Swiss-based multinational miner Glencore (LSE: GLEN) has disclosed $5.7 billion in taxes, royalties and other government payments in 2020.
The diversified mining house says the covid-19 pandemic caused major production outages across the portfolio last year amid softer commodity prices: the result, lower payments to host nations compared with the 2019 total of $7.7 billion.
The group’s effective income tax rate, pre-significant items, was 29.7% in 2020, consistent with the 30.5% reported in 2019.
Glencore says its contributions go beyond the taxes and royalties it pays, with its activities contributing significant, long-term socio-economic value to our operating countries. It enables governments to realise value from their natural assets and fund public services and infrastructure to improve their nation’s way of life.
“Our global footprint can make significant and sustainable economic benefits to our host governments, employees, suppliers and communities through the provision of employment and training, tax and royalty payments, local procurement, social development and environmental stewardship,” says CFO Steve Kalmin in a media release.