The Kimberly Process- Solving The Issue of Conflict Free Diamonds

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Presentation transcript:

The Kimberly Process- Solving The Issue of Conflict Free Diamonds Because diamonds are small and easy to transport, it is difficult to track all diamonds leaving a given country. Diamonds from conflict regions are often mixed with legitimate diamonds and certified as conflict free. Some experts claim that due to smuggling and mixing diamonds it’s almost impossible to know if the diamond indeed came from a conflict area.

Antwerp: The Diamond Capital Once diamonds are smuggled out of a conflict region, they inevitably end up in Antwerp, Belgium, the diamond capital of the world. Annually, half the world’s rough diamonds, an average of $29 billion dollars worth, pass through Antwerp. Other trading centers include New York, Tel Aviv, and Bombay. Sorting experts then categorize and assign value to the diamonds before sending them to cutting and polishing centers to be prepared for resale.

The American Love Affair With Diamonds Once diamonds have been cut and polished, they are sent to manufacturers who craft them into jewelry. The United States is the largest market for diamond jewelry, buying up nearly half of the $56 billion in diamonds sold last year. Almost all diamonds in the United States pass through the Diamond District in Manhattan before being sold to other retailers.

International Initiative: The Kimberley Process In 2003, the Kimberley Process Certification Scheme, a joint initiative developed by governments, the international diamond industry, and civil society, was introduced to help stem the flow of conflict diamonds. The Kimberley Process is a voluntary initiative that requires participants to certify that shipments of rough diamonds are conflict free. The diamond industry also voluntarily agreed to implement a System of Warranties, designed to help trace rough diamonds from mining to point of sale.

The Perfect Solution? While the Kimberley Process has not solved the problem of conflict diamonds, it has reduced the amount of conflict diamonds sold into the open market. Currently, violence funded by conflict diamonds is escalating in Cote D’Ivoire, proving there are serious loopholes in the Kimberley Process. Recommendations to strengthen the Kimberley Process include increasing government oversight of the diamond industry and strengthening government enforcement policies.