Commodity Online
SURAT/WINDHOEK (NAMIBIA): World Diamond Council has come out with strong statements against blood diamonds and announced that Kimberley Process should be strengthened further to tackle the problem of conflict diamonds.
This statement will certainly affect the diamond business in Surat and other markets because the trade will always be under severe scrutiny of the WDC. With tightening of the diamond trade across the globe, flow of blood diamonds to the trade from Zimbabwe and other war-torn African nations will become very tough. Following this, supply of diamonds will come under scanner at almost all points of trade.
Surat had earned bad reputation following the release of the movie ‘Blood Diamonds’ in which the Gujarat city was portrayed as a spot to trade in blood diamonds.
The WDC call to Kimberley Process to come up with new methods to tackle the issue will further draw attention towards the illegal trade. Surat’s diamond sector has been reeling under the impact of recession for the past one year.
The WDC said at its meet in Namibia, “Having successfully dealt with problems in major conflict scenarios, it is now necessary that the Kimberley Process is provided with the continued support and additional resources it needs to robustly address the issue of the illegal smuggling of diamonds from several smaller diamond-producing and -trading countries.”
The group called upon the Kimberley Process to take swift action when faced with cases of noncompliance and to agree on an interim suspension mechanism with clear criteria.
It also urged stronger government oversight of the diamond industry, including spot checks of companies that are involved. The group further wants Kimberley Process standards, as well as the WDC system of warranties, to be applied to the cutting and polishing sector.
Since its inception in 2003, the Kimberley Process has played a key role in the effort to eliminate the scourge of conflict diamonds (blood diamonds) from the global diamond trade.
Today, the Kimberley Process ensures that more than 99% of the global production of rough diamonds is certified to be from conflict free sources.
Having successfully dealt with problems in major conflict scenarios, it is now necessary that the Kimberley Process is provided with the continued support and additional resources it needs to robustly address the issue of the illegal smuggling of diamonds from several smaller diamond producing and trading countries.
The WDC will reiterate the need to address these points when it participates next week in the multi-sectoral review mission, alongside governments and civil society, to assess Zimbabwe’s compliance to the Kimberley Process.
