Diamonds and Gold: The destructive public health, human rights and environmental consequences of symbols of love Martin Donohoe.

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Flowers, Diamonds, and Gold: The destructive public health, human rights and environmental consequences of symbols of love Martin Donohoe.
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Presentation transcript:

Diamonds and Gold: The destructive public health, human rights and environmental consequences of symbols of love Martin Donohoe

Diamonds Created from carbon early in the earth’s history under extreme temperature and pressure Created from carbon early in the earth’s history under extreme temperature and pressure

World Diamond Production ( )

Diamond Production and Sales Most cutting done in Surat (India), Tel Aviv, Antwerp, Mumbai, New York and Thailand Most cutting done in Surat (India), Tel Aviv, Antwerp, Mumbai, New York and Thailand Major trading centers: Antwerp, Tel Aviv, New York and Mumbai Major trading centers: Antwerp, Tel Aviv, New York and Mumbai Major retail markets U.S. and Japan Major retail markets U.S. and Japan Annual retail sales = $50 billion (2010) Annual retail sales = $50 billion (2010)

Kimberley Mine, SA Yielded 3 tons of diamonds, Closed 1914

Mirny Diamond Mine, Siberia Largest open diamond mine in the world

De Beers Mining Company Founded by Cecil Rhodes in 1888 Founded by Cecil Rhodes in 1888 Responsible for 40%-45% of worldwide diamond production and sales Responsible for 40%-45% of worldwide diamond production and sales

Cecil Rhodes (Founder of DeBeers Mining Company, Rhodesia, Rhodes Scholarship) “We must find new lands from which we can easily obtain raw materials and at the same time exploit the cheap slave labour that is available from the natives of the colonies. The colonies would also provide a dumping ground for the surplus goods produced in our factories.”

Diamond Rings Diamond engagement ring introduced in 1477 (Archduke Ferdinand → Mary of Burgundy) Diamond engagement ring introduced in 1477 (Archduke Ferdinand → Mary of Burgundy) 1939: DeBeers hires N.W. Ayer and Company to make diamonds “a psychological necessity…the larger the diamond, the greater the expression of love.” 1939: DeBeers hires N.W. Ayer and Company to make diamonds “a psychological necessity…the larger the diamond, the greater the expression of love.”

Diamond Rings By 1942, 80% of engagements in U.S. consecrated with diamond rings (still true today) By 1942, 80% of engagements in U.S. consecrated with diamond rings (still true today) 1947: “A diamond is forever” slogan born 1947: “A diamond is forever” slogan born Jewelers instructed to tell (pressure?) men to spend at least 2 months salary on the ring Jewelers instructed to tell (pressure?) men to spend at least 2 months salary on the ring

Diamond Rings 1999: Advertising Age magazine declares “A Diamond is Forever” slogan the most effective of the 20 th Century 1999: Advertising Age magazine declares “A Diamond is Forever” slogan the most effective of the 20 th Century 1999: De Beers chairman Nicky Oppenheimer – “Diamonds are intrinsically worthless, except for the deep psychological need they fill” 1999: De Beers chairman Nicky Oppenheimer – “Diamonds are intrinsically worthless, except for the deep psychological need they fill”

Diamonds: Profits and Losses 144 million carats rough diamonds mined for jewelry per year 144 million carats rough diamonds mined for jewelry per year 1 carat diamond retails for $4,000-$7,500 in the U.S. 1 carat diamond retails for $4,000-$7,500 in the U.S. Costs less than $2 billion to extract Costs less than $2 billion to extract Ultimately sell for over $50 billion Ultimately sell for over $50 billion

Diamonds: Profits and Losses Workers desperately poor but hoping to strike it rich in “casino economy” Workers desperately poor but hoping to strike it rich in “casino economy” 1 million in Africa 1 million in Africa Work under dangerous, unhealthy conditions for pittance Work under dangerous, unhealthy conditions for pittance Diamonds may be embedded in asbestos Diamonds may be embedded in asbestos Workers suffer from cancer, leukemia, silicosis Workers suffer from cancer, leukemia, silicosis

Diamonds: Profits and Losses Middlemen, diamond dealers and exporters earn the lion’s share of profits Middlemen, diamond dealers and exporters earn the lion’s share of profits Most foreign nationals Most foreign nationals Very little profit re-invested in local communities Very little profit re-invested in local communities

Diamonds: Human Rights Abuses, Conflict and Terrorism Mine owners violate indigenous peoples’ rights via destruction of traditional homelands and forced resettlement Mine owners violate indigenous peoples’ rights via destruction of traditional homelands and forced resettlement Mining hastens environmental degradation of ecosystems already under severe stress Mining hastens environmental degradation of ecosystems already under severe stress

