battling for blood jade inside one of the world’s most dangerous industries hannah beech hpakant...

3/11/2017 Myanmar: Battling for Blood Jade | Time.com

http://time.com/4696417/myanmarbloodjadehpakant/ 1/12

W hen the earth collapsed, as it does nearly every day in the

jade hills of Myanmar, Ye Min Naing was poised on a

steep slope of rubble and scree. It was a rainy night six

months ago, at the tail end of the monsoons. A truck with wheels the

height of a man had just deposited loose stones at the edge of the

Freelance miners scramble down a hill at a mine in Hpakant, in the heart of Myanmar’s jade country, toscavenge for jade stones. Adam Dean—Panos for TIME

MYANMAR

Battling for Blood Jade: Inside Oneof the World’s Most DangerousIndustriesHannah Beech / HpakantMar 09, 2017

http://time.com/tag/myanmar

http://time.com/author/hannah-beech/



mountain, sending hundreds of scavengers scrambling through the

tailings in hopes of nding a precious lump of jade.

Ye Min Naing heard the landslide before he saw it, a bass note that

rattled his bones like thunder. Then a friend working near him was

swallowed by a surge of earth. Ye Min Naing was buried too. "Up to

here," the 28-year-old says, making a slashing motion at his neck.

Somehow fellow wildcat miners pulled him out, along with a 19-year-

old who was left paralyzed by the accident. Three people, Ye Min

Naing thinks, were killed, but who really knows? Like many deaths in

the mines of Hpakant township in northern Myanmar (once known as

Burma), this accident never appeared in the media. No bodies were

recovered. Most freelance miners in these hills, which produce nearly

every piece of the world's nest jade, are drug-addicted migrants,

strangers to one another and lost to their families. In the months

since the landslide, the mass of stony waste at Hmaw Sisar, where Ye

Min Naing still forages, has only grown more perilous. "We don't

know who is buried in there," he says.

Man and rock exist in inverse value in the Himalayan foothills of

Myanmar's Kachin state, wedged between India and China. The rock

— a translucent mass of sodium aluminum silicate known as jadeite

— is one of the world's most coveted gems, chie y among the

Chinese, whose growing buying power has spurred record sales. The

roughly 300,000 jade pickers who sift through the detritus left by

larger mining operations are migrants whose lives are threatened by

landslides, drug addiction and disease. Tying the precious stone to

http://time.com/4102167/jade-mining-myanmar-burma/



dispensable miners is a web of Burmese military-linked rms,

Chinese companies, ethnic rebel commanders and drug kingpins

wanted by the U.S. government. The stone of heaven, as it is known in

China, is also fueling civil war between the Burmese military and

ethnic Kachin guerrillas seeking self-rule. Jade comes in many hues,

from the shade of a king sher's throat to what the Chinese describe

as "moss entangled with melting snow." But for the people of

Myanmar, it is stained, most of all, by blood.

Few countries' economies are so bound to one resource. Global

Witness, an international watchdog that monitors natural-resource

exploitation, estimates that Myanmar's jade trade was worth up to

$31 billion in 2014, nearly half the nation's GDP that year. Yet the

industry remains shrouded. The ethnic Kachin, though native to the

jade hills, control few of the mines. In the 1990s, the Kachin

Independence Army (KIA), one of several ethnic armed groups

ghting the state in Myanmar's borderlands, lost control of territory

around Hpakant.

Today most of the big concessions belong to companies or cronies

connected to the Burmese military elite. Even as the country has

transitioned from ve decades of military rule to semicivilian

authority, jade has proved the limits of democratic governance. Most

stones are smuggled over the border to neighboring China; only a

fraction are subject to the tax needed to ll government coffers in one

of Asia's poorest countries. The scale of graft and unaccountability is

such that Global Witness calls Myanmar's jade economy the "biggest

natural-resource heist in modern history."

https://www.globalwitness.org/en/campaigns/oil-gas-and-mining/myanmarjade/



While con ict diamonds have yielded Hollywood scripts and rap

lyrics, jade has largely escaped international scrutiny. Last October,

then U.S. President Barack Obama lifted sanctions on the importation

of Burmese jade and rubies, which had been put in place because of

the gem trade's abysmal reputation. The repeal was a reward for

political reforms that had brought democracy activist Aung San Suu

Kyi's National League for Democracy (NLD) party to power in 2016.

