Colombia reports expansion of mostly illegal alluvial gold mining - Bilyonaryo Business

AI desk brief

Colombia’s mostly illegal alluvial gold production expanded 4.5% year-on-year in 2025 to 118,410 hectares, the third straight annual increase, with 75% of output deemed illegal and nearly half the activity occurring in areas where mining is not permitted. The report also says 61% of the increase was on Afro-Colombian lands, underscoring the scale of informal supply and governance risk in a key Latin American gold source.

Authorities said illegal gold mining is the second-largest source of financing for armed groups after drug trafficking, while the mines minister called for traceability systems so buyers can verify legal sourcing. The main market implication is a structural supply/ESG risk for the bullion chain rather than an immediate price catalyst.