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Tracking Development - Rio Tinto - Qit Madagascar Minerals

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executive summary<br />

Recognising the shortcomings of local educational facilities,<br />

QMM has funded the construction and rehabilitation of public<br />

schools in its neighbour communities. Offering scholarships<br />

and financing literacy programmes, many who never had the<br />

possibility to attend or complete school are being given a<br />

chance. To build people’s capacity so everyone has an equal<br />

opportunity to be involved in the project, a first-of-its-kind<br />

vocational and technical training centre was opened in<br />

2007. For students who wish to apply their studies through<br />

practical training, an apprenticeship programme commenced<br />

at Mandena in 2010. QMM invests in its employees and<br />

numerous technical and leadership trainings have taken place<br />

internally and externally, within the region, across <strong>Madagascar</strong><br />

and abroad. (See The Production Phase, Encouraging<br />

Educational Opportunities, p. 38-41.)<br />

Economic development, through the recruitment of local<br />

personnel, the construction of new infrastructure or the local<br />

procurement of goods and services, is essential for the Anosy<br />

region. QMM has adopted a hiring process intended to grant<br />

preference to local applicants. Over 90 per cent of current<br />

employees are Malagasy. In 2011, of the 652 total direct<br />

hires, 70 per cent were recruited from the region. For those<br />

who do not have a particular skill set or qualification, HIMO<br />

projects (Haute Intensité de Main d’Oeuvre or High Intensity<br />

Labour Projects) are being carried out, generating hundreds<br />

of jobs. To enable local businesses to continually develop<br />

technical and managerial skills, QMM participates in various<br />

support and capacity building sessions. As one of the primary<br />

obstacles to local participation in economic opportunities<br />

was the absence of microfinance, in 2007 the region’s first<br />

microfinance institution was established. In April 2010, QMM<br />

transferred its original 50 shares from the institution to three<br />

farmers’ associations for future development. Infrastructure,<br />

most notably the Port of Ehoala, but also roads, electricity and<br />

a potable water treatment plant, have been constructed and<br />

are operational. Access to this infrastructure is shared with<br />

the public. Situated as the principal structure for economic<br />

development in the region, <strong>Madagascar</strong>’s second largest<br />

port, the Port of Ehoala, offers opportunities for agricultural<br />

production and business development, while acting as a<br />

catalyst for investment in the region and country as a whole.<br />

(See The Production Phase, Maximising the Economic<br />

Impact, p. 42-45.)<br />

Sustainable development is a cornerstone of QMM’s<br />

approach to business. The company is committed to<br />

supporting activities that contribute to more prosperous<br />

communities. To improve local living standards and enhance<br />

livelihoods, QMM launched two flagship programmes<br />

with annual budgets totalling over US$1.5 million.<br />

The Programme de Développement Intégré (PDI, or<br />

Integrated <strong>Development</strong> Programme), managed jointly<br />

with government representatives, promotes incomegenerating<br />

activities, alleviating pressure on natural resources<br />

and improving income-levels of the population residing<br />

around mining and mining-related activities. Over 2,000<br />

participants across 33 villages in the rural communities<br />

bordering Mandena are currently involved in 17 projects<br />

including animal husbandry, vegetable cultivation, fisheries<br />

and handicraft production. The Fagneva programme, a fiveyear<br />

community plan with interventions in Fort Dauphin<br />

and its immediate surroundings, was launched in 2010.<br />

This collaborative effort with government representatives,<br />

community representatives, the private sector, NGOs<br />

(non-governmental organisations) and QMM includes six<br />

projects targeting governance, sports and culture, education,<br />

security, sanitation and economic development. (See The<br />

Production Phase, Ensuring Sustainable <strong>Development</strong>,<br />

p. 46-53.)<br />

8

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