We go behind the scenes of a captivating current affair in Madagascar: the illegal gold trafficking that is making headlines and highlighting the crucial issues surrounding this practice. At Antananarivo airport, the seizure of three gold bars intended for illegal export to Dubai has caused a stir among the authorities, leading to the arrest of three individuals involved in this clandestine network.
This affair echoes a much larger and alarming reality: the Malagasy gold industry is plagued by illicit trafficking, endangering the national economy and the financial stability of the country. Despite the recent establishment of a one-stop shop for gold exports to legally regulate transactions, only a few kilos have transited through this channel, while a veritable ton of gold leaves Madagascar clandestinely each month.
Administrative and tax obstacles have hampered the success of the one-stop shop, including the persistence of an excise duty on gold until recently and delays in renewing the licenses of gold counters, key players in the legal export chain.
Faced with this flourishing smuggling, the Malagasy authorities have strengthened controls and taken repressive measures to deter traffickers. The one-stop shop, although underused until now, could become a key lever to encourage market players to opt for legal channels. Indeed, the risks of total seizure of illegally exported goods highlight the disastrous consequences of these practices for offenders.
Ernest Lainkana Zafivanona, Director General of Customs of Madagascar, emphasizes that the illegal export of gold is mainly aimed at circumventing the obligations of repatriating foreign currency, essential for the stability of the national currency and the management of the country’s foreign exchange reserves.
At the same time, Clément Rabenandrasana, national coordinator of the Civil Society Organization on Extractive Industries, calls for firm action against the corruption that permeates the Malagasy gold industry. He advocates increased traceability of gold from the moment it is collected in artisanal mines, in order to guarantee fair remuneration for local workers and a fair tax contribution from the municipalities concerned.
In this complex context where economic, geopolitical and social interests collide, Madagascar is facing a major challenge: reconciling the exploitation of its natural resources with the preservation of its heritage and the improvement of the living conditions of its population. The fight against illegal gold trafficking is therefore a crucial issue for the future of the country, requiring bold measures, strengthened international cooperation and unwavering political will.