MADAGASCAR Law and Practice Contributed by: Herisoa Raharimamonjy and Mialy Solofohery, John W Ffooks & Co
John W Ffooks & Co 1st Floor Ivandry Antananarivo 101 Madagascar Tel: +261 202 243 247 Email: Contact@JWFLegal.com Web: www.jwflegal.com
1. Mining Law: General Framework 1.1 Main Features of the Mining Industry The major features of the mining industry in Madagascar are as follows. • Ownership and licensing: Mining rights and licences are regulated to ensure transparency and equitable access. These include explora - tion licences, mining permits and small-scale mining permits. Licences are granted follow - ing a competitive process to enhance fairness and investment opportunities. • Environmental and social obligations: Min - ing projects are required to prepare and implement environmental and social impact assessments. • Operators must contribute to local commu - nity development and respect the rights of affected populations. • Royalties and taxes: Mining operators are subject to the specific royalties and tax rates detailed in the Mining Code to ensure that state and local communities benefit from mining activities. A portion of the royalties is allocated to local development funds. • Foreign investment and partnerships: The Mining Code promotes foreign investment but includes provisions to ensure collaboration with local entities. This includes requirements
for local input in procurement and employ - ment. • Sustainability and transparency: Madagascar adheres to the Extractive Industries Transpar - ency Initiative (EITI), ensuring all mining-relat - ed financial transactions are transparent. • Operators are either small groups or individu - als using artisanal methods or mining compa - nies. • The main mining activities are gold mining and quarrying fossils and rare deposits. 1.2 Legal System and Sources of Mining Law The legal system in Madagascar is civil law. The main sources of mining legislation in Madagas - car are: • Law No 2023-007, dated 27 July 2024 and revising the Mining Code, which determines the main rules for mining activities, the regu - lations for mining licences and the obligations and rights of licence holders and others rel - evant parties that might be engaged in mining activities; • Law No 2023-002, dated 27 July 2023, relat - ing to investment in Madagascar; • Law No 2015-005, dated 26 February 2015, recasting the Protected Areas Management Code;
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