Your SlideShare is downloading. ×
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech Industries

1,012

Published on

Would you still buy your cell phones, TVs and laptops knowing the blood, war and rape behind the parts that make up your technology? Every vibration, every sound, every light on your phone comes from …

Would you still buy your cell phones, TVs and laptops knowing the blood, war and rape behind the parts that make up your technology? Every vibration, every sound, every light on your phone comes from a mineral that was mined in places with soil rich in minerals. Many times, these are conflict minerals.

Conflict minerals are minerals in your cell phones and computers that have been mined under war-like circumstances. http://footprints-carbon.blogspot.com.br/2010/07/conflict-minerals-and-ongoing-crisis-in.html

Published in: Business, Technology
1 Comment
0 Likes
Statistics
Notes
  • Be the first to like this

No Downloads
Views
Total Views
1,012
On Slideshare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
0
Comments
1
Likes
0
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. ‘Conflict Minerals’ and the Ongoing Crisis in Congo – Transparency for Extraction & Hi -Tech IndustriesWhat are the conflict minerals? What is the relationbetween the Metals & Hi-Technology Industries and thecrisis in DR Congo? WHO IS FUNDING THE CRISIS??? WEDO!!!How can we pursue the agenda to end the trade inconflict minerals and eventually the crisis in Congo?
  • 2. Multinational Corporations from all over the world, engaged in mineralextraction, trading, smelting, refining, and end use electronicsmanufacturing industries: computers, laptops, MP3 - portable music players,mobiles, Smart phones, digital cameras, etc., are illicitly buying “ConflictMinerals”, namely, Coltan (which is a key mineral used in the making of cellphones and 64% of the world’s known Coltan reserves occur in the DRCongo),Tin, Tungsten, Gold, etc., oblivious of the facts that the proceedsfrom these activities are being utilized for funding the various militantgroups, who are perpetuating conflicts, resulting in particularly sexualgender based - violence and other human rights abuses in North andSouth Kivu in the eastern region of the Democratic Republic of Congo (DRCongo).
  • 3. The DR Congo is rich in these minerals that make our daily use electronicgadgets work. The minerals mined in Eastern DR Congo pass through thehands of numerous middlemen, as they are shipped out of DR Congo,through neighboring countries such as Rwanda, Burundi, etc., to the variousprocessing plants all throughout the world. There are no internationalmechanisms yet in place to regulate these clandestine trades, thereforeallowing various armed factions, many with appalling human rights records,unfettered access to world markets, in order to generate funds.These “conflict minerals” are one of the main drivers of a war has claimedaround five and half million lives as of April 2007 with the toll mounting by45,000 a month, according to a study by the International RescueCommittee and more than thousands of women are being raped everymonth in the DR Congo and is widely described as the rape capital of theworld. Furthermore, the conflict areas also appear to have limited attentionto poverty, food securities, health, safety and environmental protection,which may lead to additional negative legacies."Directly or indirectly," says Carina Tertsakian, DR Congo team leader forGlobal Witness, "everyone involved in this conflict is benefitting from thetrade in these resources except the Congolese people who are the victims ofthe war." The mining conglomerates have to come under political pressure,she argues. "They arent likely to stop what they are doing overnightbecause of an attack of conscience." But choking off this flow of funds is notjust about putting pressure on multinational corporations but also aboutforcing governments in the area, through firm diplomacy and tight financialscrews, to uphold protocols and peace processes in order to be in good odor
  • 4. to do legitimate business in the first place. Says Tertsakian, "The economicaspects have been a driving force in this war from the very beginning."The situation in DR Congo is a good example of the so-called “naturalresource curse”, with an abundance of high-value natural resources, it hasslower economic growth and an armed conflict for the past few decades. Theresource curse represents the pre-eminent obstacle to democracy anddevelopment in this country. There is no magic wand to resolve theproblem; there are a range of measures that all nations including India –besides deputing Indian soldiers for Peace Keeping, all the nations can taketo increase accountability and transparency.In the recent past, efforts had been made to counteract similar processapplying pressures externally by instituting sanctions against commoditiesoriginating from conflict zones, namely, the Kimberly Process in 2003. It is ajoint governments, industry and civil society initiative to regulate thediamond market and stem the flow of so-called “blood diamonds”, which wasa success story in Angola.One of the people pushing this grassroots campaign on “conflict minerals” isLisa Shannon (Women’s Rights Activist / Author) founded in 2006 the firstnational grassroots effort to raise awareness and funds for women in the DRCongo through her project Run for Congo Women. She had seen an Oprahshow on DR Congo, and now she has devoted her life - making a differencefor Congolese women.The conflict minerals campaign is now a grass-roots movement and NGOs(like, Enough), are pressurizing companies, like, Apple, Intel and Research inMotion etc., using social media network like, Facebook, Twitter, and YouTube
