Competition between industrial mining and agricultural exploitation in South Kivu: Case of the Luhwindja Chiefdom Community

S Vwima, C Rushigira¹ and G Munguakonkwa¹

Faculty of Economics and Management at Université Evangélique en Afrique (UEA/Bukavu, RDCongo)
svwima@yahoo.fr
¹ Department of Rural Economy at Université Evangélique en Afrique (UEA/Bukavu, RDCongo).

Abstract

In South Kivu, the expansion of the phenomenon of implementing mining companies on agricultural land is currently a reality. Competition between subsistence farming and mining by Twangiza Mining BANRO Corporation Company and artisanal gold mining is a situation that concerns rural society, especially agricultural producers in Luhwindja food chiefdom in the territory of Mwenga in South Kivu Province. This phenomenon can never exist without any influence on the farming and household’s food security. It is in this context that this study aims to analyze the socio-economic consequences of mining on agricultural production, on the rural population lives, in general, and in the chiefdom of Luhwidja in particular. The purpose is then to analyze the changes brought about by the mining activities on agricultural activities and the socio-economic life of the people of this community through data collected from interviews with chiefdom, relocated populations and NGOs representatives and from a survey questionnaire involving 50 farmers, 50 agri-miners (an agri-miner is one who practices both farming and mining) and 50 miners occasionally chosen.

Keywords: competition, farming, mining, socio-economic life

Introduction

External forces disturb the tranquility of rural areas and sometimes jeopardize their vitality, even their viability. The industrialization of mining, leading to the intensification of the exploitation of the world's resources, is the cause of environmental degradation, which can cause local communities to change their living conditions in poor countries (Blaikie et al 1995). For Bridge, the natural resources exploitation, considered in the tradition of several developing countries as the key to economic growth, must take into account environmental issues, and especially the socio-economic realities of populations bordering the mines in order to be effective (Bridge 2004). Mining causes direct and indirect damage to environment. The impacts are mainly due to the disruption, displacement and redistribution of the soil surface which threaten food security through the farmers' agricultural activities weakening (Chaire in eco-consulting 2012). However, several governments in the context of securing access to mineral resources systematically support large-scale exploitation (Geenen 2011). As demonstrated by study carried out by Geenen, S. (2013), in the Eastern Democratic Republic of Congo, the presence of industrial mining such as TWANGIZA was the cause of dispossession and displacement of the various actors (farmers and artisanal farmers), disrupting the local structure.

Agriculture is the basis of the congolese economy. Its share of national income reached up to 50% in the 1990s. This growth was partially attributed to the collapse of the other reflation sectors of the economy in general and of the mining sector in particular (Chausse et al 2012). However, since the beginning of the restoration of peace in 2002, this share gradually declined. The revival of the mining sector therefore strongly competes with agriculture in terms of the labour use, but also in the areas formerly exploited by agriculture. According to World Bank statistics, the share of agriculture in the gross domestic product of the DRC is 21.2% in 2014.

Several factors underlie the fragility of the agricultural sector in relation to the mining sector. The South Kivu agricultural sector fragility explained by the smaller size of family farms (less than 50 ares on average), traditional and rudimentary farming techniques, low employed capital, family and community labour utilization and the productivity weakness (Mastaki et al 2013), are the basis of the sector's inability to cope with competition from highly capital-intensive and profitable mining industries.

In Luhwindja chiefdom community, Twangiza Mining forced small farmers to switch to land concessions and compensation for industrial mining. This situation is not only one of the causes of the low returns observed in the agricultural sector of the chieftaincy but also of the socio-economic, environmental and food problems generalized in this community which was for a long time weakened by the various wars and insecurities. This study seeks to understand not only competition between the mining sector and the agricultural sector, but also to explain the impact of artisanal and industrial mining on agricultural production and household food security.

Several studies have already been carried out on this issue, but very few have deepened the aspect of the vulnerability of the agricultural sector to industrial mining. Thus, this study addresses the concern about the extent to which the agricultural sector is being replaced by industrial mining in Luhwindja with the arrival of Twangiza mining and what are the training effects of the presence of the latter on the life of the local population.

