The Indigenous World 2022: Kanaky (New Caledonia)
New Caledonia is an overseas country and territory of the French Republic. Together with French Polynesia and Wallis and Futuna, it is one of three French collectivities in the Pacific. New Caledonia is a member of the Groupe Fer de lance mélanésien [Melanesian Spearhead Group], an alliance of Melanesian countries comprising the Solomon Islands, Papua New Guinea, Vanuatu, Fiji, Indonesia (associate member) and the Kanak and Socialist National Liberation Front (FLNKS), officially created in March 1988 in Port Vila.[1]
Located 2,000 km off the north-east coast of Australia, the New Caledonia Office of Statistics reported in its 2019 census that the population of New Caledonia stood at 271,407.[2]
In 1946, the Kanak, former Indigenous subjects of the French Empire, were granted French citizenship. As French citizens, they are able to participate in political elections including municipal, territorial and also provincial, legislative, presidential and European elections. The first Indigenous intellectuals of the 1960s-70s reversed the stigma of the word “Canaque”, making it a symbol of identity and political pride under the initial English spelling of Kanak. The 1998 Nouméa Accord[3] officially recognised this terminology.
At the turn of the 1970s, an influx of new groups turned the Indigenous population into a demographic minority (41% of the population). According to the 2019 census, 41.2% of the archipelago's inhabitants identify as Kanak, 24.1% as European and 8.3% as Wallisians and Futunians. The rest of the population is divided between Tahitian, Indonesian, Vietnamese, Ni-vanuatu, other Asian, and other “communities”.
Most New Caledonian administrations do not disaggregate data by ethnicity, making it difficult to obtain reliable socio-economic indicators on the situation of the Kanak in New Caledonian society. However, the Kanak are disproportionately represented in the prison system,[4] and account for approximately 80% of the inmates of the country's only prison, with Oceanians as a whole (Kanak, Wallisians and Futunians, Polynesians, Ni-Vanuatu) making up 90% despite accounting for less than 50% of the population.
The wealth gap is much more pronounced than in France: in the Nouméa metropolitan area, the poorest 10% of households earn, on average, 13 times less than the richest 10%, whereas this ratio is 5 to 1 in metropolitan France.[5] According to a recent study conducted in the Northern Province, Kanak people in a similar situation (same age, sex and qualifications) earn an average 32% less than non-Kanak people.[6]
The mining sector in difficulty
The mining sector is a pillar of the New Caledonian economy. The island is home to an estimated 10% of the world’s nickel, with the nickel industry estimated to account for 7% of GDP in 2018 and 90% of exports. This industry is responsible for one job in every five in New Caledonia.
The sector has nevertheless undergone significant upheaval in the last two years. On 22 January 2021, in an article entitled The nickel industry is in dire straits in New Caledonia, Le Monde made the following observation:
New Caledonia's economic lung, the nickel industry, is at the end of its tether. Two of its three metallurgical plants are on the brink of collapse and the third is on borrowed time, raising the spectre of a general collapse of the activity, which is highly dependent on “green gold”.[7]
Three nickel plants are currently operating in New Caledonia:
- The Koniambo Nickel plant, owned by Société Minière du Sud Pacifique SA (SMSP) Northern Province) and Glencore (Anglo-Swiss company).
- The Doniambo plant of Société Le Nickel (SLN), the oldest on the island.
- The Vale plant on the Goro site, which is responsible for 3,000 direct and indirect jobs. Until 2020 it was majority owned by the Brazilian multinational Vale. However, it was sold in 2021.
The Northern plant
The mining issue has been at the heart of New Caledonia’s demands for independence since the 1990s. In 1998, these demands were imposed as a prerequisite by the FLNKS during discussions on the end of the Matignon-Oudinot Agreements.
Kanak access to their own nickel resources, and the “stolen wealth” of the mining industry, is critical to obtaining a political solution and peace in New Caledonia.
