The importance of the cobalt marketing framework for the Democratic Republic of Congo (DRC)
Cobalt is a strategic mineral whose exploitation is experiencing exponential growth in the Democratic Republic of Congo (DRC). However, despite its potential resources, the country derives little profit from this activity, unlike the multinationals which record record figures thanks to the sale of products containing cobalt. This led the President of the Republic, Félix Tshisekedi, to urge the government to take urgent measures to better regulate the marketing of this mineral and increase the revenue from its export.
According to government spokesman Patrick Muyaya, shortcomings in the supply, pricing and export of cobalt are at the root of this disparity in profits between the country and the multinationals. Faced with this situation, President Tshisekedi instructed the Ministers of Finance and Mines to finalize the draft inter-ministerial decrees aimed at regulating the export of cobalt and boosting revenue for the country.
The DRC is the world’s largest producer of cobalt, with production of more than 144,000 tonnes in 2022, according to the latest report from the London Metal Exchange (LME). However, despite this leading position, the country does not fully benefit from the economic benefits of this resource. It is therefore essential to put in place regulatory and governance measures to ensure fairer exploitation of cobalt and maximize the resulting revenues.
Cobalt plays an essential role in many technological and industrial applications. It is used in the manufacture of lithium-ion batteries, making it an essential component of the electric vehicle industry. With the growing demand for electric vehicles and other technologies, the value of cobalt is expected to continue to rise.
It is therefore essential for the DRC to put in place control and regulatory measures to ensure that the exploitation of cobalt is done in a responsible and sustainable manner. This will not only increase the country’s income, but also promote equitable economic development and preserve the environment.
In conclusion, it is crucial to regulate the marketing of cobalt in the DRC in order to guarantee responsible and equitable exploitation of this strategic resource. The measures envisaged by the government should make it possible to increase the revenues from the export of cobalt and to reduce the disparities between the country and the multinationals. A strict and transparent framework for this activity will also contribute to the sustainable economic development of the DRC and the preservation of the environment