• Study covering the regions of Junín, Pasco and Lima Provinces highlights that mining made it possible to reduce poverty by 18 percent points in 20 years. 

According to the study “Economic and social impact of mining in Central Peru – Historical perspective and vision towards the future”, presented by the Peruvian Institute of Mining Engineers (IIMP) and the Center for Competitiveness and Development (CCD) 57% of the populations in the regions of central Peru (Lima provinces, Junín and Pasco) benefits from mining.

That study, elaborated within the framework of the activities of Rumbo a PERUMIN, details that 1’467,000 persons are benefited from the mining activity through direct and indirect employment (367,000 persons) and workers’ families (1’101,000 persons).

Furthermore, the analysis highlights the ample reach of the industry over the population mass. In the case of Pasco, 90% of the population benefits from the employment generated by the activity. In Junín, it reaches 53% of the population, while in Lima, where the provinces of Barranca, Cajatambo, Canta, Cañete, Huaral, Huarochirí, Huaura, Oyón and Yauyos are considered, the impact benefits 54% of the population.

Poverty reduction

The study also indicates that mining has contributed to reducing poverty by 18 percent points in the regions covered by the analysis, from 52% in 2001, to 34% in 2020. This has been possible due to aspects additional to the generation of employment, such as mining investment, which exceeded US$ 13,600 million in the past 20 years: more than US$ 3,100 million in Lima Provinces, more than US$ 2,700 million in Pasco and more than US$ 7,600 million in June.

Added to this are the contributions represented by fiscal redistribution (canon minero) and royalties, which in the past 20 years have meant for these regions an accumulated amount of more than S/ 6,400 million. From these, more than S/ 1,600 million were for Junín, more than S/ 2,700 million for Pasco and more than S/ 2,100 million for Lima Provinces.

“Figures of this magnitude accumulated for these regions are equivalent to the construction of 45 hospitals or the installation of 2,540 oxygen plants”, commented the economist Rudy Laguna, Director of the CCD.

In turn, the President of Rumbo a PERUMIN, Dr. Miguel Cardozo, mentioned the need to promote the development of a modern and responsible mining in the regions of central Peru so that it continues being decisive for the well-being of the population.

From this perspective, he recalled that these regions have an investment portfolio for a total value of 2,341 million dollars and covers the following projects: Toromocho Expansion (US$ 1,355 million) Ariana (US$ 140 million) and Shalipayco (US$ 91 million) in Junín; Rio Seco Copper Plant (US$ 410 million) in Lima; and the project Yumpaq (US$ 81 million) in Pasco.

It should be noted that the results of this study will be presented to the public in the event Rumbo a PERUMIN “Consensus for the progress of Central Peru”, which covers the regions of Junín, Pasco and Lima Provinces. It will take place from the 3rd to the 5th of May in virtual sessions and will have the participation of representatives from mining companies, professionals and technicians from the sector, national and regional authorities, and representatives of the civil society and the academia.

The event, programmed as a prelude of what PERUMIN 35th Mining Convention will be, will be transmitted live from the platforms of PERUMIN and access will be open to the public.