A new report, Silence is Golden, jointly authored by The Rt. Hon Dominic Raab and the World Gold Council, reveals the extent to which artisanal and small-scale gold mining (ASGM) is exploited to fund conflict, terrorism, and organised crime.
The findings outline significant challenges faced by the gold industry, urging global collaboration to address these issues.
Key Findings of the Report
ASGM accounts for around 20% of the global gold supply and 80% of gold mining employment. However, the report highlights vulnerabilities within the sector, making it a target for exploitation by criminal organisations, armed groups, and corrupt officials.
The identified challenges include:
- Lack of Transparency: Insufficient implementation and compliance with legal standards across governments and businesses.
- Failures of Accountability: Breaches in national and international laws that enable illicit operations.
- Human Rights Abuses: Disjointed enforcement efforts that allow serious exploitation by criminal networks.
The report also notes the environmental and safety hazards associated with ASGM, such as mercury poisoning and unsafe working conditions, which disproportionately affect miners and their communities.
Strategic Objectives and Recommendations
To address these challenges, the report outlines four strategic objectives and 24 recommended actions for governments, international organisations, NGOs, and mining companies. These include:
- Prosecuting and disrupting criminal networks operating within ASGM.
- Establishing a coordinated and sustained international effort, particularly among G7 and G20 nations, to combat illicit activities in the gold trade.
- Incorporating responsible ASGM practices into formal, legal supply chains to ensure compliance and sustainability.
Dominic Raab stated:
“Governments, international organizations and the gold sector must work together to prosecute criminals, prevent illicit profiteering and integrate responsible ASGM into the legal and viable supply chain. It will now require coordinated and sustained international attention and action to prevent the illicit flows of gold from bankrolling the war in Ukraine and enabling Al Qaeda and Islamic State to regroup in Africa.”
David Tait, CEO of the World Gold Council, commented:
“Without viable economic alternatives, the poorest and most marginalised of our world’s citizens are forced into artisanal gold mining, taking place within hazardous conditions and of little economic gain for their families. Our partnership with Dominic Raab highlights the need to address illicit gold flows while improving conditions for those in the sector. The report provides ways for governments and international agencies to drive positive environmental and economic change for those affected worldwide.”
Implications for the Jewelry Industry
The report highlights the importance of transparency and accountability for jewellers and gold supply chain stakeholders. ASGM’s vulnerabilities to exploitation may present ethical and reputational risks for the industry, particularly as demand for responsibly sourced gold grows.
Collaborating with certification bodies, governments, and NGOs can help mitigate risks and support compliance with international standards. Integrating responsible ASGM into the formal gold supply chain would also strengthen global efforts to address environmental, social, and governance (ESG) concerns, increasingly central to the jewelry industry.
For further details and to access the full report, visit the World Gold Council website.
