MADAGASCAR - TO BENCHMARK 8-11.p65

MADAGASCARMADAGASCAR TO BEBENCHMARK FOR GLOBALGEMSTONE TRADE REFORM?The gemstone sector is a small niche globally, avoided by the large scale mining groups, and is suitedto small private, often informal, operators. Madagascar is the source of a significant portion of theworld’s sapphire production, and is rich in most other gemstones. However, the country’s gemstoneindustry remains opaque and much of the trade in this sector is illicit.his is not unique as much of gasy national withthe world gemstone trade links to bothlacks transparency, and to government anddate efforts to formalise its work- the World Bank.ings have met with limited suc- She has beencess. Regulation of the gemstone placed into aindustry in Madagascar faces an position where sheadditional hurdle in that this is a can facilitate thecountry that has only emerged development of therecently from decades of misrule. country’s miningHowever, in the fluid environment sector, and whileof Madagascar’s re-emergence she says the fourthere also lies an opportunity to priority commoditytransform its gem- areas she isstone industry. This focusing on areGemstones mined in Madagascar, including somecould place the ilmenite, nickel,featuring inclusions in quartzite.country in a position to iron ore, and coal,set a benchmark for the gemstone sector is on her in Madagascar could be differentthe sector elsewhere, radar. because instead of the standardsuch as Zambia, career bureaucrats, the ...