Illegal gold mining has become one of the largest sources of illicit revenue in Latin America, surpassing even cocaine in countries such as Peru and Colombia. According to a new report from the U.S.-based Coalition for Financial Accountability and Corporate Transparency (FACT), Peru accounts for 44% of the region’s illegal gold trade, making it the single largest source. Julia Yansura, Director of FACT’s Program on Environmental Crime and Illicit Finance, described the problem as a “regional crisis that undermines the rule of law, damages the environment, and fuels organized crime.”
The report highlights that Peru’s illegal gold exports are worth roughly US$4.8 billion annually, driven by high global prices, entrenched informal mining, and transnational smuggling networks. The United States is identified as a primary destination, receiving nearly US$1 billion in illicit Peruvian gold shipments in 2023. Colombia follows with 25% of the regional trade, where much of the gold is laundered through shell companies and complicit refineries; the Clan del Golfo, one of Colombia’s most powerful criminal organizations, plays a central role. FACT estimates that up to 80% of Colombia’s gold exports to the U.S. in 2023 came from illegal sources, with over a ton seized in Miami alone over the past three years.
Peru’s central role in the regional illicit gold trade underscores the intersection between resource wealth, governance challenges, and transnational crime. With billions of dollars leaving the country each year, the phenomenon erodes state capacity, undermines environmental protection, and fuels international smuggling networks. Addressing these flows requires not only domestic enforcement but also stronger international oversight, particularly from major destination markets such as the United States.