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Last Updated: Tuesday, 1 May 2007, 22:29 GMT 23:29 UK

Madagascar's legalised gold miners
Jonny Hogg
BBC News, Antananarivo, Madagascar


Lauren Rakotondramara sits under the shade of a tree by the Ikopa river, chewing on a piece of sugar cane.


Panners pay for a permit to search for gold

"Before this new law, I was always afraid when I worked," he says. "But now I have my papers so no-one can cause me problems and I don't fear anybody."

Lauren lives in Antanimbary, a village 300 km to the west of the capital, Antananarivo, and the pilot site to test Madagascar's new mining laws.

He is a gold panner and has been for years, but until December 2006, when the 2005 Mining Code was finally implemented, his job was illegal.

He risked harassment from the police, could have his gold confiscated and often had to sell it for far less than it was worth.

"Under this new system," he says, "I can finally get a fair price for my gold."

Madagascar's new mining code aims to bring small-scale or artisanal miners inside the formal economy. If it proves a success in Antanimbary, it will become nationwide and possibly even a global model for "ethical", community based gold.

Under the new rules, every miner or panner must pay $1.5 (75p) for an annual permit, whilst gold collectors, who buy the gold to sell it on, must pay $50. This money goes directly to the mayor's office, where it will be used to fund local community projects.

http://news.bbc.co.uk/2/hi/business/6593561.stm