[The position taken by] the pro-independence movement is one of economic independence before political independence, and this means controlling the country's mineral resources and investing the profits from mining in sustainable economic sectors such as tourism or aquaculture.[8]
The Bercy Agreement saw the northern mine sold to SMSP, a mining company owned by the pro-independence movement. A final demand, that the ore had to be produced in New Caledonia, resulted in the construction of a new plant. Following this construction, the Nouméa Agreement was signed, setting New Caledonia on the path to a “negotiated decolonisation” with at its heart a referendum on independence by 2014-2018.
The Northern plant, fed by the Koniambo Massif, was intended to contribute to an economic rebalancing of the territory between the Southern and Northern provinces. The economic model put forward by the Northern Province, relying on the mining sector to finance other sectors of the economy, has however not proven sustainable.
On 18 May 2021, the New Caledonian nickel mine known as the “Northern plant” was placed under a safeguard procedure by the Nouméa Commercial Court.
SMSP announced in a press release:
This procedure enables the assets of a company in difficulty to be protected, with all debts prior to the opening judgement in the case “frozen” and a “debt settlement plan” to be established over the coming six months (renewable once).[9]
“This is not the end of SMSP because it should not be confused with a liquidation procedure,” said Karl Therby, SMSP’s General Manager, quoted in the release. Without specifying the extent of the debt, he believed the company would “have the time necessary to implement its repayment plan” … “We are aware of the efforts this will require from the group and its subsidiaries. The market is a highly competitive and increasingly complex one but we remain confident in the group’s future and in all the employees of our subsidiaries,” he concluded.[10]
A recent report dated 2 May from the Regional and Territorial Chambers of Accounts (RTCAs) of New Caledonia criticised the independence movement’s management of nickel in the Northern Province and their “nickel doctrine”, which includes halting exports of raw ore except to offshore New Caledonian companies.[11] In their ruling, the Nouméa Commercial Court noted that “the economic model on which part of the ‘nickel doctrine’ is based –the return of dividends to the public authority– has not been seen in practice, with the Northern Province's holdings in the industrial nickel sector resulting in an appropriation of profits by Sofinor and the socialisation of losses by the Northern Province.”[12]
The Southern plant (Vale)
The Southern project was contested from its inception in the 2000s, until Vale and the local population reached an agreement in 2009.
In December 2019, after accumulating nearly USD2 billion in losses since 2014, the Brazilian group Vale acted to concentrate its profitable activities and began plans to sell its shares in the Southern plant, re-structuring its industrial strategy and commercial positioning. Negotiations were ongoing throughout 2019 and 2020. Finally, the Australian junior mining company New Century Resources (NCR) was selected,[13] being the only candidate to present the necessary financial guarantees expected by Vale.
In September 2020, against a backdrop of strong opposition to the takeover by NCR from some of the local political class and Kanak customary leaders, one of NCR's shareholders (IGO) sold its 18.4% stake. At the end of the exclusive negotiation period with Vale, NCR finally withdrew its offer.[14] Vale therefore announced its intention to close operations and place the plant under care and maintenance.[15] The site was finally shut down in December 2020.
In the months following NCR's withdrawal, Vale declined the takeover offer made by the Sofinor and Korea Zinc consortium, citing the consortium's uncertainties and economic aspects. Pro-independence and customary leaders subsequently mobilised within the “Usine du Sud = usine pays” [Southern plant = country plant] collective, supported in particular by the Instance Coutumière Autochtone de Négociation (ICAN) [Customary Indigenous Negotiating Body / ICAN], the FLNKS, the Parti Travailliste [Workers Party] and the Union syndicale des travailleurs Kanak et des exploités [Union of Kanak and Exploited Workers]. Violence took place, including at the factory site, where a fire was declared on 10 December following which the site was evacuated and placed under police protection. Some 50 people were arrested and, in February 2021, Vale NC denounced the “unbearable violence that was continuing to target the infrastructure and employees”.[16] The autonomous port of Nouméa was also blocked, only a few containers carrying basic goods being allowed to leave.