Methodology

This study was carried out on the basis of two types of data: primary data collected on the basis of a series of surveys and interviews carried out during the period from 8 to 22 April 2014 and secondary data based on the approach documentary. The target population of our study was therefore Luhwidja's farmers, mining craftsmen and agro-miners. The choice of the Luhwindja chieftaincy community was dictated by the fact that it is one of the main areas of intervention of Twangiza mining and this is where the phenomena of concession and compensation of agricultural land for the benefit of industrial mining are experienced acutely in South Kivu.

Primary data were collected not only on the basis of three survey questionnaires, but also on the basis of interviews with local authorities in the community-chieftaincy and clusters, displaced populations by Twangiza Mining, and some associations working in the agricultural sector in the Luhwindja chiefdom community. As the agricultural and mining sectors were not well organized and statistics on the number of farmers were not available, the non-random method was used to select the sample. For example, a questionnaire was administered to 150 occasionally chosen households, including 50 farmers, 50 agro-miners and 50 miners or artisanal miners. Secondary data were collected on the basis of readings of several reports, books, and articles. All of the latter helped to enrich our knowledge on the subject. The data were encoded in the Excel program and then analyzed using the SPSS software.

Since the study focused on three groups (farmers, agro-miners and artisanal miners or diggers), the Average Comparison T -test was used to decide about the significance of the difference observed between the groups based on some quantitative variables.

Brief presentation of the Luhwinja Community Chiefdom

Luhwindja is located in the territory of Mwenga to 41 Km in the South-Western Bukavu City with 2 ° 53 ' of Southern latitude and 28 ° 45' of Eastern longitude. Its surface area is 183 km2, with a total population of 93,146 inhabitants dispatched up into nine groupings and 27 villages according to the annual report of the Luhwindja Chieftaincy (2013). The average density is 509 inhabitants per km2. The Luhwindja Chiefdom Community is bounded in the South by Luindi, in the East by the Kaziba Community Chiefdom, in the North by the Ngweshe Community Chieftaincy across the Kilungutwe River up to its confluence with the Kabwe River and to the West by Burhinyi and Luindi. The average temperature of the Luhwindja chieftaincy ranges from 22 to 25 ° C with a cold climate and mountainous relief from an altitude of 1,760 m from the lowest point in Lubanda and 3000m from the highest point in the Muhi mountains I and II. The climate has two seasons: the rainy season (September-May) and the dry season (May-August). The Luhwindja Chieftaincy hydrography is dominated by the presence of several rivers including Namunana, Lulimbohwe, Ntuzi and Nakishi which have their springs in the high mountains. The economy of the Luhwindja Community Chiefdom is based on agriculture, but there is also the presence of small trade and industrial mining (BANRO Company) and artisanal mining. The Luhwindja soils are increasingly poor and exposed to rainfall erosions. This leads to low food productivity. This soil poverty makes the development of subsistence farming unfavorable (De Failly 2000).

Agricultural production in South Kivu, Mwenga and Luhwindja

In South Kivu, agriculture is mainly practiced by agricultural households that are not sufficiently managed on small areas, with rudimentary tools, unimproved seeds and obsolete cultivation techniques (UNDP / DRC 2009). These problems are compounded by land conflicts, the virtual absence of agricultural policy, the low budget allocated to the agricultural sector, the small size of agricultural holdings, and the virtual absence of transport infrastructure. This situation justifies the low yields and agricultural yield observed in the rural areas of the province (Vwima et al 2012). These factors are compounded by Banro's mining activities which disrupt agricultural activities by transforming certain fields into mining sites.

Table 1 shows the low portion of the Luhwindja Community-Chiefdom production in the total production of the Mwenga territory. For the four crops observed, the share of Luhwindja's production in the Mwenga territory is 3.8%; 1.0%; 6.8% and 13.1% respectively for cabbage, cassava, maize and beans. One of the causes of this low share is the competition between the agricultural and mining sectors in some rural areas, such as Luhwindja. Indeed, the agricultural sector is losing some of its labour and land to the benefit of the mines.

