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Peru is one of the largest mining powers on the entire planet. According to the US Geological Survey, in 2019 the country was the second largest producer of copper, silver and zinc worldwide. It was also one of the largest producers of gold, lead and tin among many other resources. It’s safe to say that mining has stood out as Peru’s largest economic activity.
Despite this, the new president, Pedro Castillo, has unleashed a campaign against large mining companies and has even threatened to nationalize the industry on numerous occasions. All this has made us at VisualPolitik ask ourselves a few questions:
What role does mining really play in Peru? Why has Pedro Castillo put the mines under the spotlight? What exactly is at stake? In this video we answer these and other questions.
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46 Comments
Probably because the mining sector sends all the money offshore and doesn't pay its fair share of tax.
In Australia the worker pays income tax not the company. Just like the big Tech companies they move the money around boom minimal tax on profits. Let's not forget the huge tax breaks for such things as fuel
Wow!! Another awesome piece of CRAP disinformation by VisualPolitik EN!!! More than 15 minutes straight talking, apprently in depth, about minning in Peru without even mentioning a single name of any of those foreign minning corporations extracting minerals from Peru. Not to mention how carefully VisualPolitik EN HIDES the name of the countries that are minning Peru.
Who paid for this master piece of biased report?? USA?? UK?? France?? Germany?? Just to mention some of the countries that are currently LOOTING Peru in an unprecedented scale.
Coorupt govt. taxes go to Lima. Locals are screwed. Current president more corrupt the previous
Nationalize means socialize. Other than Norway no other country has nationalized any company without corruption and inefficiency
As you point out in the video it all stems from the political left's corruption and gross manipulation of the truth. What Castillo wants is a Venezuela type of state. They complain that mining is disruptive to the environment yet they support illegal mining which accounts for most of the contamination. They blame capitalism for their poverty yet it is their regional socialist governments that steal the mining canon which are voted in by the people due to disinformation perpetuated by the left. They say mining companies don't pay taxes yet Peru has one of the highest tax brackets for mining in the world. In summary, it is all one big fucking joke.
Peru is a very rich country and it should be like Dubai ..
"Is it true the mining companies are irresponsible?"… Are you stupid? It's called neo colonialism, where they exploit your resources for peanuts. The Europeans and the north Americans
nothing will happen cause he will have to arrest half of his family
Visual politics needs to talk about ecosia they are a search engine that plants trees.
Why not fine the companies if they don't follow the environmental guidelines.
Even in the developed countries governments have proved themselves inept at looking after companies.
As for tax I suspect at best it's a matter of poor management by officials. At worse it also involves a bit of siphoning by locals
South America do what South America do.
I just think (more or less guessing), that he is going to be offered or already being paid by BOTH the mining corporations and corrupt entities that funded his election. It is always that good intentions of a man, will get corrupted and tempted by his own selfish needs. I hope that he doesn't destroy the golden goose that lay the eggs (like Venenzuela), but rather manage the distribution of wealth with accountability and transparency.
Lol the reason why office fail to inforce laws is because the multinational companies pay them off. And these companies pay no taxes because of tax dodging. Sorry but I don't feel sorry for these poor multinational mining companies
This is propaganda, there are plenty of omissions regarding the mining companies, pay structures and local employment opportunities. I come from South Africa. Our mining companies have exploited unskilled workers no end. So don't believe the false narrative here.
I think I could well imagine that it could be a trilogy, and I say that without promising anything.
When we wilk have a brazilian vídeo? Bolsonaro is getting crazy!
Where are you Simon……..
Fujimori government oversaw a massive forced sterilization campaign known as "Voluntary Surgical Contraception." According to Back and Zavala, the plan was an example of ethnic cleansing as it targeted indigenous and rural women.
Land is commodity "
Bolsonaro raised the issue: do natives own too much land " – https://www.gazetadopovo.com.br/wiseup-news/bolsonaro-raised-the-issue-do-natives-own-too-much-land-in-brazil/
Amazon will be chopped down and Brazil is mining land. Just sit relax and watch how Worlds will burn to hell.
So in the first two minutes we find out that the President of Peru is an idiot.
This channel really needs to separate itself from the spanish version lol
I don't really trust the profits that multinational companies report in any given country. It is relatively easy to move the income and cost between countries and thus the profit.
It will be inefficient, poorly run, and corrupt. It always is. Not to mention it will cause foreign investment to completely dry up; after all why invest if a government will just steal it?
Everytime a country wants to make money from their own resources white ppl have a problem with it n brand ppl dictators n corrupt after being the ones who install corrupt governments
You know why dont they leave Peru alone. all greedy politicians and Corporations. go! good riddance. And the rest of the world can get their own minerals. Who cares anymore, stop the plunder of the earth. wanna go to another country fine go. Peru can stand on its own ten fold if left alone by those greedy dark entities with hungry profits. to this I say. to hell with you! its great to ask for heavy heavy taxes to mine from the earth! you dont like it, Go! fuck capitalisms.
