Raul Jungmann, President of Ibram, criticized Brazil’s lengthy environmental licensing processes as a major barrier to mining development. He highlighted the need to streamline these procedures to boost investments, anticipated to reach $68.4 billion by 2029. Jungmann also called for enhanced research and a national strategy for critical minerals to improve Brazil’s international standing in this sector.
Raul Jungmann, President of the Brazilian Mining Institute (Ibram), has stated that bureaucratic obstacles in environmental licensing are hindering the growth of Brazil’s mining sector, particularly for critical minerals. He noted that the prolonged licensing periods, averaging 5 to 7 years, significantly impact investment viability. This concern was raised during a seminar at the Brazilian Development Bank (BNDES) in Rio de Janeiro, calling for a review of bureaucratic processes.
Jungmann further explained that Brazil’s environmental licensing durations are often two to three times longer than the international average, making it difficult for projects to commence. With Brazil positioned as a key player in global mining, his organization predicts investments could reach $68.4 billion from 2025 to 2029, provided that project approvals improve. “We need to review this bureaucracy and these simply endless stages,” he emphasized.
Despite improvements during Jungmann’s previous tenure at Ibama from 1995 to 1996, he pointed out the agency is currently understaffed and lacks technology to meet rising demands. He suggested the incorporation of artificial intelligence to modernize licensing processes, arguing that current staff levels cannot effectively manage the significant workload.
The CEO described a global surge in the demand for critical minerals driven by geopolitical unrest, particularly in regions like the Middle East and Ukraine. This situation has elevated these minerals to strategic national importance. “This state of affairs elevates minerals, especially critical minerals, to a national sovereignty context,” he noted.
Jungmann also analyzed the potential impact of U.S. political changes on Brazil’s critical mineral exports, noting that while the demand may shift, the need for such resources would remain consistent. An agreement on strategic minerals, previously established with the Biden administration, is unlikely to proceed under new leadership, but the Trump administration may still seek Brazilian minerals for defense and innovation.
In closing, Jungmann emphasized the importance of investing in research and development alongside crafting a national policy for strategic minerals. He warned that without these advancements, Brazil risks remaining stagnant and unable to escape its colonial-like past. “Without knowledge about the land, R&D investments, and improved licensing, we will miss this opportunity,” he concluded.
In summary, Raul Jungmann’s commentary highlights significant challenges Brazil faces in mining due to inefficient environmental licensing processes. He argues for modernization and improvement of these systems to attract investments effectively. Furthermore, he underscores the urgent need for research, development, and strategic policymaking to harness Brazil’s potential in the global market for critical minerals.
Original Source: valorinternational.globo.com