Overview of the mining sector in South Kivu

Industrial exploitation of minerals quickly developed in the DRC following Belgian investments and the increasing demand for mining products on the world market (Bezy et al 1981). The return in recent years of industrial societies in the mining landscape of South Kivu coincides with the acceleration of mining dynamics thanks to the opportunities offered by the DRC for private investment and the reforms initiated in the legislative framework and the Congolese mining sector regulation (Kamundala 2012). The World Bank and the International Monetary Fund (IMF) have urged the Congolese State to revise its mining legislation (mining code 2002) in order to attract private investors in the mining sector. Since then, this 2002 mining code attracts many private investors in the DRC because of the tax advantages it offers. This is the new change in the mining sector of the DRC observed in the mining sector in South Kivu for several decades. This began with the passage of several companies, including the MGL (Mining of the Great Lakes), SAKIMA (Gold Bearing Society of Kivu-Maniema), SOMINKI (Mining and Industrial Society of Kivu) and SOMICO (Mining Society of Congo), Currently BANRO. According to Didier De Failly (2001), the activities of the MGL and then of the SOMINKI were interrupted because of several conflicts and Mulele rebellions that rocked the country in the years 1964-1967, the sudden recession of the minerals price in the international market due to the oil crisis in 1970 , the AFDL (Alliance of Democratic Forces for Liberation) rebellion between 1996-1997, the RCD (Congolese Rally for Democracy) rebellion between 1998-2002, the rise of the CNDP (National Congress for the People's Defence) in 2006 - 2008, the M23 (23 March).

In South Kivu, minerals are found in the territories of Fizi (gold, silver), Walungu (gold), Mwenga (Cassiterite, gold), Kalehe (gold, cassiterite), Kabare (cassiterite, gold) Shabunda (gold, coltan, cassiterite, silver), Uvira (Cassiterite, coltan, gold) and Idjwi where some wolframite mines are observed. The two modes of mining, namely industrial and artisanal, seem to be difficult to coexist (Kamundala 2012). Even though the Congolese mining sector has been accused of several evils (employment of children and women, war economy, destruction of the environment, etc.), Hentschel et al. (2003) show that this sector remains important in terms of production and income generation in the small mining economy in the Congo, as in the case of several other mining countries. For Mazalto (2008) quoted by the French-speaking Belgian Justice and Peace Commission (2012), some estimates of artisanal production show that the it should account for more than 80% of the mining output exported by the DRC. The contribution of mining to development is controversial by several authors. In general, there are two debates: one supports the existence of links between mining and poverty or underdevelopment and the other which makes links prevail between minerals and conflicts (Kamundala 2012).

In the territory of Mwenga, industrial mining was marked by the passage of certain actors. First, it was assured by the SOMINKI created in 1976 which was liquidated in 1997 in a great confusion sustained by wars and political uncertainties. According to Kamundala (2012), this left open the door which was already semi-open to large-scale artisanal exploitation. Subsequently, the liquidation of SOMINKI (created by the merger of two colonial mining companies, namely COBELMIN and SYMETAIN ) was accompanied by the establishment of the Canadian holding company BANRO in 1997. BANRO gradually established itself in Twangiza (Luhwindja Community-Chiefdom) in 2005.

Several works on the relations between communities and mining companies in mining-trained countries and on the socio-economic impacts of mines show that the population does not perceive the impact of the mining company as well as the local heads and the leaders (Geenen and Iragi 2013). In Luhwindja Headquarters, for example, with the arrival of the company Twangiza Mining in 2004, a project to relocate families was initiated in the context of a conflict of management of customary power (Kivu Mines house 2015). Approximately 450 families are concerned by this project and will be required in due course to release the spaces they occupy for the benefit of this mining company. It should be noted that 250 families have already been relocated for compensation. However, this is deemed insufficient by the population concerned (Interview with the King), Office and the relocated population of the Luhwindja community ). Geenen and Iragi (2013) conclude that the changes brought about by the arrival of Banro Corporation resulted in resistance but also in a power organs reconfiguration.

