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MINING SECTOR OF PERU – problems and improvements

Term paper for "Politics in Latin America"

Sommer Semester 2013

Lecturer: Frau Maintz

Hannah Weger

BA 11 International Culture and Management / Latin America Management

Student-No.: 1.4 11 304-1

Table of Contents

1. Introduction 1

2. Country overview Peru 2

2.1 Climate 2

2.2 Landmarks 2

2.3 People 3

3. Peru's Politics 3

3.1 Government under President Ollanta Humala 3

4. Natural Resources with special focus on the mining sector 4

4.1 Natural resources in general and a broad history of the mining activities 4

4.2 Mining operations and its importance 5

4.3 Mining development 6

5. Peru's positive economic position along with ongoing increase in disparity 6

5.1. Peruvian government and its poor actions in terms of mining policies 7

6. Steps for the government and the mining companies to break the cycle of conflict 8

6.1 Government 8

6.2 Mining companies 8

7. Conclusion 9

Reference List 10

Appendix 11

1. Introduction

Peru, located on South America's central Pacific coast, contains an exceptional mix of biological diversity which makes it a country of contrasts. It is enriched by snowpeaks and sand-dunes, desert and jungle (Bradt & Jarvis, 2002, p. 97). Peru belongs to one of the 12 "mega diverse" countries on earth. As according to scientists it has 83 out of 103 possible ecological zones (Barret, 2002, p. 15). It shows the world's eighth largest forest cover, with vast fisheries, hydrocarbon and mineral resources. Also in terms of natural resources there are not many countries which are so diverse and rich like Peru. Especially in the mineral sector it is one of the leading countries in the world.

Because

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