“Our Mining Mission of Innovation and Technology to Sudbury is very interesting because Peru’s regional governors will be joining us. It is important regional governors can see a successful case of environmental remediation and mining coexistence such as Sudbury.”
Can you explain the evolution of the mining sector's relationship between Canada and Peru?
With the arrival of the junior companies many years ago, the expectation for investment in our country’s mining industry was large. Unfortunately, juniors have suffered in recent years, and many of those operating in Peru have also struggled. The number of juniors operating here has decreased, which is reflected in the membership of the Canada Peru Chamber of Commerce (CCCP). Despite this decrease, there is still a robust interest in mining between Peru and Canada, and 92% of the CCCP members are mining companies. They are interested in seeing the progress, strategy and improvements that the Peruvian government plans in the mining sector to boost their businesses.
How does the dialogue between companies, the CCCP and the government work?
We have committees dedicated to every industry: mining, infrastructure, energy, education, and investment and sustainability. We have a government representative in each committee that answers any questions or concerns. These work along with the population, the companies and the unions to find possible solutions to the problems. We try to analyze every situation and reach a consensus by presenting a possible solution to the government. We do this twice a month and they are dynamic events with strong participation. We will send a strong delegation to the Prospectors & Developers Association of Canada (PDAC) convention that includes the Minister of Energy and Mining and the Minister of the Economy.
In comparison to many other countries in Latin America, Peru has enjoyed more stability in recent years. Is this one of the more attractive selling points to attract foreign investment?
Yes, and that is exactly what the CCCP is trying to focus on. Peru is the best positioned country in the region today – this is a competitive advantage for us and an interesting opportunity for investors. However, we want to paint a real picture of the business environment here. Investors already know the country and want to hear the truth regarding its challenges and problems so they can face them. We want to discuss social conflicts, permitting procedure times, and costs – the main reasons why investors withdraw their capital from Peru.
The biggest challenge in Peru is the length of time authorizations take. The government has been working on tools to attract more investment, but frankly these have not been working. Juniors are leaving the country because of this. To reignite the interest of the junior mining community, permitting and authorization times must be reduced.
Can you tell us about the CCCP’s Mining Mission of Innovation and Technology in Sudbury?
The CCCP has been organizing missions for many industries for a long time. However, this mission to Sudbury is very interesting because regional governors will be joining us. There have been conflicts in the past with certain regional governors, and that is why we consider it important these governors can see a successful case of environmental remediation and mining coexistence such as Sudbury. Sudbury is a success story where the environment has changed and tourism has been reactivated. We will also take the governors to the PDAC convention. From there they will have a very enriching overview of the industry before the Mining Mission to Sudbury.
What would the CCCP like to achieve in the next two years?
We want to be a bridge of dialogue and understanding between the government and the mining companies in order to support them in doing business and investing in Peru. Our main challenge this year is working towards generating new businesses and strengthening the current ones. PDAC is one of the platforms that supports the CCCP’s objectives directly, and we hope this collaboration can contribute to positive changes so that the climate for foreign investment into Peru can improve in the years to come.