Puerto Maldonado in Peru's Madre de Dios province feels like a frontier town. Dusty streets, ramshackle buildings, new construction and the hustle and bustle of people who want to make it. Tourists are bussed through the town to the many ecotourism companies that bring people from all over the world to experience the Amazon. Puerto Maldonado is perched on the bank of the Tambopata River, a tributary to the Amazon. The Tambopata River received some fame in ecotourism circles when the clay-licking macaws were featured on the cover of the January 1994 National Geographic[1] issue. The industry has boomed ever since.
Typically, tourists are quickly moved to boats on the Tambopata and make their way to private lodges for the ecotourism operations. Some of these are partnerships with local indigenous groups, while others are outright owners of private land on the banks of the river. Walking through the streets of Puerto Maldonado, you'll see streets with that frontier feel … and you'll find lots of gold buyers and associated businesses. The gold trade is flourishing and it is all of the worst origin.
This is not the gold trade of mining companies listed on the stock exchange. This is not the gold trade of private responsible companies. Presumably, this is not Peter Schiff's gold trade. This is the informal and illegal gold trade. This is the trade that responds to price. This is the trade that abuses the destitute and empowers criminal syndicates and organizations. This is the trade of the underworld. This town of less than 100,000 inhabitants is largely a story of two opposing worlds. Ecotourism depends on a healthy ecosystem and the gold trade which completely obliterates the forest.
Interestingly, the boom in ecotourism led to increased protection upstream from Puerto Maldonado through