Based on these productions and considering the market value of gold on the local market in Bukavu, we note it is clearly that artisanal and industrial production injected more than US $ 3 million and US $ 110 million respectively into the Southern Kivu economy in 2013 (Note that these figures are in nominal terms and are nevertheless obtained by extrapolations). The constraints remain the deplorable working conditions of artisanal miners. These conditions expose them to frequent accidents and diseases of all kinds. In addition, the agricultural labour force is emptied for the benefit of mines.

Comparison of agricultural increase and mining increase in South Kivu

Table 3 shows that between 2012 and 2013, cassava and maize production respectively decreased by 10.9% and 10.4% although climatic conditions were stable, while the gold production increased to 23.1%. This situation constitutes a danger for the sustainable development of the province of South Kivu whose economy is mainly based on the agricultural sector. It is to be understood at this level that the increase of gold production is the result of the revival of industrial production. At the level of these statistics, competition between the two sectors is already observed, and the agricultural sector failure is on the horizon. That seems to be worrisome. In our opinion, the danger is that about 70% of the province's population live at the expense of agriculture. The decline of the agricultural sector to the mining sector threatens not only the food self-sufficiency of the province but also the economic situation of many households. Unlike agriculture (a sector composed of renewable resources), the mining sector is composed of non-renewable resources which, after a period the cost of producing mines, would be higher than the revenue. This would be a danger to the sustainable development of the province.

Results

The results presented in this section are based on a survey of 150 household heads in the Luhwindja community, in the South Kivu province.

Profile of respondents

The results of the survey show that 32% of respondents are female and 68% are male. Women have a strong presence in agriculture, which explains why women are the mainstay of agricultural production and household food security. The mining sector is almost a sector of activity of men as diggers. Women are also present in this sector, but they are much more involved in washing and sifting products and in related activities such as restaurants, petty trade and prostitution. Difficult working conditions, high risks for miners and cultural taboos are barriers to the women entry into the artisanal mining sector. The trend also shows that women are moving towards mining activities with an estimate of 12%. This may create an imbalance between the agricultural and mining sectors because women in South Kivu are the mainstay of household food security and are the main actors not only in production but also in marketing of food products (Vwima 2014). The survey results show that 51% of respondents are married and are expected to have some responsibility in the household while 43% are single.

More than 44% of respondents are under 27 and over 8% are under 17 years of age. There are, however, a large number of young boys and children. Young boys and children are much more present in the mining sector than in the agricultural, because of the very high incidence of household poverty, which means that many children do not have access to school.

Despite the prohibition of the Convention on the Rights of the Child in article 32, which stipulates that the child must be protected from economic exploitation and shall not be subjected to any work that is hazardous or likely to compromise his or her education, physical, mental, spiritual, moral or social development (Kahingi 2013), a significant proportion of children under the age of 17 (16%) work in the mining sector. Most of these children have dropped out of school. Despite the efforts of some local associations, such as the Association for the Economic Promotion of Women (APEF), which has been able to reclaim certain children and reinstated them in different schools, the phenomenon of children working in artisanal mines remains a reality in the Luhwindja community.

The results of the survey show that 36% of respondents are illiterate and only 30% and 42% respectively have primary and secondary school level. This low level of respondents coincides with that found in most rural households in South Kivu. It is in the mining sector that many illiterates are found only in the agricultural sector. This situation can be explained by the presence of a large number of children who have dropped out of school but also by adults driven by poverty and the search for high wealth and who find it useful to stay too long time in the mines up to the point to abandon their families. The average household size is 6 children per household, 7 of which are children of farmers, 6 children of agri-miners and 5 children of miners.

Household current expenditure

The table above shows that there are no significant differences between the food expenditure of farmers (38.4%), miners (40.2%) and agri-miners (43.3%). The higher expenditure on health and education among farmers than in the other two household groups deserves further study and explanation. The great difference, however, between communication costs among mining and agri-mining households in comparison with farmers can easily be explained by their remoteness with their families. The results of the survey show that more than 12% and 18% respectively of agri-miners and miners phone up their families each day and more than 66% and 53% do it once every two days and only more than 2% and 5% do not phone up and are not regularly aware of the situation of their family left behind in the village.

