‘Obama’s Law’ Stirs Concern, Confusion at Key Mining Area in Congo
Posted by Laura Heaton on Apr 20, 2011
Members of a mining cooperative in Walikale (Enough/Laura Heaton)


WALIKALE, Democratic Republic of Congo -- “We don’t understand why
President Obama would want to cut off Congo’s minerals,” said Idrissa
Assani, expressing a sentiment clearly shared by his fellow miners who
sat together in the dark office of their mining cooperative. “It is
the innocents who are vulnerable” and who will suffer most from
“Obama’s law,” he said.

In the simple wooden structure with dirt floors, illuminated by late
afternoon sunlight coming through the open door and through spaces in
the paneling, Assani pulled out a pristine copy of “Obama’s law,” as
the conflict minerals provision of the Dodd-Frank bill is locally
known. People are already suffering from the “embargo” imposed by
President Obama and expecting conditions to only get worse, he said.

Leafing through the pages of the legislation, Enough analyst Fidel
Bafilemba noted to the French and Kiswahili speakers that nowhere in
the U.S. bill is there any mention of an embargo or a ban on Congo
minerals. Rather, the law calls for companies to conduct due diligence
on minerals from Congo to ensure that armed groups and military units
do not benefit from these resources. The group of miners was
surprised, admitting that it has been difficult to understand the
details of Obama’s law since none of them speak English and they’ve
never seen a translated version of the bill.

Adding to the confusion, President Kabila suddenly instituted a mining
ban last fall that effectively shut down all legitimate mining
activities in North and South Kivu and Maniema. The government lifted
the ban in March, but mining companies remain skittish. A European
mining executive told Enough the ban was “a knee-jerk reaction” to the
U.S. legislation and allegations of mass rapes in mining areas.
“Kabila had to show that he was doing something,” the executive said,
but he emphasized that the ban badly complicated certification efforts
and is being viewed by local populations as part and parcel of the
Obama law. “I have no idea who is advising [Kabila],” he added,
shaking his head.

During Enough’s recent visit to this mineral-rich region, we heard
about the detrimental effects of the ban from people directly involved
in mining but also from local officials, shop and restaurant owners,
prostitutes, and motor bike drivers. “The population here was living
in misery [during the mining ban],” said the director of a comptoir in
the village of Ndjingala, at the entrance to the area’s largest mine,
Bisie.

In Walikale, the only regular connection to the outside world are the
planes that arrive a few times each day from Goma, skittering down the
lone stretch of paved road that serves as a landing strip. The planes
bring in goods like cooking oil, fish, fabric, and vegetables whenever
there are minerals ready to be shipped out. If there are no minerals
to ship, there are no planes. Enclavement, or isolation, is one of the
major problems in this area, we were told time and again. “People in
Walikale think that this is the whole world, they never even get to
Goma to find out other ideas,” said a local intelligence official. Nor
do they see the posh lakeside homes in Goma being built with riches
from Walikale.

Thus, as word of the new U.S. ‘embargo’ spread and living conditions
deteriorated under the ban, President Obama became the target of
blame.

But not everyone sees it this way.

“Sometimes we throw stones at other countries … but I pass the
responsibility to the Congolese government,” said a local immigration
officer in Walikale. He described the “system” for authorizing mining
companies to do business in the area: “Companies come with some papers
from Kinshasa, give a little something to the local administrator and
the police, and that’s it.”

Plans are currently underway to open a number of trading centers that
would centralize the steps minerals pass through on their way out of
the country. It is in the trading center, or centre de negoce, where a
shipment would be tagged as conflict-free and a standardized set of
taxes would be applied and documented. The U.S. government has
allocated $11 million to build infrastructure, train mining ministry
officials and border police, and develop communities in mining areas.
“Why would President Obama spend all of this money if the U.S. is
trying to shut down mining in Congo?” Enough analyst Fidel asked
skeptics countless times.

Among people who understand how the trace, audit, certify scheme would
work, there is widespread support. “Traceability is really something
good,” said the comptoir director in Ndjingala, noting that a
formalized system would help standardize the price and create
consequences for those who don’t follow the rules. “If these taxes are
well collected and monitored, something could be delivered to this
place,” said Dieudonné, a miner. “Right now, the military doesn’t want
to deploy elsewhere because of the mineral wealth here,” said the head
of a motorbike transport agency.

But people are quick to caution that political will is the major
obstacle, especially since it is the government officials and army
that have enabled the current “system” to develop the way it has.
Understanding these stakes also helps explain, at least in part, why
“Barack Obama” has become the preferred target for distain in this
remote corner of Congo, and no one is rushing to correct that
perception.



Fidel Bafilemba contributed to this post.

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