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US threatens to ban Zimbabwe’s ‘blood diamonds’

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HARARE (Commodity Online): After just escaping a ban from the Kimberley Process (KP), Zimbabwe is facing new trouble from the US with the Obama administration telling the Harare government to mend its ways and cleanse the corrupt diamond mining sector in the country.

Last week the KP failed to ban Zimbabwe even though there was evidence that the Zimbabwe military helped the illegal blood diamonds trade flourish in the country.

Following this, the US state department has threatened that if a plan to place strict controls on Zimbabwe’s Marange fields is not thoroughly implemented, the country will be suspended from the KP.

The statement also urges a prompt resolution of the KP discussions on the critical role of respect for human rights in the administration of participants’ diamond mining sectors.

The statement says the KP was created to mitigate such abuses in nations facing conflict or internal strife.

The KP decided last week to place a monitoring mechanism on Zimbabwe’s Marange diamonds following reports of large-scale smuggling and human rights abuses that include killings and rape.

The US warned that the country expects that if the Work Plan which obligates Zimbabwe to commit substantial effort and resources is not thoroughly implemented, the KP will suspend Zimbabwe’s status in the KP certification scheme. It added that the US noted that Zimbabwe agreed not to export Marange diamonds until the monitoring mechanism is established.

The United States expressed deep concern about human rights abuses in and around the Marange diamond fields and urged KP members to demonstrate their full commitment to the principles upon which the KP was established.

The United States also welcomed progress made regarding increased oversight of exports from Guinea, new measures for identification and cooperation on suspicious shipments and efforts to improve coordination on technical and development assistance.
NCDEX POTATOFAQJUN12 20 June 2012 contract was trading at Rs 0 . What's your view on it?
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