Many civil-society and watchdog groups, however, were aghast,

arguing that the jade industry is still rife with abuses. Though the

Burmese government has signed on to a global transparency initiative

for extractive industries, the reality in Kachin remains bleak. In fact,

fear that Suu Kyi's administration may soon enforce safety standards

and anticorruption regulations has only intensi ed the race to

unearth Hpakant's green treasure. "They are digging so fast that jade

will be gone in 20 years," says one small-concession holder. "Maybe

even in 10 years."

The world's best jade mines are sealed off to nearly all foreigners. But

I managed to access Hpakant to experience a place so beguiling to

18th century Chinese imperial envoys that hundreds perished en

route in the malarial wilderness. The scenes before me look like a

cross between a magni ed ant farm and a Star Wars set. In the

distance I spy what appear to be hundreds of tiny insects clinging to a

hillside. As we drive closer, I realize they are men. Backhoes,

excavators and giant trucks maneuver through a lunar landscape like

creatures from an alien planet. Hpakant was once the domain of

http://newsfeed.time.com/2011/03/10/are-rubies-the-new-blood-diamonds-inside-a-burmese-mining-region/

http://time.com/4201865/aung-san-suu-kyi-parliament-myanmar-burma/



tigers and verdant foliage. All I see is dust and brown. Where

prospectors used to dig by hand, now explosives and heavy

machinery, mostly imported U.S. or Chinese brands, are ripping the

entrails out of jungle, demolishing entire mountains within months.

Already, Hpakant is mostly dead.

Fatal accidents mount. Only the biggest, like a November 2015

landslide that killed about 200 miners, make headlines. Township

of cials have recorded hundreds of deaths in jade-mining accidents

over the past year and a half. But locals say the real number is many

times that. And in the hills, the Burmese army and Kachin rebels

continue to wage war. "If there was no jade, there would be no war in

Kachin state," says Yup Zaw Hkawng, an ethnic Kachin who owned

large mining concessions before the Burmese military wrested control

of Hpakant. "We are living and sleeping on so much jade in our earth,

but jade is Kachin's curse."

Read More: See the True Cost of Burmese Jade

It is night at Hpakant's Kyauk Sein Nandaw mine, and I cannot see

anything in front of me but the beams of dump trucks barreling

toward us. The oversize vehicles move in erratic lines to the edge of a

cliff where they will disgorge stones considered too tri ing for the big

mines to bother sifting through. Shadows of men shift with the

trucks' trajectory. Behind us, the hillsides are covered in pinpricks of

light, each the ashlight of a freelance miner striking bits of rock with

an iron pick, hoping to hear the distinctive ping that denotes a chunk

of jadeite.

http://time.com/4102167/jade-mining-myanmar-burma/



Suddenly, a shout goes out. A cacophony of voices magni es the

panic. Miners storm up over the brink of the precipice, rocky debris

clattering down the quarry. In the spotlight of my headlamp, I catch

isolated images of terror: the whites of widened eyes, grasping limbs

and swirls of dust from the tread of frightened feet. The alarm turns

out to be false. But less than a month before, at least three people

were killed by a landslide at this very mine. A video, recorded on a

miner's cell phone, shows a 400-ft.-long avalanche of earth rolling

over human gures.

For years, no Western journalist had reached Hpakant. (Burmese

reporters have led compelling stories.) Frequent checkpoints enforce

a ban on foreigners — save Chinese buyers — as do military

intelligence, special branch, immigration and other agencies of what,

despite Myanmar's gradual shift from army to civilian rule, remains a

police state. As photographer Adam Dean and I make our way back

from Kyauk Sein Nandaw mine that night, the inevitable happens.

Two trucks lled with soldiers, plus about a dozen security forces, are

waiting for us.

During our detention, we are treated with courtesy. We notice that

local of cials are pro ting from jade: one has raw stones rolling

around in the trunk of his car. A calendar in the Hpakant immigration

of ce features images of jade mines. After we are released, we are

followed on our entire 16-hour road trip out of Hpakant: at every

checkpoint and tollbooth, every transition from one township to

another, even in parts of Myanmar that are not restricted for



foreigners, someone tails us or photographs us. The effort involves

hundreds of monitors.

