Maputo — Mozambican President Armando Guebuza on Tuesday declared that small-scale and artisanal mining is of great importance for stimulating local social and economic activity, and in pursuing the government's goal of transforming rural districts into poles of development.

Speaking at a dinner to mark the 20th anniversary of the government's Mining Promotion Fund (FFM), Guebuza stressed the importance of organizing and monitoring small scale mining.

Given its labour intensive nature, small scale mining generates many jobs, he said, and could have a positive impact on communities where many families use mining income "to improve the quality of their lives through, for example, building brick houses, acquiring bicycles or motor-bikes, and through installing systems for collecting rain water".

Mining diversified sources of income in the countryside, Guebuza said, and led to the emergence of other opportunities for employment and self-employment.

Nonetheless small scale mining could also lead to environmental degradation, and was often carried out under poor health and safety conditions. Guebuza said the miners should organise themselves into associations which could obtain technical and financial assistance to increase their production and productivity, and to better protect the environment.

Such associations could work with the government in "maximizing the positive impacts of artisanal mining on the national economy", and in combating illegal mining and the illegal sale of minerals, the President added.

He suggested that the FFM should train miners in good mining practices, and in business skills. Partnership with private mechanized mining companies could help improve the rudimentary technologies used by artisanal miners and increase their productivity.

Guebuza stressed that the inspection of mining activities should be stepped up to guarantee sustainable management, and to increase the benefits that Mozambique and its people could derive from mining.

The chairperson of the FFM Board of Directors, Atanasio M'tumuke, declared that since its creation the FFM has invested about 150 million meticais (about 6.2 million US dollars) in financing activities to promote small scale mining, and in marketing gold. Since 1997, the FFM has purchased a total of 250 kilos of gold from artisanal miners.

Mm/pf (354)