In 2020, another offer was submitted to Vale, comprising 50% Caledonian interests, 25% from the Swiss trader Trafigura, and the remainder from a multi-party company. This project, backed by the Southern Province, owner of the subsoil, and by the French State, was criticised by the FLNKS and also by the Collectif Usine du Sud = Usine Pays collective and the ICAN. They denounced the presence of the commodities trader Trafigura within the consortium, not wanting to abandon the wealth of New Caledonia to “a Swiss multinational company plagued by scandal.”[17]
Nevertheless, on 4 March 2021, an agreement was finally reached between the independence movement and the loyalists for the transfer of the nickel plant, with the provinces retaining control of the mining sector. The announcement of an “industrial partnership” with Tesla secured the project.[18] The American car manufacturer will enter into a “technical and industrial partnership” with the Goro plant, producing nickel for batteries in their electric cars. New Caledonian nickel should be “permanently integrated into the supply chain for the production of batteries for electric cars in Asia, the United States and Europe,” according to the political agreement signed by the Caledonian parties.[19] The new consortium, called Prony Resources New Caledonia, comprises the SPMSC, representing the three provinces (30%), the employees and local populations (21%) and Trafigura (19%).
Navigating this crisis around the mine and processing plant also led to a government crisis. In February 2021, pro-independence members of the government resigned.[20] A new government was then elected and, for the first time, the pro-independence parties are in the majority thanks to an alliance with a new party, L’Éveil Océanien, representing the island’s Polynesian communities.[21]
COVID-19 reaches the nation
New Caledonia initially escaped the devastating effects of the global COVID-19 pandemic in 2020. As soon as the first cases were identified, the country closed its borders until the virus had been completely eradicated from the territory, and instituted drastic controls on people arriving on the island. Nevertheless, in September 2021, the Delta variant did enter New Caledonia and spread extremely rapidly. Despite further restrictive measures, 12,400 people became infected and 280 people have now died since the start of September.[22]
Continuing the referendum process for independence
The first two referendums were held in 2018 and 2020. The “no” vote won with 56% of the vote in 2018 and 53% in 2020, with participation rising from 81% to 86%. A third referendum was held on 12 December 2021.
On 3 June 2021, the results of negotiations between pro-independence and loyalist parties were presented to the Council of Ministers, resulting in an agreement to hold a third referendum “before the end of 2021”.[23]
On 20 October 2021, the FLNKS requested a postponement of the election until September 2022 for “health and social reasons related to COVID-19.” However, the High Commissioner of the Republic confirmed the date of 12 December 2021. As a result of this decision, the pro-independence parties called on people not to participate in the referendum. They specified that, under these conditions, they would not respect the result if the referendum went ahead.[24]
On 8 November 2021, private sector interests called for the referendum to go ahead on 12 December 2021. “The economic and social situation of the territory has deteriorated sharply over the past three years, which has led economic players to take a stand to ‘turn the page on the Nouméa agreement’,” stated Le Monde.[25] “The public accounts show a deficit of 400 million euros, the social accounts are structurally in agony,” stated the president of the local Medef.[26]
The third referendum on self-determination, provided for in the 1998 Nouméa Accords, took place on 12 December 2021, following two successive victories for the “no” vote. As with the first two referendums, the question asked was: “Do you want New Caledonia to achieve full sovereignty and independence?”
The outcome of the vote came the next day. The “yes” vote obtained 3.5% of the votes cast (with 2,747 voters) and the “no” vote won for a third time, with 96.50% (with 75,720 voters).
Death of Alban Bensa
On 10 October 2021, the ethnologist and Director of Studies at the École des Hautes Études en Sciences Sociales [School of Higher Social Science Studies / EHESS], a recognised specialist in Kanak society, died in Paris at the age of 73. Alban Bensa devoted nearly 50 years of his life to the study of Kanak culture, mythologies and sociopolitical systems. His work commenced in 1973 when he arrived in a territory marked by the violence of colonial domination.[27]
Patrick Kulesza is the Executive chairman/director of GITPA, Groupe International de Travail pour les Peuples Autochtones - France (www.gitpa.org).
