The Status of Artisanal and Small-Scale Mining Sector in South Africa: Tracking Progress

"Artisanal and small-scale mining (ASM) in South Africa received official recognition after the change in government in 1994.The Reconstruction and Development Programme (RDP) recognized the sector as a vehicle for social and economic development for historically disadvantaged South Africans (HDSAs) who had previously been excluded from participating in the mainstream economy. Having recognized the ASM sector, government introduced several interventions and support structures to foster the development of ASM, to encourage participation of HDSAs, and to address challenges facing the sector. The objective of this paper is to assess the progress made, with particular regard to challenges in the sector. The paper focuses on the policy requirements that were deemed important for the growth of the ASM sector by the White Paper on Minerals and Mining Policy (1998). These can be collated into five categories: access to mineral rights, access to finance, access to markets, technology and skills, and institutional support. The paper provides a review of the support interventions, their intended roles and impact on the sector, and identifies existing gaps and possible ways of dealing with the challenges. There is a need for research to assess the real impact of these past and existing interventions on the ASM sector to draw lessons for future development.IntroductionThe significant rise in artisanal and smallscale mining (ASM) activities worldwide has led to many countries recognizing the sector. ASM takes place in approximately 80 countries (World Bank, 2013). It is estimated that the sector employs between 20 and 30 million people around the world (Buxton, 2013). This compares to between 3 and 3.7 million in 1999 (International Labour Organization, 1999). ASM activities are widespread, occurring mostly in developing countries in Africa, Asia, Oceania, and Central and South America (World Bank, 2013). There has been a significant increase in the number of people participating both directly and indirectly in the sector and this is expected to continue given the socio-economic realities of most developing countries. High levels of poverty and unemployment and growing inequality continue to be largest problems facing the majority of developing countries today. The ASM sector plays an important role as a source of livelihoods, particularly for those residing in rural areas with limited economic opportunities. In the majority of countries, the recognition of the ASM sector was driven by its increasing contribution to socio-economic development through job creation, poverty alleviation, and rural development. In response, a number of intervention strategies were introduced in support of the sector to address its negative impacts and to increase its potential benefits."