ABOUT DAMN TIME, MOST OF THE AREAS THAT ARE MINED ARE THE POOREST, AND THEY NEVER CONTROBUTE TO THE LOCALS. ESPECIALLY THOSE COUNTRIES IN EAST ASIA.
LATAM Politics is a seperate company isn't it??? Your channel seems to be it's YouTube channel
Peru suffers not from foreign mining interests but rather it suffers from Peruvians.
Foreign mining operations pay 47% of their profits in taxes. That's not the problem in Peru.
The Peruvians don't spend the taxes they receive correctly and don't reinvest in their country by building roads, power grids, schools, and other necessities for the prosperity of a nation. That's the problem in Peru.
So again, Peru suffers from Peruvian failure to reinvest correctly.
Peru being located in US backward and thinking about nationlizing mining. Some thing tells me things aren't going to end well.
In South Africa we also have a big problem where private companies bribe local governments to sell them mining rights and exploit the communities without profiting the communities in them
I'm from Peru. And I'm glad that you, first world people, are scared because you are always who get the most profit from our resources.
The big issue is the water supply.
The issue of Peru is inefficient regional governments don't use the high taxes from mining that are given explicitly to the regional governments back to build their regions, they instead steal half and send the other half back because of inefficient spending (half of them just make statues everywhere…).
Then private mining gets the blame for it, the real issue is the low education of people, but that's not entirely on the central government, again, for the regions to have some sort of decentralized authority, they made regional governments but those themselves are corrupt and don't do anything.
Peru's party leader (Cerron) was a regional governor as well, and in addition to corrupt he increased anemia on kids in his region to record high levels.
Companies are about profit. Expecting them to do "social good", whatever that means, is insane. A certian scene from Atlas Shrugged comes to mind..
He's got a cool hat
No matter when you read this, Latin America is always collapsed.
I was in Cajamarca a few years ago when a protest against the Conga mine was held outside my hotel. There were a lot of illerate farmers being coordinated by suspiciously white people with clipboards and radios. Mining protestor is an occupation for some people
FUERA LACRA COMUNISTA
No, you don't have to add salaries, social contributions etcet. to income taxes a company pays on its Profits. It's just a cost for them, just as energy, transport, materials, etcet.
The strange thing is: what a company pays to independant contractors it's portraited as a cost.
What a company pays to it's workers it's portraited as 'a gift to the country'. While both are simple transactions: labor in exchange for money.
So, can we stop this BS, please?
You sound like from GB, a country that has try to invade Perú 5 times and put a brother country as enemy for ever, I am sure your country would love to have all the minerals of Perú, this is an other way the west wants to screw up this country, Perú is rich, F off.
Well guys, it's time to tell you the true about why he wanted to nationalize the mining industry.
Him and his voters didn't know they had to pay for it.
No, seriously, they didn't know, this is one of the things many people here still don't get it, you can't just send in the tanks because either you will end like Iraq or with all your international assets confiscated, even the military government of Velasco Alvarado, backed up by the Soviet Union couldn't just take things for free.
Anyway, it seems he is slowly starting to figure out basic things you need to know to be president of Peru, you know, keep the dollar stable by not firing Velarde, talk about being inclusive while going to some town up the hills, say you support entrepreneurship while visiting one of Lima's industrial and commercial clusters, all while learning how to put your buddies as favoured inner advisors so it's the ministers the ones taking the bullets while corruption and nepotism takes its usual drops of peruvian sweat and blood.
I think a good middle ground will be lower taxes on the mining sector, it would give the industry a boost thus offsetting the loss of revenue, but force the companies to pay a certain wage and have a governemnt agency to audit these mining companies to make sure the people benefit by having access to high paying jobs. The government won't do that because they will never do anything for the best of the common people. Corrption is so bad in every government so imagine if the Peruvian government takes control of the biggest economic sector. I think this could destroy their economy just like socialism does to every country. Free market is the only solution to our problems. In america there is at least a lot of free-market opportunities like ubereats, Side hustles, and small business employing people.
Another politician willing to kill the goose.
Like most socialists – he has no concept of the costs of doing business. He believes a product sold for $1 is $1 of profit.
Proof Bolivia is better than Peru. Just saying😐
They need to follow the same rules in the poor countries as they do in their own countries. Stop contaminating the drinking water with mercury, the land with arsenic and the air with sulfur.
Cajamarca is not the poorest region of Peru. This story is filled with half truths and pro-big mining propaganda.