Home | News    Tuesday 10 June 2014

75% of Sudan’s gold production is smuggled: official

separation
increase
decrease
separation
separation

June 9, 2014 (KHARTOUM) – The Sudanese minister of minerals, Ahmed Mohammed Sadiq al-Karuri, told the parliament on Monday that the government has almost no control over gold produced by traditional miners, saying that tonnes of the precious metal gets smuggled abroad.

JPEG - 12.5 kb
A local brings his gold for examination at a laboratory in the gold market in Khartoum (Photo: Reuters)

Al-Karuri said that the inability of local plants to process all gold production led to the spike in smuggling but vowed to enforce strict policies to curb it.

Traditional miners and mining companies prefer to sell their production outside the official channels because the central bank buys gold from them using the official US dollar exchange rate which is substantially lower than the black market rate.

Last March, the government announced that gold production in 2014 would reach 70 tonnes compared to 34 tonnes in 2013 following development of the traditional mechanisms of exploration.

According to the ministry of mining, traditional mining represents 90% of gold production in Sudan.

A number of lawmakers said that the central bank should be compelled to buy gold using the world price in order to curb smuggling.

The parliamentary subcommittee on Energy slammed the central bank for exporting most of the gold production saying it made the Khartoum gold refinery work with only 10% of its capacity.

The East African country is looking for gold to make up for the budget deficit it incurred as a result of losing three quarters of its oil production due to the secession of South Sudan in July 2011.

In recent years a growing number of foreign gold companies have expressed interest in obtaining licences to operate in Sudan.

(ST)

Comments on the Sudan Tribune website must abide by the following rules. Contravention of these rules will lead to the user losing their Sudan Tribune account with immediate effect.

- No inciting violence
- No inappropriate or offensive language
- No racism, tribalism or sectarianism
- No inappropriate or derogatory remarks
- No deviation from the topic of the article
- No advertising, spamming or links
- No incomprehensible comments

Due to the unprecedented amount of racist and offensive language on the site, Sudan Tribune tries to vet all comments on the site.

There is now also a limit of 400 words per comment. If you want to express yourself in more detail than this allows, please e-mail your comment as an article to comment@sudantribune.com

Kind regards,

The Sudan Tribune editorial team.

Comment on this article


 
 

The following ads are provided by Google. SudanTribune has no authority on it.


Sudan Tribune

Promote your Page too

Latest Comments & Analysis


The long history of buying loyalty to neutralize rivals in South Sudan 2016-07-26 21:13:20 By Brian Adeba The replacement of South Sudan’s First Vice President Riek Machar with Taban Deng is a well-tested policy that dates back to the 1980s that the ruling Sudan People’s Liberation (...)

EU sidesteps human rights standards 2016-07-26 20:37:31 By Ahmed H. Adam and Ashley D. Robinson In the European Union’s struggle to manage its refugee crisis, is it sidestepping human rights standards by funneling funding to war criminals through the (...)

USA meddling in independence of South Sudan amidst coup d’état 2016-07-25 07:23:54 by Steve Paterno and Scott Morgan When a Country celebrates their Independence Day it’s generally considered to be a festive occasion. For the United States, John Adams envisioned a day with (...)


MORE






Latest Press Releases


Sudanese students, activists are at risk of torture: HRW 2016-05-25 14:40:51 Human Rights Watch Sudan: Students, Activists at Risk of Torture Free Detainees; Investigate Abuses (Nairobi, May 25, 2016) – Sudanese national security officials have detained dozens of (...)

South Sudan: Civilians Killed, Tortured in Western Region 2016-05-24 22:01:01 Human Rights Watch For Immediate Release South Sudan: Civilians Killed, Tortured in Western Region Provide Justice for Army Abuses in Western Regions (Nairobi, May 24, 2016) – South Sudanese (...)

Open Letter to President Salva Kiir and 1st Vice President Dr. Riek Machar 2016-04-18 12:36:12 South Sudan Women United April 15, 2016 Your Excellencies: South Sudan Women United writes to congratulate you both on the steps you are taking towards ending violence in South Sudan and (...)


MORE

Copyright © 2003-2016 SudanTribune - All rights reserved.