Las Bambas: a project that promoted Apurímac and Cusco

Las Bambas: a project that promoted Apurímac and Cusco

Leaf from the Chinese company , has been invaded by the Fuerabamba community for a month and a half and has not produced copper since April 20, the date on which it suspended production, which has mainly affected the Apurimac and Cusco regions. What is the contribution of this mining unit to both regions and the country?

To get an idea, during the stoppage of the mine, the country and the Apurímac region have stopped receiving S / 5.2 million daily canon and royalties. That is, S / 197.6 million until today, May 28.

Las Bambas generates about 9,000 jobs, between direct (payroll) and indirect (through suppliers), and allows the creation of approximately another 75,000 induced jobs, according to data from the National Society of Mining, Oil and Energy (SNMPE). However, when looking at the impact of the operation in the region, its influence on the Apurimeño economy stands out: it represents 70% of the Gross Domestic Product (GDP), according to Macroconsult.

LOOK: Las Bambas will not produce copper until an agreement is reached with Fuerabamba, MMG reported.

As an example, this year, Las Bambas will contribute to the economy of Apurímac with S/314.5 million for mining canon. Such amount will be the result of its first tax profits, registered in 2021.

Of the sum, last January the Ministry of Economy and Finance had transferred S/143 million to the region as a canon advance.

The effect on economic activity and employment is also reflected in the region’s annual GDP per capita, which is S/15,047, among the 8 highest in the country. And the effect on employment does not occur only in Apurímac, but also in Cusco.

Of the 9,000 direct and indirect workers, almost half are from the two mentioned regions: 28% are from Apurimeño, while 21% are from Cusco.

To this is added that the production of Las Bambas represents 70% of the Gross Domestic Product (GDP) of Apurímac and contributes 17% of the copper produced in the country, according to the SNMPE.

urgent solution

Despite the driving force it represents for Apurímac and Cusco, Las Bambas continues to be paralyzed and neither the state of emergency decreed by the Government nor the meeting of the Executive with the community have made it possible to put an end to the conflict and resume operations.

The president of the Council of Ministers, Aníbal Torres, also participated – almost forced – in the dialogue this week, but his presence in the area only fueled the fire. So far, the community members maintain the measure of force. The end result was that Torres himself assured that they will only withdraw the state of emergency when calm returns.

“As I told them (the community members) in that meeting: the state of emergency is lifted immediately after social peace is restored. They call off their strike and we call off the state of emergency. There is no problem. And, despite that, we continue for both parties to negotiate with the intervention of the State”, he assured. A month and a half after the conflict and millionaire losses, can we just wait?

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