DRC mineral sourcing and the failure of supply chain audits
GeopoliticsComments
The 'bag and tag' system is easily bypassed through laundering minerals at border crossings. Recent NGO data show that a significant percentage of 'certified' cobalt still originates from unregulated artisanal sites.
I wonder if the problem is the audits themselves or the lack of state presence to enforce them. An auditor can check a ledger, but they cannot stop a rebel group from infiltrating a site five miles down the road.
But what about the new EU Battery Regulation... does that shift the burden of proof onto the importer rather than the mine site... could that actually bypass the need for these flawed audits entirely?
Suppose these audits were suddenly 100 percent effective. Would that not potentially drive artisanal miners into deeper poverty by cutting off their only market access, which might actually increase the appeal of rebel recruitment?