Comparison of income spent by farmers, agri-miners and miners

The different income values represented below have been found from an expense perspective.

Figure 1. Comparison of average monthly income (US $ / month / household)

Figure 1 shows that Agri-minier's income is the highest of all other sectors with an average of $ 379.4 per month. It is followed by the one of the digger namely $ 215.7 per month and finally, the lowest, of the farmer estimated at an average of $ 91.4 per month. The daily income per person per day gives the same trend. It is $ 0.44 per person per day; $ 1.25 per person per day; $ 2.1 per person per day for farmers, diggers and agri-miners in the Luhwindja community.

This situation shows that agricultural households live on average below the monetary poverty threshold set at US $ 1 by the World Bank while mining households and agri-miners live on average above the poverty line. This low income of the agricultural sector relative to the mining sector can also be among the causes of the abandonment of the agricultural sector in favor of the mining sector.

The abandonment of the agricultural sector in favour of the mining sector is confirmed not only by the fact that more than 80% of mining diggers surveyed claimed that their previous activity was agriculture, but also by the significant difference in incomes observed among farmers and mining diggers. To this justification, we can add the results of the t comparison test (t = 4.155, dd1 = 49, P-value = 0.025) which reveals a significant difference in income averages between farmers and mining diggers with a p -value of 0.025 below the threshold of 0.05 fixed.

There are also a number of barriers to entry into the artisanal mining sector. These include the many taxes to be paid by mining diggers, the purchase of a membership card from the association to be identified as a digger while entry into the agricultural sector is free except for access to land in the conditions of tenancy or sharecropping, which is becoming more and more difficult especially among young people.

The increased income of agri-miners can be explained by the fact that more than 23% of agri-miners invest some of the income from the mine in agriculture. Since agricultural production is heavily focused on household consumption, the reverse investment in mining activities is not clear, as only 0.5% of these households invest part of their income from agriculture in mines. The diversification of sources of income by farmers could be one of the measures to deal with the uncertainty related to the income variation of the agricultural sector.

Seniority in farming and mining

It results from Table 7. that the farmer in the Luhwindja community has more seniority (more than 19 years) in his activity compared to diggers (over 12 years) and agri-miner (over 11 years). It should be pointed out that the rural population of Luhwindja was dependent on agriculture, although there was an artisanal exploitation of gold. However, this trend was disrupted with the arrival of Banro (Twangiza Mining).

Impacts of the Banro installation on the socio-economic life of the Luhwinja population: perception of the population

In order to understand the different impacts of the Banro installation on the socio-economic life of the Luhwindja population, the data that have been used derive from interviews with several actors including the representative of the different communities of which people of the delocalized population, the representative of the customary chief and local NGOs. We should also point out that the results remain to be put in perspective because, despite our goodwill, we did not manage to get an appointment with a representative of BANRO (Twangiza Mining) during the period of the investigation and we did not have access to the document of the agreement between this Society and the local population.

Fulfilled and unfulfilled promises made by BANRO to the delocalized population of Luhwindja

It results from Table 8 that all promises to the displaced population of Luhwindja have not yet been fulfilled by BANRO. Some are being implemented and others have been poorly implemented. Speaking of BANRO's land compensation to the displaced population, the results of the survey show that it was insufficient and was far below the value of the land. It is difficult to confirm this as long as the households surveyed have not provided the document of the agreement with BANRO. According to the displaced population, meetings were held between the BANRO Company and the customary chief and the latter gave the report to the community group that was faithful to him.

