Dirty Gold War may not have had as much money thrown at it as Blood Diamond, the Hollywood super-production starring Leonardo DiCaprio, yet this documentary by Daniel Schweitzer, released in June, delivers an equally worrying message. “Gold remains the mythical metal of the gods, and a symbol of purity, luxury, opulence and wealth, even fidelity,” declared Schweitzer at the screening of his film in Switzerland, “yet the true story is altogether different. Gold is dirty. Gold kills. Gold causes environmental destruction and puts populations at risk. Knowing this, I wanted to film gold from mine to retail, and show what actually happens from the extraction of illegal gold to its legalisation. I wanted to give a voice to the victims who are claiming their due, but also to the luxury industry.”
Of the roughly 3,000 metric tons of gold mined annually in the world, around 20% is produced by 20 million artisanal and small-scale miners, writes natural resource strategist Didier Julienne in an essay on fair-trade gold for French daily Les Echos. On the one hand then, 2,400 metric tons of gold obtained using highly mechanised means, sub-surface scanning and processing technology, and on the other 600 metric tons found by individuals using low technology and minimal machinery, and with no access to banks, investors or hedging techniques. However, as Didier Julienne points out, these 600 metric tons are by no means always fair-trade. In reality, only a small proportion adhere to fair-trade standards, namely the legality of mining activities with respect to national authorities, the guarantee that the mining area does not include a critical ecosystem or conflict zone, the refusal of child labour and forced labour, and environmental protection measures including the minimisation of mercury use and zero mercury waste.
A question without answer
Environmental damage, health hazards, illegal miners and local communities in conflict over natural resources, unacceptable labour conditions and poverty among indigenous populations: the consequences of gold mining reflect the methods used to extract this coveted metal. The extent of the problem is such that certain parts of the globe are said to be blighted by the “resource curse”, namely low economic growth despite underground riches. The traceability of gold is widely considered as one of the most effective solutions, yet according to Daniel Schweitzer “it is currently impossible to identify the origin of 95% of the gold that ends up on the market. This is nothing short of outrageous. To stay within the luxury segment, we know exactly what time an Alaskan salmon was fished, packaged, transported and put on sale. The same goes for Kenyan roses: we can even trace the name of the employee who cut them. But for gold, nothing. Anyone visiting sites in Congo, Brazil or Peru will immediately understand why: gold is extracted in the worst conditions and in many cases illegally.”
Just as activists continue to drive home their message, organisations are also taking important initiatives to promote sustainable and responsible gold production, in particular the Alliance for Responsible Mining (AMR) which has joined forces with the Responsible Jewellery Council (RJC) to draw up the Fairmined standard for artisanal and small-scale gold mining. The RJC currently has more than 600 certified members in the gold, diamond and platinum supply chains, all of which are committed to responsible practices in human rights, labour conditions and environmental protection. That the industry itself is now taking a stance suggests it has something to gain: a reputation that will help promote an irreproachable image, a premium paid for “ethical” gold that will improve living conditions for miners and their families, and marketing collateral to win over consumers. All of which prompts Didier Julienne to conclude that “the luxury industry has everything to gain from supporting fair-trade gold, which only needs investment from these opulent brands in order to develop and grow.” Why then, he asks, in a luxury segment that has no shortage of means, whether on Place Vendôme in Paris or in Geneva, is Chopard alone in attaching importance to the use of fair-trade gold? The answer has yet to come.