Claire Levacher is an anthropologist by training. She worked most notably on relations between Indigenous populations and mining companies in New Caledonia and Quebec from 2011 to 2019. She completed her thesis at the EHESS and IRD and then two post-doctorates at the New Caledonian Institute of Agronomy and Laval University. She worked for GITPA from 2011 to 2012 and continues to contribute to the organisation's work on an ad hoc basis.
This article is part of the 36th edition of The Indigenous World, a yearly overview produced by IWGIA that serves to document and report on the developments Indigenous Peoples have experienced. Find The Indigenous World 2022 in full here
Notes and references
[1] Leblic, Isabelle. “Nouvelle-Calédonie 150 ans après la prise de possession.” Journal de la Société des Océanistes 117 (2003): 135-145. http://www.oceanistes.org/fr/journal/117/JSO117Presentation.pdf
[2] L’Institut de la statistique et des études économiques de Nouvelle-Calédonie (ISEE). “En Nouvelle-Calédonie, le recensement a lieu tous les cinq ans et concerne l'ensemble de la population. Le dernier a eu lieu en 2019.” https://www.isee.nc/population/recensement
[3] Nouméa Accord. 1998.
https://unterm.un.org/unterm/Display/record/UNHQ/__Noumea_Accord/9BCA7682FD6EEF7985257A85006D4AEB; https://documents-dds-ny.un.org/doc/UNDOC/GEN/N98/154/14/PDF/N9815414.pdf?OpenElement
[4] Lin, Catherine. “Poverty in New Caledonia: The Kanak's Struggle.” BORGEN Magazine, November 6, 2020. –https://www.borgenmagazine.com/poverty-new-caledonia/
[5] Lagadec, Gael & Alain Descombels. “L'ombre de la crise.” [The shadow of the global crisis].
MPRA Paper 17871, University Library of Munich, Germany. https://ideas.repec.org/p/pra/mprapa/17871.html
[6] Cottereau-Reiss P. et Gorohouna S. (2010), “Diversités et inégalités des situations économiques des 18-30 ans résidents de la province Nord en 2005”, in “Etre Jeune en province Nord”, Artypo, Nouméa, 2010.
[7] Roger, Patrick, and Claudine Wéry. “En Nouvelle-Calédonie, la filière nickel aux abois.” Le Monde, January 21, 2021. https://www.lemonde.fr/economie/article/2021/01/21/en-nouvelle-caledonie-la-filiere-nickel-aux-abois_6067009_3234.html.
[8] Grochain, Sonia. 2013. Les Dynamiques Sociétales Du Projet Koniambo. Ebook. 1st ed. Nouméa: Paita: Éditions IAC, DL 2013.
[9] AFP. “Nouvelle-Calédonie : la mine de nickel de la SMSP placée sous procédure de sauvegarde.” Connaissance des Énergies, May 18, 2021. https://www.connaissancedesenergies.org/afp/nouvelle-caledonie-la-mine-de-nickel-de-la-smsp-placee-sous-procedure-de-sauvegarde-210518.
[10] Idem.
[11] CTC Nouvelle-Calédonie. “Province Nord (secteur du nickel) (Nouvelle-Calédonie).” Cour des comptes - Chambres régionales et territoriales des comptes. May 2, 2021. https://www.ccomptes.fr/fr/publications/province-nord-secteur-du-nickel-nouvelle-caledonie.
[12] Op Cit. 8.
[13] NS Energy. “New Century Resources in talks with Vale to acquire Goro mine.” NS Energy, May 27, 2020. https://www.nsenergybusiness.com/news/new-century-resources-goro-mine-vale/
[14] IEOM Nouméa. “Le rachat de Vale NC est remis en cause suite au retrait de NCR.” IEOM Nouméa, 2020. https://www.ieom.fr/nouvelle-caledonie/actualites/la-lettre-de-l-ieom/septembre-2020/actualites-economiques-locales/article/le-rachat-de-vale-nc-est-remis-en-cause-suite-au-retrait-de-ncr.
