Conflict, collusion and corruption in small-scale gold mining: Chinese miners and the state in Ghana

Abstract

As gold prices soared from 2008 onwards, tens of thousands of foreign miners, especially from China, entered the small-scale mining sector in Ghana, despite it being 'reserved for Ghanaian citizens' by law. A free-for-all ensued in which Ghanaian and Chinese miners engaged in both contestation and collaboration over access to gold, a situation described as 'out of control' and a 'culture of impunity'. Where was the state? This paper addresses the question of how and why pervasive and illicit foreign involvement occurred without earlier state intervention. Findings indicate that the state was not absent. Foreign miners operated with impunity precisely because they were protected by those in authority, that is, public officials, politicians and chiefs, in return for private payments. Explaining why state institutions failed in their responsibilities leads to reflection about the contemporary state in Ghana. It is concluded that the informality and corruption characteristic of neopatrimonialism remains predominant over legal-rational structures, albeit in a form that has adapted to neoliberal restructuring. Public office remains a means of private enrichment rather than public service. Such findings cast a shadow over the state and government in Ghana, and tarnish its celebration as a model of democratic governance for Africa.

South‐South Irregular Migration: The Impacts of China's Informal Gold Rush in Ghana

“…It is undoubtedly the case that Chinese miners introduced mechanized production, including the equipment to mine (illegally) in rivers, and such techniques have subsequently been adopted by Ghanaian miners. The absence of government action in the face of such illegal mining in rivers, both prior to and post‐2013 task force (Crawford and Botchwey, ), has led to the current crisis where the severe pollution of arterial rivers is now perceived by the Ghana Water Company as threatening future household water supplies. These environmental impacts require further in‐depth study to understand how the changes in the physical landscape from intensified mining have impacted on local people's lives and livelihoods, as well as the necessary regulation to stem and reverse environmental destruction.…”

“…Such illicit mining is known colloquially as galamsey . In Ghana, Chinese migrant miners found ways to integrate themselves into the widespread illicit gold mining sector (Teschner, ; Hilson et al., ; Crawford and Botchwey, ). Many of the Chinese miners formed mutually beneficial relationships with local people and their activities also stimulated local markets.…”

“…Additionally, mining was facilitated by local government officials and other government agencies demanding payments to “turn a blind eye” to Chinese mining activities or, in the case of immigration officials, for the provision of (false) work permits (Song, ; Crawford and Botchwey, )…”

“…Second, the scale of environmental degradation of both land and waterbodies intensified due to the mining practices, as discussed below. Third, while sales of gold from small‐scale mining to the Precious Minerals Marketing Company (PMMC) – the official government gold buying and exporting agency – increased substantially at this time, there have been accusations of gold being smuggled out of the country by Chinese miners (Crawford and Botchwey, : 455). However, interviews with returned miners in Shanglin have not directly supported this allegation.…”

“…Mechanization has intensified the degradation of both land and water in areas of alluvial mining. Farmland in particular has been extensively destroyed during the scramble to acquire land for small‐scale mining from 2008 onwards, affecting both food crop production and cash crops (such as cocoa), and resulting in adverse effects for both food security and foreign currency earnings (Crawford and Botchwey, : 12). One woman stated in a focus group discussion that:

Most of us are farmers and our farms are across the river, but the mining activities have expanded the river making it impossible for us to cross to our farms

…”