Balancing Livelihoods and Governance: The Stakeholder Conflict in Peru’s Informal Mining

Peru is home to one of the largest artisanal and small-scale mining (ASM) sectors in Latin America, employing an estimated 100,000 to 500,000 people according to available sources. This wide range reflects the challenge of quantifying an activity that is often informal, seasonal, and dispersed across regions such as Madre de Dios, Puno, and Cusco. For many families, artisanal mining is not just an income source but a survival strategy in contexts of limited alternative employment.

While the sector sustains hundreds of thousands, it also brings serious challenges. Informal operations are frequently associated with mercury contamination, deforestation, unsafe labor conditions, and tax evasion, creating long-term social and environmental costs. Attempts to regulate and formalize artisanal mining through national programs have been slow and uneven, leaving most miners in legal limbo. The tension between economic necessity and state regulation continues to generate disputes, including road blockades, strikes, and prolonged negotiations with government agencies.

These dynamics highlight a central stakeholder conflict: communities demand recognition of their livelihoods, while the state and companies insist on compliance with environmental and legal standards. The license to operate in Peru increasingly depends on addressing this conflict—balancing enforcement with inclusion and ensuring that artisanal miners are not excluded from the benefits of legal frameworks. Without proactive dialogue and fair pathways to formalization, the cycle of protest and disruption is likely to persist, threatening both social stability and the credibility of Peru’s mining governance.