  • 5. to keep these “conflict minerals” out of high-tech supply chains. A year agomost members of US Congress hadnt even heard of conflict minerals. Thesethousands of Americans wrote on US senators’ Facebook pages andrequesting them to support the Brownback amendment which is currently apart of the “Dodd-Frank Wall Street reform bill 2010” that addressed conflictminerals from Congo, the new blood diamonds. Special interests lobbiedagainst the provision, arguing that it was too expensive and would unfairlyundercut American business.However, the majority of the companies that use these minerals are listedon U.S. stock exchanges, including foreign companies, so it would actuallyset a level playing field for industry. Moreover, U.S. regulations will help setglobal standards, and the audit provision would set a common standard forminerals supply and smelting companies around the world. As a result ofintensive public pressure, a group of companies led by Intel and Motorolahave initiated actions and now developing a process to audit origins oftantalum in supply chains. Moreover, the audit process is inexpensive: theaudits will only cost one penny per product, according to the Enough Project,which says the figure originated with the industry.Speaking to BusinessGreen.com, Zoe McMahon, supply chain social andenvironmental responsibility manager at IT giant HP, revealed that a groupof companies working under the banner of the Electronics IndustryCitizenship Coalition (EICC) is working on the finishing touches to acertification scheme that should help firms identify from which minesminerals and metals such as Coltan, Tin and Tantalum have been sourced.
  • 6. "We are going to introduce a scheme that will audit the metal process firmsand identify those that have due diligence in place that can assurecustomers that they have not been mined from sources involved in theconflict in the DRC, " she said. "We have tested the processes with a numberof tantalum smelters and are ready to move within the next six months."The Congressman Jim McDermott has championed the conflict minerals issuein USA, authoring the Congo Minerals Trade Act (H.R. 4128). In June, 2009,Senator Sam Brownback introduced to require electronics companies toverify and disclose their sources of Cassiterite (Tin), Wolframite (Tungten),and Coltan (Tantalum) or derivatives of these minerals; commonly used incell phones, laptop computers and other popular electronic devices. Underthe bill, U.S. Commerce Department - sanctioned auditors would auditmineral mines declaring them “conflict free or not”. These mines would bemapped to show which ones fund conflict. Furthermore, importers wouldhave to certify whether they were importing conflict minerals – companiesthat do import conflict minerals will be reported to Congress by the UnitedStates Trade Representative. This bill would commit the US government toaddress the mineral exploitation that underpins the violence in easternCongo. Bill requires U.S. companies to annually disclose as part of theirfilings to the Securities and Exchange Commission (SEC) information aboutthe source of minerals used for their products.The Wall Street Reform and Consumer Protection Act 2010 includes thefollowing major provisions for conflict minerals under Sections 1502 & 1504:
  • 7. “TRANSPARENCY FOR EXTRACTION INDUSTRYPublic Disclosure: Requires public disclosure to the SEC of payments madeto the U.S. and foreign governments relating to the commercial developmentof oil, natural gas, and minerals.SEC Filing Disclosure: The SEC must require those engaged in thecommercial development of oil, natural gas, or minerals to includeinformation about payments they or their subsidiaries, partners or affiliateshave made to the US or a foreign government for such development in anannual report and post this information online.Congo Conflict Minerals:Manufacturers Disclosure: Requires those who file with the SEC and useminerals originating in the Democratic Republic of Congo in manufacturing todisclose measures taken to exercise due diligence on the source and chain ofcustody of the materials and the products manufactured.Illicit Minerals Trade Strategy: Requires the State Department to submita strategy to address the illicit minerals trade in the region and a map toaddress links between conflict minerals and armed groups and establish abaseline against which to judge effectiveness.
  • 8. Deposit Insurance Reforms: Permanent increase in deposit insurance forbanks, thrifts and credit unions to $250,000, retroactive to January 1, 2008.Restricts US Funds for Foreign Governments: Requires theAdministration to evaluate proposed loans by the IMF to a middle-incomecountry if that countrys public debt exceeds its annual Gross DomesticProduct, and oppose loans unlikely to be repaid.”The Act was passed by a bipartisan vote of 237 to 192. The legislation isnow under consideration in the Senate and hopefully the stage is all set forthe Senate to clear it before end of July 2010.Legislation alone will not end the conflict in eastern DR Congo, but this billwould provide a crucial step toward the creation of a practical andenforceable means to ensure that the trade in Congolese mineralscontributes to peace rather than war. This bill would also serves as a usefulprecedent for other countries like India to take initiatives to deliberate,discuss and legislate a similar act for Indian based companies, who may befuelling these conflicts in eastern DR Congo. The goal should be to stem theflow of illicit minerals, promote legitimate trade, protect those living inartisanal mining communities, good governance, political stability, humanrights, access to opportunity and unlocking of the economic potential of thisresource-rich lands of the DR Congo and of the Great Lakes region.
  • 9. The most effective way to achieve this goal would be to ensure transparencyin the consumer electronics supply chain to certify products as “Conflict-Free” based on ‘Due Diligence’ study reports, which have been duly verifiedby an independent auditor. Furthermore, awareness programmes areconducted regularly jointly with civil societies, NGOs, etc., for the public topurchase only the “Conflict–Free” products.

×