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HomeNationalZooming in on the gemstone export ban,legal implications in Malawi

Zooming in on the gemstone export ban,legal implications in Malawi

By Chisomo Phiri

In the wake of a nationwide gemstone export ban that has rattled Malawi’s mining communities, I caught up with one of the Artisanal Small-Scale Miners (ASMs),Yamikani Jimusole,who is not only a seasoned miner but also one of the few accredited gemologists in the country and Africa.

With over a decade of experience in gemstone research ,exploration and  mining, Jimusole provided critical insight into how this ban is affecting miners on the ground and what it could mean for the future of the industry.

THE GENESIS OF THE BAN

The gemstone export ban was imposed abruptly, barely a year after the Ministry of Mining accredited gemologist retired without a suitable replacement.

This sudden move has raised questions about the Ministry’s preparedness and ability to regulate the industry effectively.

Critics argue that the ban was implemented without adequate consultation with stakeholders, including ASMs, and lacks a clear justification.

The Ministry cited undervaluation concerns as the basis for the ban.

However, part of its mandate includes training miners and advising on market prices, which further raises questions about the timing and rationale behind the decision.

THE IMPORTANCE OF ASMs IN THE GLOBAL EXTRACTIVE INDUSTRY

Artisanal Small-Scale Miners(ASMs) play a vital role in the global extractive industry, contributing significantly to local economies and global mineral supply chains.

ASMs are often the backbone of rural economies, providing livelihoods for millions of people worldwide.

In Malawi, the ASM sector is critical to the gemstone industry, with many miners relying on this activity as their primary source of income.



DIVERSITY WITHIN THE ASM SECTOR

The ASM sector is not homogeneous; it comprises different categories of miners, including:

MECHANIZED MINERS:

These miners use machinery and equipment to extract gemstones, often targeting high-value international markets.

MIXED MECHANIZED AND ARTISANAL MINERS:

This group combines traditional artisanal methods with some mechanization, catering to both local and export markets.

ARTISANAL MINERS:

These miners rely on traditional methods, typically supplying regional or informal markets.

Each group has distinct overheads, market orientations, and operational challenges—and the export ban impacts them differently.

CONTRASTING ACTIONS: MINISTRY’S PLANS FOR ASM INDABA

Despite the ongoing ban, the Ministry of Mining has announced plans to host an Artisanal Small-Scale Miners’ (ASM) Indaba later this year,Minister Ken Zikhale Ng’oma emphasized the importance of ASMs in transforming Malawi into a middle-income economy and acknowledged the need to create a conducive environment for their business.

The Indaba aims to provide a platform for ASMs to voice their concerns and map the way forward.

UNIFIED ACTION

Jimusole observed that there is an urgent need for ASMs to unite.

“At the moment, the sector seems disorganized.

“To attract serious investors, we must demonstrate that we are serious ourselves—and one way to do that is by formalizing our operations,” said Jimusole.

He emphasized that Malawi possesses some of the world’s most valuable and underexploited gemstones, including aquamarine, tourmaline, garnets, and rubies.

“If properly managed,these resources could generate the much-needed foreign exchange, potentially surpassing the revenue we get from tobacco,” he said.

POTENTIAL CLAIMS AGAINST THE MINISTRY

Several potential legal claims could be brought against the Ministry of Mining, including:

UNLAWFUL ADMINISTRATIVE ACTION:

ASMs could argue that the Ministry’s imposition of the ban without adequate notice, consultation, or justification constitutes unlawful administrative action.

LACK OF DUE PROCESS:

ASMs may claim that the Ministry failed to provide due process by not specifying a timeline for lifting the ban or engaging in meaningful dialogue with stakeholders.

UNREASONABLE DELAY:

With the ban having been in effect for an extended period, ASMs could argue that the Ministry’s inaction is unreasonable and has caused significant operational harm.

LOSS OF LIVELIHOOD/BUSINESS:

ASMs may seek compensation for financial losses incurred as a result of the ban, arguing that the Ministry’s decision directly affected their ability to conduct business and earn a living.

NAVIGATING THE LEGAL LANDSCAPE

To effectively navigate the legal implications of the gemstone export ban, ASMs may consider seeking legal counsel with expertise in administrative or business law.

By carefully examining the Ministry’s actions and the resulting impact on their operations, ASMs can identify the most appropriate legal strategies to challenge the ban and protect their interests.

CONCLUSION

The Artisanal and Small-Scale Mining sector is a vital part of Malawi’s economic development.

It holds vast potential not only to alleviate poverty but also to transform the country’s mineral economy.

The government must take this sector seriously—by collaborating with relevant stakeholders, including banks, training institutions, and investors.

Only through a collective and inclusive approach can we unlock the full potential of Malawi’s gemstones and position the ASM sector as a powerful driver of sustainable development.

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