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 4:49 PM

Bashar Al Assad going after his cousin: A rare split in tightly knit ruling Alawite clan of Syria

Syria is ruled by the Al Assad family since 1971 till date. Hafez Al-Assad, the father of the current ruler of Syria, Bashar al-Assad assumed power through a coup in 1970 and remained in power till he died on 10th June 2000. He was succeeded by his son Bashar al-Assad. The Al Assad family belongs to a minority Shia sect called Alawite which constitutes about 10 to 15 percent of the total population of Syria.

The Alawites had traditionally held most of the officer class positions in the military under the French Mandate Syria during the 1930s and 1940s. However it was the regime of Hafez that gave Alawites a disproportionate share in the country’s financial and economic structure as well as the military due to ultra-loyalty to the regime.

It was, however, the death of Hafez, which brought to light the complex equation between the strongly knit Alawite minority influence in Syria’s financial and military interests and the ruling Assad family. Mohammad Makhlouf, father of Rami Makhlouf, Syria’s richest man, and his sister Anissa, widow of Hafiz Al Assad had at that time ensured that the transfer of power to Bashar al-Assad went on smoothly.

Bashar al-Assad had to grapple with the mass movement dubbed Arab Spring in 2011 when people rose against the authoritarian rule of Bashar Al Assad and the preferential treatment received by the Alawites in the regime. The Arab spring later took the form of a civil war which is still raging in parts of Syria. Throughout this difficult period Alawite community stood solidly behind Bashar Al Assad. There was no bigger backer of Bashar Al Assad during all the ups and down, than his cousin and the richest man of Syria Rami Makhlouf.

However for the first time the absolute support for Bashar Al Assad in the tightly knit Alawite community seems to be shaking. In a recent Facebook video, Rami Makhlouf, is seen making allegations that the Syrian regime of Bashar has been going after him and his company assets because he raised voice for Alawite families which lost members while serving the regime, but were left to fend for themselves. There have been unconfirmed reports that Rami has been under house arrest since last summer.

Multiple reasons have been cited for the Assad governments’ sudden outburst against Rami. Some experts suggest it is because of Rami’s immense wealth, which in turn makes him a possible rival to Bashar, or the lavish lifestyle of the Makhlouf’s, as evidenced by Rami’s son Mohammad who was seen boasting about their wealth and showing off pictures of his private jet to multiple newspapers around the world. Whatever be the reason behind the regime going after Rami, it is quite evident that they are under severe pressure to churn out cash to revive the dwindling currency. While his son might have dented his family’s rather away from limelight public image with his public show-off stunts, it appears that Rami himself has not been up to the mark in rolling out enough credit for the Assad regime.

The ongoing saga of Rami Makhlouf brings to light the complex relationship between the Assad regime and the dominant Alawite minority, indicating a clear rift between them. A former Syrian diplomat who defected from the Syrian Embassy in Washington in 2012 said “It’s very big. Rami was in the inner circle from day one of Bashar’s rule. He’s built into the regime. To take him out would be like a divorce.”

It will be interesting to see whether the Alawite community will continue to back Bashar Al Assad or Rami Makhlouf will be able to sway a significant section of the community to take a stand against Bashar Al Assad. Watch this space for further updates

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