The houses built by BANRO are considered to be too small as can be understood in this sentence of a delocalized person living in one of these houses: "The houses built by BANRO are single houses, they have only two rooms while my front house had five rooms, a garden and trees in my plot that have never been compensated, ..., I really live in bad conditions ". In addition, although water taps are operational, the population complains that the water supplied is not that of the source and is not treated regularly. The houses are not yet electrified and the market is not yet built. A building for the clinic / hospital is under construction but, it is not big as the one provided for planned by the convention. That is why some people call it a health post. The road is not built, the existing road is hardly practicable especially during the rainy season. Only 4x4 vehicles and motorcycles can access it. At the opening of the activities, 62 people out of 143 relocated families worked as day laborers in the BANRO Company but for the moment, only 25 labourers work there (interviews with the representative of the population delocalized by BANRO). The others were replaced little by little by workers coming from elsewhere.

Other socio-economic impacts of the activities of the Twangiza Mining Society on the population of Luhwindja

Other socio-economic consequences of the presence of BANRO on the population of Luhwindja are summarized in Figure 2. It results from Figure 2 that socio-economic effects of BANRO's activities remain negative and positive in the eyes of the population of Luhwindja.

On the economic viewpoint, the significant decrease in the artisanal mining of minerals is the basis of the decrease in incomes of several households and the basis of unemployment for a large number of men. Small trade is not growing despite the increase in market share for some horticultural products such as cabbages, carrots and meats purchased largely by ATES (It is a subcontracting company for the catering service of BANRO ) but the supply chain is not well organized. According to local sources, there are several intermediaries who benefit from a large margin of marketing to the detriment of the local producer, whereas there is a possibility that they deal directly with the peasant structures. According to the survey, ATES takes the products always on credit and pay after 3 to 4 months. This discourages local agricultural producers, the majority of whom are poor because the payment of ATES comes when the farmer has already borrowed heavily for his survival while the payment only serves to repay his debts. The expropriation of land by the BANRO Company is also the basis of the decline in agricultural production. In the agricultural sector, although the agricultural deserted roads are not maintained and the Luhwindja-Bukavu National Road is maintained in clay by the BANRO Company, it is an opportunity for the population of Luhwindja and other villages to evacuate their agricultural products. However, the presence of a multiplicity of taxes and harassment of the military, police and certain departments of the State towards the agricultural producers which continue to pose as a major constraint to the development of these exchanges.

On the social level, no school is built by BANRO in Luhwidja and the houses are not electrified whereas this is provided for in the agreement between the population and BANRO (This must be qualified as long as we have not had access to the Convention document ). The clinic is under construction and the only dwellings are those built for the delocalized populations.

Figure 2. Other socio-economic impacts of BANRO's activities on the population of Luhwindja

On the environmental front, climate change is experienced by the people of Luhwindja. This has an impact on the agricultural calendar and consequently on agricultural yield. One of the causes of this climate change is deforestation on the hills occupied by mines. The polluted water from the plant and the landslide are also environmental problems present in Luhwindja. These negative externalities are also confirmed by Lapeyre et al. (2011), who show that mining activity in Katanga contributes to contaminating the environment with heavy metals. Failure to take account of village agricultural areas during the distribution of exploitation permits by the government is the basis for land expropriation, the reduction of areas and the various types of pollution suffered faced by agricultural farmers, though they constitute the largest category.

Conclusion

• The aim of this article was to analyze the competition between mining and farming and to analyze its consequences on the socio-economic life of the rural population of the community - the Luhwindja chieftaincy (Mwenga territory in south- Kivu). Throughout the study, we have shown that artisanal mining has decreased significantly in favour of industrial exploitation in the said known community. The results show that the agricultural sector is abandoned to the benefit of the mining sector and the income from the mining sector remains higher and significantly different from that of the agricultural sector. The economic, social and environmental consequences have followed and constitute a real threat to the peasants and a major obstacle to the development of agriculture. Thus, in order to answer the question under what conditions the agricultural sector and the mining sector must coexist in Luhwindja, we proposed several responses, namely compliance with the BANRO relocation agreement, the distribution of land to relocated households, the organization of the food supply chain by ATES, the maximum access of the population of Luhwindja to employment in the Company and the revitalization of the agricultural sector. These recommendations can only be implemented if they are incorporated in the development plan of the Luhwindja Community and if there is a regular monitoring of the State guaranteeing the population welfare.

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Received 3 August 2017; Accepted 23 August 2017; Published 3 October 2017

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