The crucial gold-mining sector has faced a number of challenges in recent months, with production affected by both technical issues and public protests against mining concerns. Output of gold at Kumtor fell by 9% year on year in the first quarter of 2011, to 164,167 oz. Less ore was milled as a result of a four-day closure of the facility to replace equipment, and the ore mined was of a lower grade than that mined in the first quarter of 2010.

Kyrgyz politicians have again been calling for the agreement with the mine's operator, Centerra Gold, to be revisited. Centerra was formerly a joint venture between Canada's Cameco and the state-owned Kyrgyzaltyn, until Cameco pulled out in late 2009, in the process selling off part of its holding on the open market and transferring the rest to Kyrgyzaltyn, bringing the state's share in the mine to one-third (February 2010, The domestic economy). Before that transaction, the production agreement had long been a source of controversy, with populist politicians claiming that the government's share of revenue was too low and playing on popular mistrust of foreign investors. The currently high price of gold on global markets, in conjunction with the economy's difficulties, has led to renewed calls to increase the share of Kumtor profits that accrue to the state. In April Joomart Saparbayev, a parliamentary deputy, pointed out that production agreements in Mongolia, where Centerra also operates, tend to split the proceeds evenly between Centerra and its state-owned partners. A deputy from the Socialist Party Ata-Meken (Fatherland), Ravshan Sabirov, also called for the Centerra production agreement to be scrutinised by a parliamentary committee-a process that began in late April. The Jogorku Kenesh (parliament) will debate its findings in due course, according to Raikan Tologonov, a member of the relevant committee.

A small public protest in late April alleging the misappropriation of compensation payments that Kumtor had made for ecological damage passed peacefully. However, before that, on March 10th, a protest in the western province of Talas against what demonstrators said were unfair employment practices at a local mine-the South African-owned Talas Copper Gold-turned violent, with young men on horseback bursting through security fences, and looting and damaging property. Company sources were reported to have put a cost of US$1m on the damage, although local government officials claimed that it amounted to only around one-tenth of this figure.