho has provided cheap labour to South African mines for nearly 130 years, but the rising tensions over foreign Zama Zamas in the country has led to new political tensions. The 31 dead from the largest catastrophe at a mine in recent years are not valued enough to have major efforts undertaken to retrieve their bodies, with their illicit status and foreign origin both reasons for the government to prefer to not waste resources on a treacherous and possibly methane filled mine. Many Lesotho nationals both in and out of the small mountain kingdom have lost relatives to mine accidents in South Africa and many have not been able to retrieve the bodies of their relatives. Many of these miners were the breadwinners of their families and the loss of their income leaves families in Lesotho without income or support. When asked by the BBC’s Africa Daily podcast, one Zama Zama from Lesotho said he entered mining as a profession because “hunger drives us to do such things”. The Government of Lesotho has recognised the intense poverty of the country leading to many seeking illegal work in neighbouring South Africa. Around 50% of Lesotho’s population lives in poverty, with unemployment sitting at 18.04% as of 2022.

The South African government has claimed that if the bodies buried in abandoned mines are from Lesotho, then the retrieval of their bodies cannot be South Africa’s responsibility alone. Gwede Mantashe, South Africa’s minister of Mineral Resources and Energy, told a press conference that “If all those bodies are from Lesotho, it means that there is a responsibility… that the Lesotho Government has. So it can not just come to us on the basis of ‘there are bodies underground please take them out.’” He went on to say, “many of them come heavily armed and therefore both governments must have a cooperation in dealing with that crisis as two governments.”

Criminals or Wealth Creators?

However, claims of Zama Zamas being especially violent should be taken with a grain of salt, as Professor Robert Thornton, at the University of Witwatersrand, advocates for use of the term “artisanal miners” to emphasise the entrepreneurial nature of immigrant miners who create vast numbers of jobs and contribute much to the South African local economies. The “non-standard” mining skills of Zama Zamas allows for the exploitation of gold resources major industrialised mines cannot access and directly interact with global gold markets. With better legislation, government support, and improved training they could become part of the social and economic fabric of the country. He claims that most miners are not “stealing gold” but extracting gold that is unreachable by the industrialised mines, additionally he claims that many Zama Zamas originate from South Africa itself and come from many backgrounds, i.e. not just the poorest of the poor.

South Africa Vs Lesotho, or South African Ethnic Conflict?

David Van Wyk, Chief Researcher of the Bench Marks Foundation (an organisation specialising in the monitoring of multinational corporations in South Africa and the wider region of Southern Africa), claims that in many ways the conflict between Lesotho and South Africa can be alternatively understood as a tribal conflict within South Africa. Many in the Free State, the province most associated with gold mining, speak the same language as those from Lesotho (Sotho) and share a tribal identity as a result. Any Sotho speaker can become a victim of the situation. The colonial history of South Africa contains many land grabs by South African colonial authorities of traditional Lesotho lands leading to the creation of the Free State. Van Wyk thinks it an awkward possibility that Lesotho could quite simply turn around and begin to make land claims of the South African government if tensions continue to rise.

Van Wyk points to the South African government’s tendency to depend on policing on issues such as these, as opposed to regulation and legislation, is leading the situation becoming more and more out of control akin to the current situation in Katanga Province DRC. He suggests “that they be organised into co-operatives and that the co-operatives get registered with the industry and Department of Mineral Resources. We suggested that there be a central buying agency of the gold from the syndicates that are now the main beneficiaries while the hardworking people die in poverty. We speak to the Zama Zamas on a daily basis and they are desperate, they want to be regulated and legislated for.”

Conclusion

The current situation demands cooperation and collaboration between the governments of South Africa and Lesotho. Rather than viewing the issue solely through a lens of blame and responsibility, both governments should work together to find sustainable solutions. By addressing the root causes of poverty and unemployment and providing legitimate opportunities for economic growth, it is possible to transform the Zama Zama issue from a source of conflict into a catalyst for positive change in the region.

Addressing the Zama Zama problem requires a multi-faceted approach, involving comprehensive legislation, cooperation between governments, and a focus on economic development. By acknowledging the potential of these artisanal miners and providing them with opportunities for legal and regulated work, South Africa can harness its mineral wealth to benefit its people and foster stronger relationships with its neighbours.

London Politica 5/11/23 London Politica 5/11/23

Powering the future: Cobalt in the EV battery value chain

Download report here

London Politica 2/28/23 London Politica 2/28/23

Powering the future: Lithium in the EV battery value chain

Download report here

London Politica 2/13/23 London Politica 2/13/23

Red metals reach the red: Peruvian protests impact the global copper supply

As the world gears up to mitigate the far-reaching effects of climate change—many of which are already being felt—investment into zero-emission technologies is growing to complement more than 70 countries’ mid-century net-zero emission targets. Copper will be a key component to energy-efficient technologies, including electric vehicles, charging infrastructure, solar PV, wind, and batteries. For this reason, copper demand is projected to double over the next 10 years and more than triple by 2050; but this may have detrimental social, political, and economic impacts on the surrounding contexts of copper mines, which may, in turn, have repercussions on the global supply and cost of copper.

Peru, for instance, holds the world’s second largest reserve of copper, which contributes to 4% of Peru’s entire GDP; however, local communities that live around the Apurímac-Cusco-Arequipa Road mining corridor continue to be the poorest in Peru. The mining industry has foregone environmental and health restrictions, while increasing inequality in mining districts, thus contributing to existing socioeconomic tensions among local Peruvian communities, for instance against the Antapaccay mine in Espinar, the Las Bambas mine in Cotabambas, and the Cuajone mine in Moquegua. Such enmities have been exacerbated in the ongoing political crisis in Peru that began in December 2022.

The past five decades in Peru were foundational to the country’s current political crisis. Insurgency during the 1970s, multiple dictatorships, and resulting economic instability generated political and social strife, which collectively exploded upon President Castillo’s impeachment after he attempted to install an emergency government and rule by decree in December 2022.

Castillo is highly supported by Peru’s rural populations, many of whom live in the surrounding areas of copper mines, as he denounced foreign mining corporations and their negligence of environmental regulations, promised higher taxes and wealth redistribution policies, safer working conditions for miners, and nationalisation of the entire mining industry.

After Castillo’s removal, political tensions among local miner communities—as well as much of Peru’s left-wing population—rose, leading to worker strikes, protests against mines, and disruption of mining operations. This includes ceasing operations at the Las Bambas mine, which alone supplies 2% the world’s copper. The Antapaccay mine stopped production in mid-January, but has since resumed. Continued nationwide protests threaten to cut access to $4 billion worth of red metal, including copper. In 2022, growth potential of mining GDP from 2.9% to 0.3%, due to social unrest.

To re-establish the export of copper from Peru, mining companies such as Glencore, MMG Limited, and Freeport-McMoRan must enter into agreements with local communities, in conjunction with the newly formed government led by Dina Boluarte. The mining industry should address grievances in a manner that reduces poverty, prevents environmental and health impacts, and allows for inclusive employment of the surrounding communities.