For decades, Nigeria’s mining industry has been dominated by large-scale operations, at least at face value. While these contribute significantly to the national economy, another crucial player often goes unnoticed: artisanal and small-scale miners (ASMs). Operating with limited resources and often outside formal regulations, millions of Nigerians rely on artisanal mining for their livelihoods. But beyond their individual struggles, ASMs hold untapped potential to drive sustainable growth in the Nigerian mining industry.
The Numbers Tell a Story:
- Millions strong: Estimates suggest over 20 million Nigerians are directly or indirectly involved in artisanal mining.
- Economic engine: The sector contributes significantly to the GDP, particularly in rural areas where formal employment opportunities are scarce.
- Diverse resources: ASMs extract a wide range of minerals, including gemstones, gold, tin, tantalum, and columbite, feeding local markets and contributing to global supply chains.
Beyond subsistence:
These miners are not merely scraping by. They contribute significantly to the national economy, estimated to account for up to 80% of Nigeria’s mineral production in some states. They provide critical minerals for local consumption and contribute to global markets. Moreover, they often operate in remote areas where large-scale operations are not feasible, creating jobs and economic opportunities where they are needed most.
According to former Nigerian Minister of Mines and Steel Development, Dr. Kayode Fayemi, a surprising 10% of Thailand’s $12 billion gemstone industry originates from Nigeria! This highlights the significant, but often overlooked, contribution of Nigeria’s artisanal miners to the global gemstone supply chain. The Minister estimated an average of $3 billion in annual gemstone exports from Nigeria, but the true potential of this sector remains untapped, waiting to be further harnessed and developed.
Challenges and Opportunities:
Despite their contributions, ASMs face numerous challenges:
- Lack of formalization: Operating outside legal frameworks limits access to resources, training, and fair market access.
- Unsafe working conditions: Primitive tools and techniques put miners at risk of accidents, injuries, and exposure to harmful substances.
- Environmental degradation: Unsustainable practices can pollute water sources, damage ecosystems, and contribute to deforestation.
However, these challenges present opportunities for growth and transformation:
- Formalization initiatives: Integrating ASMs into the formal economy can improve safety, environmental practices, and market access, boosting their income and contribution to the national economy.
- Technological advancements: Introducing safer tools, cleaner processing methods, and responsible waste management practices can significantly improve the sector’s sustainability and efficiency.
- Community engagement and education: Educating miners about sustainable practices and involving communities in decision-making fosters environmental awareness and responsible resource management.
Unlocking the Potential:
The Nigerian government’s recent push for total formalization of the ASM sector is a positive step. But true transformation requires a multi-pronged approach:
- Collaborative efforts: Government, mining companies, NGOs, private organizations, and communities must work together to create a supportive environment for formalization. The Nigerian Mineral Exchange (NME) is leading the charge by its total support for the formalization policy of the government.
- Financial and technical assistance: Providing access to loans, training, and equipment empowers ASMs to adopt sustainable practices and improve their productivity.
- Fair market access: Establishing transparent and fair market mechanisms ensures ASMs receive a just price for their minerals, reducing exploitation and improving livelihoods.
A Brighter Future:
By harnessing the untapped potential of artisanal miners, Nigeria can achieve sustainable growth in its mining industry. By addressing the challenges and creating an enabling environment, we can empower millions of Nigerians, transform the sector, and ensure that mineral wealth translates to prosperity for all.
Join the conversation:
- What are your thoughts on the role of artisanal miners in Nigeria’s mining industry?
- What specific actions can be taken to support their formalization and ensure sustainable practices?
- How can we ensure that the benefits of mining are shared equitably across communities and the nation as a whole?
Let’s continue the dialogue and work together to unlock the bright future that artisanal mining holds for Nigeria.
