The complexiTy of resource governance in a conTexT of sTaTe ... - Ipis

The complexity of resource governance in a context of state fragility: An analysis of the mining sector in the Kivu hinterlands
53
merchandise is brought up to Mambasa and Nia-Nia to exchange for gold, or cash is used. The
pre-financing of artisanal sites by Butembo comptoirs is an important dimension in terms of the
power and trade dynamics.
Other observations regarding the mineral trade
Some important observations made by the authors throughout the research on the local trade
dynamics are worth mentioning.
First is the role and involvement of FARDC soldiers in trading goods around mine sites, notably
cigarettes and marijuana. This will be treated in Section 3.4.
Second is the virtual absence of cash circulating in the large majority of sites surveyed in Bafwasende
territory. 209 Several sources confirm the existence of entrenched bartering systems in which the
day-to-day goods needed by artisanal miners are traded for gold and cash is banned (BOX 7).
BOX 7
Bartering systems and their consequences
The widespread existence of bartering systems at mining sites means artisanal miners operate
outside the cash economy. The practice, referred to as troc, does not seem to be very common in
other mining areas of the province but barter has been a known practice in other trade economies of
DRC’s history, whether through lack of cash or as a safeguard against inflation. In some militarised
areas, the army and armed groups are also known to barter minerals for commodities such as
charcoal, cattle or arms. 210 .
Léonard Wande, in his July 2009 report on the Opienge area, notes that the Mayi-Mayi Simba traded
minerals for arms as early as 1964, using middlemen from Walikale and Lubutu territories. 211 Field
interviews for the current research indicate troc continues to exist today.
Two observations can be made on this bartering system in civilian mining contexts. Firstly, a bartering
economy is generally found in areas far from major town centres. Secondly, it may indicate the limited
financing a mine operator has at his or her disposal.
Regardless of its rationale, bartering systems have crippling effects on the social and economic
conditions of artisanal miners and their families. Often troc effectively renders miners captive to
the mine’s operators, making them similar to indentured labourers. One interviewee in Mambasa
suggested that troc denies miners upward economic and social mobility since they have no cash to buy
goods, nor to send back to families. 212
This last point is very important since artisanal miners rarely bring their wives and children to mine
sites, and can be away from home for months if not years. It is not uncommon to hear accounts of wives
who are left to support their families alone once a man leaves for the mine. Female-headed, singleearning
households are common in DRC mining communities. 213
Thirdly, Butembo is mostly supplied with gold from Orientale. 214 CEEC recognises that a large
part of the gold traded in Butembo originates from Orientale, particularly Haut-Uele and Ituri
209 This is also true in Bakaiko Groupement in Mambasa territory, although little information is available.
210 There are known examples of this system in North Kivu, both in Virunga and Maiko National Parks, and in mines near Walikale.
211 L. Wande (2009) op. cit. Pp12-13.
212 Field interview, June 2010.
213 Pact Inc. has extensively documented cases in Orientale and Katanga Provinces.
214 Observation based on an analysis of CEEC Butembo statistical records for 2009 and 2010.