Many of Myanmar's ministries may now be run by opposition leaders

and former democracy activists. But the army that kept the country

cowering for so long still exercises great power, especially in jade

country. "If you keep the jade business in a black box and don't let any

information get out, it's hard [for outsiders] to put pressure on the

people that control the industry," says Juman Kubba, a senior

campaigner at Global Witness who has spent years tracking the

Burmese jade trade. Last year she was blocked from reaching

Hpakant, even though she had permission to visit from the Myanmar

Ministry of Natural Resources. In January, while on an in-country

tour, Yanghee Lee, the U.N.'s human-rights envoy for Myanmar, also

complained that she was prevented from going to Hpakant.

In jade country, I get a glimpse of what the industry wants to hide.

Last July, the NLD government announced a moratorium on new

mining licenses and a freeze on the renewals of existing ones. More

than 2,000 mines were ordered to suspend operations while

environmental-impact surveys were carried out. Yet miners and

small-concession holders in Hpakant allege that some of the biggest

— and best-connected — mines are still operating, even when they

lack proper certi cation. "The NLD government has no power," says

Lamai Gum Ja, a Kachin community activist. "It's like we have no

government at all, so the military does what it likes." At every mine I

visit, I can see that safety rules--such as efforts to license wildcat

miners and limit the height and gradient of slag heaps in order to

http://time.com/4589770/aung-san-suu-kyi-burma-myanmar-rohingya/

http://time.com/4275928/burma-myanmar-civilian-government-challenges/



prevent fatal landslides — are being outed. "Before, this area was so

beautiful," says another small-mine owner in Hpakant. "Now it's

turning into hell."

Sequestered from the outside world, Hpakant radiates a gold-rush

lawlessness. Unexplained killings occur with regularity. While we are

there, a schoolteacher is shot in the head. The day before, a jade

trader died from an executioner's bullet. Last year bombs exploded at

the headquarters of two mining companies. In November, a jade

scavenger at Hmaw Sisar mine was shot dead by military intelligence

or the KIA, depending on who's telling the story. "There is no real law

in Hpakant," says one of the immigration of cers holding us, with a

touch of apology. "We don't know who to trust."

The Wild West atmospherics are heightened by the ongoing ghting

between the Tatmadaw, as the Burmese military is known, and the

KIA. The largely Christian Kachin have long chafed at rule by the

Buddhist Bamar ethnic majority. It is a point of pride among these

frontier people that while some Bamar initially collaborated with the

Japanese during World War II, the Kachin fought on the Allied side,

stringing on necklaces the ears of slain Japanese. In 2011, a 17-year

cease- re with the Burmese government, which is facing renewed

ghting in various ethnic strongholds, collapsed. Skirmishes are

near Hpakant; more than 100,000 Kachin have been forced to ee

their homes. So thick is the jungle near the jade mines that the KIA

uses elephants to resupply its forward bases. The land is stippled with

land mines. One day, near Nant Yan village, we see a column of young

Tatmadaw recruits, oversize helmets askew on their heads, creeping

http://time.com/3598969/kachin-independence-army-kia-burma-myanmar-laiza/



toward enemy territory. In February, the KIA claimed that the

Burmese military had launched an offensive near Hpakant, even as

Suu Kyi was pushing ethnic armed groups to sign a national cease- re

agreement.

Both sides in the con ict are using jade to ll their war chests. Jade

scavengers, most of whom are not ethnic Kachin, complain that since

the ghting intensi ed, the KIA has raised the levy it makes them pay

for selling stones to middlemen. "The KIA say it's their land, so we

have to give them money," says Aung Thar Tun, a jade picker at Kayin

Gyaung mine who lives under a sheet of tarpaulin with his 15-year-

old nephew, another scavenger. "If we don't pay and their informers

nd out, they will shoot us."

