This is an area that needs to be questioned as a number of gold exporters use gold jewellery exports as a way to get around the requirements of refining locally before export or the requirement of a gold export licence which is often not allowed or approved easily.
Spencer Campbell SE Asia Consulting…
The export of Gold doré is often restricted in order to promote local refining and to prevent illegal mining and trading of precious metals. However, some gold traders attempt to get around these export restrictions by turning Gold doré into gold jewellery for export purposes. This practice has negative impacts on both the environment and local communities.
Firstly, the process of refining Gold doré into jewellery often requires the use of toxic chemicals, such as cyanide, which can have detrimental effects on the environment and the health of workers. In addition, the high demand for gold jewellery can lead to increased mining activity, causing deforestation, soil erosion, and water pollution. This can have significant negative impacts on local communities, particularly those who rely on these resources for their livelihoods.
Furthermore, the legality of turning Gold doré into jewellery for the purpose of exporting in order to get around export bans is questionable. This practice may violate international trade laws and regulations, particularly those related to illegal mining and trading of precious metals. The use of loopholes in export restrictions also undermines the efforts of governments to promote local refining and reduce illegal mining and trading.
Turning Gold doré into gold jewellery for the purpose of exporting to get around export bans may have negative impacts on the environment and local communities, as well as being of questionable legality. It is important for governments and industry players to work together to promote responsible and sustainable mining and trading practices in the gold industry, while also protecting the rights and wellbeing of local communities and the environment.