[15] Reuters. “Australia's New Century scraps acquisition of Vale's Pacific island project.s”Reuters, September 8, 2020. https://www.reuters.com/article/us-new-centry-rsrcs-m-a-idUSKBN25Z05Q.
[16] Franceinfo. Nouvelle-Calédonie la 1ère. “Vale Nouvelle-Calédonie dénonce ‘une violence quotidienne’ et renforcée, contre l’usine du Sud.” Franceinfo. Nouvelle-Calédonie la 1ère, February 1, 2021. https://la1ere.francetvinfo.fr/nouvellecaledonie/province-sud/vale-nouvelle-caledonie-denonce-une-violence-quotidienne-et-renforcee-contre-l-usine-du-sud-922882.html.
[17] Roger, Patrick. “En Nouvelle-Calédonie, mobilisation contre la reprise de l’usine de production de nickel.”. Le Monde, November 16, 2020. https://www.lemonde.fr/politique/article/2020/11/16/en-nouvelle-caledonie-mobilisation-contre-la-reprise-de-l-usine-de-production-de-nickel_6059924_823448.html.
[18] Davesne, Solène. “Accord sur la cession de l'usine Vale en Nouvelle-Calédonie... grâce à Tesla.” l'Usine Nouvelle, March 5, 2021. https://www.usinenouvelle.com/article/fin-du-bras-de-fer-sur-la-cession-de-l-usine-vale-en-nouvelle-caledonie.N1068019
[19] Goetz, Étienne. “Nickel : pourquoi la vente d'une usine de Vale plonge la Nouvelle-Calédonie dans le chaos.” Les Echos, December 20, 2020. https://www.lesechos.fr/finance-marches/marches-financiers/nickel-pourquoi-la-vente-dune-usine-de-vale-plonge-la-nouvelle-caledonie-dans-le-chaos-1275586.
[20] Le Monde avec AFP. “Nouvelle-Calédonie : les indépendantistes font chuter le gouvernement collégial.” Le Monde, February 2, 2021. https://www.lemonde.fr/politique/article/2021/02/02/nouvelle-caledonie-les-independantistes-font-chuter-le-gouvernement-en-demissionnant_6068443_823448.html.
[21] Chaillot, Damien. “En Nouvelle-Calédonie, le parti l’Éveil Océanien prône le dialogue etla neutralité.” Outremers 360°, February 2, 2021. https://outremers360.com/rubrique/en-nouvelle-caledonie-le-parti-leveil-oceanien-prone-le-dialogue-et-la-neutralite.
[22] Gouvernement de la Nouvelle-Calédonie. “Info Covid-19.” https://gouv.nc/coronavirus
[23] Roger, Patrick. “Nouvelle-Calédonie : vers un ultime référendum sur l’indépendance avant la fin de l’année.” Le Monde, June 1, 2021. https://www.lemonde.fr/politique/article/2021/06/01/nouvelle-caledonie-vers-un-ultime-referendum-sur-l-independance-avant-la-fin-de-l-annee_6082411_823448.html
[24] Vie publique. "Nouvelle-Calédonie : les résultats du 3e référendum d’autodétermination du 12 décembre 2021." Vie publique, December 13, 2021.https://www.vie-publique.fr/eclairage/18649-nouvelle-caledonie-3e-referendum-dautodetermination-12-decembre-2021
[25] Roger, Patrick. "Nouvelle-Calédonie : les milieux économiques plaident pour le maintien du référendum au 12 décembre." Le Monde, November 8, 2021. https://www.lemonde.fr/politique/article/2021/11/08/les-milieux-economiques-caledoniens-plaident-pour-le-maintien-du-referendum-au-12-decembre_6101369_823448.html
[26] Idem.
[27] GITPA. “Kanaky – Nouvelle Calédonie (Octobre 2021) - Disparition d'Alban Bensa, anthropologue, spécialiste du monde kanak.” http://gitpa.org/Qui%20sommes%20nous%20GITPA%20100/ACTUlettreKanakyHommage%20BENSA.htm
