Tuesday, July 28, 2020

Tanzanite Gemstone: Changing the future of Tanzania’s small miners

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Nikhita Gautam

Article Title

Tanzanite Gemstone: Changing the future of Tanzania’s small miners

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Global Views 360

Publication Date

July 28, 2020

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Miner Saniniu Laizer with the tanzanite gemstones

Miner Saniniu Laizer with the tanzanite gemstones | Source: Tanzanian government

A beautiful gemstone with a wide range of colours, from light to dark hues of blue and violet, found only in a patch 4 kilometres long and two kilometres wide at the foot of mount Kilimanjaro in Tanzania. Existing supply of these gems would run out in about 20 years and finding it in any other region has the probability of just one in a million. Tiffany & Co, the American jewelry manufacturer, described it as “the most important gemstone discovery in over 2000 years”. Yes, we are talking about Tanzanite, the pride of Tanzania.

This rare gemstone was in news recently when a small time miner, Saniniu Laizer found two large weighing 9.27 and 5.103 kgs which are the two largest tanzanite gemstones ever found. This discovery turned the miner millionaire overnight as those pieces were sold at about 3.35 USD. He was congratulated on live television by President John Magufuli, who himself was elected in 2015 with the promise of preservation of the nation’s interest in the mining industry. Mr Laizer’s mining operation includes more than 200 miners and he intends to use the money for the development of a school and a shopping mall near his home.

In order to promote the industry, many reforms were undertaken by the  government of Tanzania. It started taking a 50% equity in all mining projects after 2010 and banned the export of large sized raw gemstones. A fence was also built  in 2018 around the whole area where Tanzanite is mined but about 40% are siphoned without paying any royalty to the government.

However the discovery of such gemstones by a small miner was made possible due to the government policy of promoting local artisanal miners. In order to foster local ownership, the government gave the land and exclusive mining rights to the artisanal miners who mostly owned small and medium establishments. Many trading centres were established by the government in 2019  to facilitate these miners sell gems and gold directly to the government and earn better revenue.

Such discoveries sound promising for the industry in the light of how extensively they are promoted, and how many effective actions the government has taken to protect the industry. This also acts as a big morale booster for the small miners to redouble their efforts and search for the gemstones more vigorously.

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February 4, 2021 5:06 PM

Italian Mafia make merry amidst the COVID-19 pandemic

Italy was the first European nation to encounter the coronavirus and it still is one of the worst hit nations in Europe. The country has been battling with an economic decline and rising unemployment for a few years now. However, the COVID-19 pandemic hitting the country was like rubbing salt in Italy’s wounds.

The strict lockdown imposed by the government in Italy has had an adverse effect on a lot of people particularly the small scale and the medium scale business owners. Thus, a lot of people in Italy have resorted to desperate measures. The Italian mafia have made merry of the situation by providing these people with the much-needed aid they have been looking for.

Even as the country struggles to pull itself together, the mafia have made inroads in acquiring influence over the locals by distributing food packets to poor families with no source of income. There have been videos surfacing from the southern regions which suggest that the mafia have been actively involved in delivering essential items to the people.

In Palermo, a mafia gang member, who has been distributing food to the poor, says "People ring me and they cry over the phone,". He further tells, "They say their children can't eat. A young woman has been calling me every single day. She has five kids and doesn't know how to feed them."

However, the Italian mafia has been employing the tactics of exploiting vulnerability of the locals in the face of economic crisis for a long time. The COVID-19 pandemic was yet another opportune moment for them to capitalise.

"The mafia has never done anything out of generosity. That concept doesn't exist for them," says Enza Rando who works for an anti-mafia organisation. "All they know is I'll scratch your back if you scratch mine."

A report by  the Global Initiative Against Transnational Organized Crime (GI-TOC), based on virtual round table discussion between top anti mafia officials and activists suggests that the healthcare sector as well as the manual laborers and service staff who work mostly cash jobs are the most vulnerable to the mafia influence during the COVID-19 pandemic.

As per the national anti-corruption authority ANAC the mafia corruption has been a big setback to the COVID-hit Italian economy. "They are taking advantage of the emergency situations like the current one, with devastating effects on the economic system and on healthy businesses, already hard hit by the crisis," said ANAC President Francesco Merlon.

Sergio Nazzaro, a journalist, writer and adviser to the Parliamentary Anti-Mafia Commission says, ”The people who are jobless don’t care about the mafia, corruption or anything, but they see the state only talking, and from the mafia (they see) money, and I fear that at the end of all this we are going to see how much the mafia managed to buy while we were in crisis.” He stresses that the state will have to provide economic stability to the people if it hopes to eliminate the mafia influence.

Father Luigi Ciotti, an Italian priest and well-known anti-mafia activist pointed out three key areas that need to be monitored for mafia activity during the pandemic. The first is the increase in drug trafficking. The second one is new products like face masks, disinfectants etc which are suddenly in demand and provide heavy profits and third the predatory money lending.

It is quite clear that the Italian government needs to come up with strong economic reforms that ensure stability and security for its people if it hopes to counter the mafia influence. Otherwise, the mafia will always be there to trap vulnerable people by proving to be their benefactors in the short run only to exploit at a later stage.

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