The need for significant capital investments will be the main trend in the diamond mining industry in 2021-2030

The prospects of the diamond industry in the post-crisis period are discussed by the Rough&Polished correspondent with Sergey Mityukhin, Candidate of Geological and Mineralogical Sciences, Honored Geologist of the Russian Federation.


Young Diamantaires: We create initiatives for the benefit of diamond communities worldwide

The World Federation of Diamond Bourses recently launched its Young Diamantaires website. The organization has worked for the past four years with young members of the diamond community all over the world to create a platform through which they can express...

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Those who implement the right anti-crisis strategies have more chances

It is not surprising that because of the pandemic and the crisis, the most heated debate in the jewellery industry is about what is happening and the possible ways of survival. Irina Slesareva, an expert, art director of the Russian Diamond Line contest...

22 june 2020

The secondary diamond market in Russia is not mature although its prospects are huge

Pavel Barannik, the founder and head of the Moscow Gemological Laboratory, the founder of the Gemological Institute and President of the Moscow Diamond Club, graduated from the Gemological Institute of America (GIA). He is an expert and consultant...

15 june 2020

Johan Erikson: The industry needs to spend more on advertising and marketing

First Element is a fully independent Diamond Services Company registered in Belgium, Botswana, South Africa and Dubai. First Element is committed to providing a world class diamond service aimed at adding value to the entire supply chain, from the daily...

08 june 2020

WDC to continue to champion strengthening scope of Kimberley Process

22 november 2019
During the 2019 KP Plenary held from 18th to 22nd November 2019 in New Delhi, the government representatives failed to reach a consensus on a strengthened scope for the Kimberley Process (KP). However, the World Diamond Council (WDC) has reiterated its commitment to continuing to advocate for change, says a press release from WDC.
In the statement, WDC President Stephane Fischler said: “While the KPCS continues to fulfil an important function, the failure of the political process to achieve consensus was a missed opportunity to enhance the effectiveness of this foundation stone of integrity in the diamond business. The KPCS has been a critical element in maintaining peace in producing countries through increased traceability of rough diamond trade, and we must redouble our efforts to strengthen its impact. About 95 per cent of the rough diamonds produced by value are mined by a handful of large industrialized mining companies, almost all of which have implemented compliance systems that go beyond the scope of the KPCS. These all require observance of the WDC’s System of Warranties (SoW), which was expanded in 2018."

 Image credit: World Diamond Council

As recognized in the KP core document, the SoW is designed to facilitate full traceability of diamond transactions by government authorities. This is achieved by requiring all B2B sellers of rough diamonds, polished diamonds and jewellery containing diamonds to include a statement on the invoice or memo document that the goods being sold comply with the KPCS. Importantly, the updated SoW, which also was endorsed by this session of the KP, moves significantly beyond the KPCS, by including a commitment by companies to adhere to WDC Guidelines, which expressly reference international conventions relating to human and labour rights, anti-corruption and anti-money laundering (AML).
During the meeting in New Delhi, following a proposal by the US delegation, the KP Plenary agreed to restructure the operational framework system created for the Central African Republic, while maintaining the current strict monitoring of exports.
 “We support the objectives of this change in policy,” said Fischler, “which is to encourage an increase in legal exports from CAR, as well as improve the efficiency of the system. As this process will shift some of the burdens of verifying the provenance of the goods to the importers in the trading centres, we will soon be issuing guidance in this respect for the industry.”
The WDC expressed its support for new KP-related community development projects reported on during the Plenary Meeting. It noted that they are excellent examples of the organization’s capacity to expand beyond its original mandate as mainly a preventative mechanism, to also being a facilitator of reconstruction and renewal in countries that were or still are afflicted by conflict.
 One such project is the EU and German-funded “Mano River Union (MRU),” which supports KPCS implementation in Cote d'Ivoire, Guinea, Liberia, and Sierra Leone, preventing cross-border smuggling as well as capacity building in artisanal mining communities. The same regional approach is currently being considered for countries in Central Africa. Another is USAID’s "Artisanal Mining and Property Rights (AMPR)" project, which addresses development challenges in the ASM sector in the Central African Republic while improving compliance with KPCS requirements.
Fischler added: “These innovative national or regional programs complement a growing number of grass-roots capacity-building being carried out by industry, including WDC member companies and organizations. The KP should not only be judged by what it prevents, but also by what it can facilitate. Peace-making and nation-building are both parts of its legacy, and it must use all avenues at its disposal to achieve these goals.”

Aruna Gaitonde, Editor in Chief of the Asian Bureau, Rough & Polished