168 kg of gold already collected on behalf of the State

Production from the gold sector improves considerably in Cameroon with the state receiving lots of profits. For the month of September, the Ministry of Finance (MINFI) will receive 63.414 kg of raw gold levied by the producing companies' Support Framework and promotion artisanal mining (CAPAM) with an estimated financial value of 1.05 billion F.

In August 2015, MINFI had already received 58.483 kg of raw gold, or 966 Million F in total for January-September which now displays 168.037 Kg valued at over $ 3 billion F.

For the entire 2012, MINFI received in all 36.884 kg gold. There was a drop in 2013 with 31.760 kg, while producing companies were multiplying on the ground, especially in the Eastern Region.

It was imperative for the government to clean up the sector to have better visibility on the actual production introducing the reform of August 2014.

On 1 August 2014, a decree of the Prime Minister and Head of Government amended and supplemented certain provisions of the Mining Code. This indicated that "the share of the state and the corporation tax (IS) are directly taken as equivalent in total gross production. This levy is set at 15% and is augmented by the CAPAM."

Since then, the production figures for gold are in net growth and over months. At least the share goes to the State and therefore the Cameroonian populations. For this, the CAPAM had to win the contract for identification of all operating sites. This has significantly reduced the underground levels and thereby limit losses to the state.

"There are now 129 plants divided between the eastern region and the Adamawa. There is an expansion beginning in the Southern region at Mintom and some in the North, where we expect in the coming days the start of construction sites," says Joseph Mebenga Etoundi, head of unit at CAPAM.

The CAPAM also received government's mandate to collect taxes from the gold producers. This means that each month, after removing the 15% share of the state with a remaining 85% of monthly production, CAPAM receives 15% extra in the accounts of the General Tax Directorate. In turn, it frames companies by providing technical expertise to find new sites, among others. At the end, all parties benefit.