Peru's informal miners protest at Congress against ending temporary permits

LIMA, Nov 18 (Reuters) - More than a thousand informal miners in mining powerhouse Peru gathered outside Congress on Tuesday in renewed protests against government efforts to regularize their status.

Peru's government is aiming to end a temporary permit program for small-scale miners known as REINFO, stoking often violent protests by miners who want to maintain their temporary status because they say full regularization is too complex and costly.

Many miners, who mostly extract gold, want as many as five years to move off the temporary scheme, which is due to expire at the end of the year. Peru's government had already delayed the deadline several times.

Union leader Maximo Franco Bequer told Reuters on Tuesday that some are willing to seek "a middle ground" with Congress.

A congressional mining committee on Tuesday was preparing to discuss whether to extend the temporary permit program to 2027.

The debate comes five months before general elections in which many legislators from both the left and right will seek re-election. Formal mining companies are concerned that Congress might concede to the protesters, a move they say could increase illegal activity in the sector.

While informal miners say the process to formalize their status is beset by bureaucratic hurdles, Peru's police and industry professionals say the REINFO scheme has enabled illegal miners to operate, at times alongside criminal gangs, while gold prices hit record highs on international markets.

In July, the government removed more than 50,000 small-scale miners from REINFO, leaving about 31,000 responsible for bringing their status up to date. Bequer said he is pushing the government to allow the expelled miners back into REINFO, estimating that about 10,000 will be in a position to return.

The union leader said he met on Friday with President Jose Jeri, who took office last month.

"He promised us that before taking a position on any potential decision by Congress, he will assess the situation of informal miners,” Bequer said.

Peru exported $15.5 billion worth of gold in 2024, a significant jump from $11 billion the previous year. It is estimated that about 40% of this gold is of illegal origin, according to sector data and the local financial regulator.