Key personnel* from the Centre of Copper and Mining Studies (CESCO), as reported in MineraAndina, say that Chile should take on the strategic aim of becoming a producer and exporter of mining technology. “This requires the mining sector to be a key strategy of development for the next government, and not only as a source of income or another sectoral issue.
“Chile has the historic opportunity to abandon subdevelopment after 200 years of independence. The signatories here believe that the mining sector would allow Chile to take that definite leap. Hence, the opportunities and challenges that this offers should be worked out and incorporated into government programs in a wide ranging and comprehensive manner, distinct from that which is predominant today, passing from being the main pillar and revenue producer of Chile to being on the platform of development.
“As the election of a new Chilean President draws close, mining related issues have centered around the workers’ conflict in Chuquicamata and the necessity of more resources to finance the new government’s program proposals. Beyond the sovereign definition of taxes that the country wishes to apply, the challenges and opportunities of the Chilean mining industry have gone way beyond royalty and Codelco. In the last 30 years, a worldclass leading industry in size, quality, technological significance and national human capital on a large scale has been built, which offers Chile the possibility of breaking historical ties of technological and financial dependence that has prevented the country from becoming a developed country.
“Incomparably favorable international conditions – derived from the high growth phase of emerging countries like China, India and Brazil spell an increased demand of raw materials in the coming years. And Chile is one of the few countries in the world with the capacity to generate the mining resources that are so intensely sought after.
“Our country has no other industry like mining which is capable of making the leap toward the industries of the future biotechnology, nanotechnology and information technologies. There is no better place than our country to develop technological solutions in crucial matters for the future of global mining, such as in the improvement of use and supply of water and energy, automation and control, underground mining and biotechnology. The big challenge lies in converting these and other emerging issues into opportunities for general knowledge and national entrepreneurship, thus achieving, not only a more sustainable mining business, but a national industry that is internationally competitive, closing the technological gap which has always separated us from the more advanced countries.
“In order to reach this objective, Chile should take on the strategic purpose of converting itself into a producer and exporter of mining technology, This requires the mining sector to be a key strategy of development for the next government, and not only as a source of income or another sectoral issue.
“The above requires leadership from the government to go beyond what is traditional. It is necessary to create conditions of trust and a genuine public-private commitment about this strategy.
“The paradigm of ‘milking the cow’ which considers mining to be just a source of profit and consequently, does not require any other consideration to transform itself into an engine of productive development and national technology, remains to be replaced.
“Other fundamental challenges exist for the mining sector, such as in assuring Codelco’s competitiveness as a large global company, in leading in the environmental standards of the global mining industry, and in modernising the institution and public administration. Another would be in taking advantage of the ample room for national entrepreneurship of small and medium mining which is not happening now, such as in dealing with the paradoxical absence of the mining sector on the Chilean Exchange, and with the slow development of exportation through junior Chilean companies – two issues that reveal the lack of connection of the mining sector with the business world and with national entrepreneurship.
“Chile has a great chance of achieving development. This is the correct time to produce more and better mining, taking into account the unprecedented demand that cannot be maintained indefinitely. Taking advantage of this chance requires decisive action now.
“This motivates us to make this call to those who aspire to lead the country by giving the mining sector a main role in order to achieve development.”
*Patrick Cussen, Cristián Quinzio, Leopoldo Reyes, Gustavo Lagos, Ricardo Olivares, Iván Valenzuela, Silvio Giradi, Ernesto Tirón, Juan Carlos Guajardo, Jorge Bande, Fernando Sánchez Albavera, Juan Eduardo Herrera, Juan O’Brien, Juan Ignacio Guzmán, Owen Guerrini, Jaime Bravo and Jorge Morán