High-level KIA of cials acknowledged to me that taxes on jade are

the armed group's primary source of funds. But it is the Tatmadaw

and its cronies that are reaping far greater rewards from Kachin's

jeweled heritage. A 2015 Global Witness report compiling evidence of

the companies that control many of the major jade mines in Hpakant

reads like a Who's Who of the military elite and its families, including

former junta leader Than Shwe and ex-northern command chief Ohn

Myint. Conglomerates linked to the army, with generic names like the

Union of Myanmar Economic Holdings and Myanmar Economic

Corp., hold jade concessions. Both companies were subject to U.S.

sanctions until last fall. A rising player in Hpakant, locals say, is Wei

Hsueh-kang, a commander of the United Wa State Army, Myanmar's

biggest ethnic armed group. The U.S. State Department is offering up

to $2 million as a reward for his arrest because it considers the Wa

http://time.com/4338759/burma-myanmar-sanctions/



"the dominant heroin traf cking group in Southeast Asia, and

possibly worldwide."

For all their power, local companies, whether Bamar or ethnic, are

often proxies for Chinese rms that cannot legally own mines, say

industry researchers and Hpakant concession holders. So deep is the

China connection that the Mandarin word for boss, laoban, has

entered the Hpakant vocabulary. "Of all the hairs on the head of the

jade industry," says one small-mine owner, "only one strand is

Burmese. The rest are all Chinese." There is a growing sense of

frustration in Myanmar that China may be stealing its patrimony. In

recent years, demonstrations have erupted over a Chinese-controlled

dam project and copper mine. But because the jade business is so

opaque, it's hard for Burmese to know what to protest against.

"Everyone knows the Chinese control almost all the jade mines," says

Lamai Gum Ja, the Kachin activist who is also involved in the trade.

"We know this, but we can't do anything about it."

In Hpakant's Lone Khin village, Chinese buyers ock to the largest

open-air jade market in the world. Beijing's anticorruption campaign

has led to a drop in jade prices, as conspicuous consumption takes on

political risk, but there are still plenty of speculators. Scavengers

sidle up, dirty palms clutching dirty rocks. Every sale is a gamble.

Chunks of jadeite — as opposed to the more common nephrite, which

is considered an inferior jade — resemble mud-colored eggs. Buyers

try their best to divine what's within, carefully tapping a stone or

holding a ashlight to the shell to check what colors glow beneath.

None of these transactions will be recorded by any government.



If a buyer is unlucky, a fault line will mar the clarity. But the value of

the nest jade can rival that of diamonds. In 2014, a necklace of 27

beads, once owned by Woolworth heiress Barbara Hutton, sold at

auction for $27 million, more than double the estimate. In a catalog

note, Sotheby's enthused that the beads were "round and succulent in

shape and color, like mouth-watering grapes under warm sunlight,

glowing through their thin skins, exuberant and mellow, elating the

spirit of whoever set eyes on them."

Such passion for jade helps explains why in less than a decade the

number of wildcat miners in Hpakant has roughly doubled, as more

mountains are reduced to rubble ready for prospecting. Drug use and

disease, too, have soared. Hpakant residents estimate that heroin

addiction af icts 75% to 90% of the jade-pickers. And the needles are

almost always shared. Thein Than Myo worked at Hmaw Sisar mine

for 12 years. Even after he discovered he was HIV-positive, he kept on

using, scavenging needles from the ground of shooting galleries. One

Kachin NGO says that up to half of all Hpakant miners will eventually

contract the virus.

In December, Thein Than Myo checked into a Catholic HIV shelter in

the Kachin state capital, Myitkyina. A few weeks into his

antiretroviral regimen, he feels better and vows to return to Hpakant.

When I tell him I met a miner at Hmaw Sisar who had been buried up

to his neck a few months before, he shrugs. "I saw people die in front

of me," he says. "People always die in the mines." But that does not

stop him from dreaming. There is always a tale of a friend of a friend

http://world.time.com/2013/03/19/obstacles-ahead-in-burmas-opium-war/

http://world.time.com/2012/11/13/the-waiting-house-caring-for-burmas-hiv-patients/photo/myanmar-hiv-not-sick-enough-5/



— With reporting by Saw Nang/Hpakant

who made impossible riches from Kachin's jade hills. "I will go one

last time," Thein Than Myo says. "I can still make my fortune."

15Tuesday, March 14, 2017 ARTICLE

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