Diamonds: Human Rights Abuses, Conflict and Terrorism Diamonds have been used by rebel armies in the Democratic Republic of the Congo, Angola, Liberia, Zimbabwe, and Sierra Leone to pay for weapons used to fight brutal civil wars Diamonds have been used by rebel armies in the Democratic Republic of the Congo, Angola, Liberia, Zimbabwe, and Sierra Leone to pay for weapons used to fight brutal civil wars 4 million deaths 4 million deaths Child soldiers Child soldiers Forced labor Forced labor Sex slavery, HIV Sex slavery, HIV Terrorize local populations (e.g., RUF in Sierra Leone killed and mutilated thousands via amputations with machetes and axes in 1990s) Terrorize local populations (e.g., RUF in Sierra Leone killed and mutilated thousands via amputations with machetes and axes in 1990s)

Diamonds: Human Rights Abuses, Conflict and Terrorism Al Qaeda and Hizbollah have used diamond monies to: Al Qaeda and Hizbollah have used diamond monies to: Hide and launder money Hide and launder money Fund terror cells Fund terror cells

Smuggled and Illicit Conflict Diamonds 10-15% of diamond jewelry sold worldwide 10-15% of diamond jewelry sold worldwide U.S. State Dept. U.S. State Dept. 20% 20% Global Witness Global Witness

Uses of Gold 80-90% of gold mined today turned into jewelry 80-90% of gold mined today turned into jewelry 10-20% used by industry 10-20% used by industry

Gold Production Top producers: China, Australia, United States, Russia, South Africa, Peru Top producers: China, Australia, United States, Russia, South Africa, Peru 2500 tons mined each year 2500 tons mined each year Valued at $21 billion Valued at $21 billion Typical piece of gold jewelry sells for at least 4 times the value of the gold itself Typical piece of gold jewelry sells for at least 4 times the value of the gold itself

The Gold Wedding Ring Aggressive marketing has played a significant role in popularizing the gold wedding band Aggressive marketing has played a significant role in popularizing the gold wedding band

Gold Mining: The Myth

Gold Mining: The Reality

Mining: The World’s Deadliest Industry 12 million adults, 1 million children work as miners worldwide 12 million adults, 1 million children work as miners worldwide Tens of thousands killed mining gold and other minerals over the last century Tens of thousands killed mining gold and other minerals over the last century 40 killed per day presently 40 killed per day presently

The Resource Curse Dependence upon gold mining slows/reverses economic growth, increases poverty, and encourages governmental corruption Dependence upon gold mining slows/reverses economic growth, increases poverty, and encourages governmental corruption Benefits go to corrupt central governments and overseas corporations Benefits go to corrupt central governments and overseas corporations Little returned to local communities Little returned to local communities Rural and indigenous peoples suffer disproportionately Rural and indigenous peoples suffer disproportionately

Environmental Destruction ¾ of active gold mining and exploration sites overlap with regions of high conservation value, such as National Parks and World Heritage Sites ¾ of active gold mining and exploration sites overlap with regions of high conservation value, such as National Parks and World Heritage Sites

Gold Mining Gold = Cyanide + Mercury At least 18 tons of mine waste created to obtain the gold for a single 3 oz., 18k ring At least 18 tons of mine waste created to obtain the gold for a single 3 oz., 18k ring Gold leached from ore using cyanide Gold leached from ore using cyanide

Gold Mining Gold = Cyanide + Mercury Mercury used to capture gold particles as an amalgam Mercury used to capture gold particles as an amalgam Mercury converted to methylmercury in environment Mercury converted to methylmercury in environment 1/3 of global mercury pollution due to gold mining (major source = coal-fired power plants) 1/3 of global mercury pollution due to gold mining (major source = coal-fired power plants)

Minimata Disease W Eugene Smith

Gold Mining: Environmental Damage Contaminated groundwater often sits in large toxic lakes held in place by tenuous dams Contaminated groundwater often sits in large toxic lakes held in place by tenuous dams Release of cyanide and mercury into local waterways kills fish, harms fish-eating animals, and poisons drinking water Release of cyanide and mercury into local waterways kills fish, harms fish-eating animals, and poisons drinking water Omai and Danube River dam failures Omai and Danube River dam failures

Gold: Other Environmental Harms Gold smelting uses large amounts of energy and releases SO 2, nitrogen dioxide, and other components of acid rain Gold smelting uses large amounts of energy and releases SO 2, nitrogen dioxide, and other components of acid rain Contributes to asthma, skin ailments Contributes to asthma, skin ailments

Gold: Other Environmental Harms Toxic pollution from gold mines affects 100 million people worldwide Toxic pollution from gold mines affects 100 million people worldwide Water tables decline due to pumping of enormous quantity of water to release gold from ore Water tables decline due to pumping of enormous quantity of water to release gold from ore Women have to walk further to collect water Women have to walk further to collect water

Gold Mining: Health Consequences Mercury pollution contributes to the spread of malaria Mercury pollution contributes to the spread of malaria Gold and lead sometimes found together Gold and lead sometimes found together Mining releases lead into soil and air Mining releases lead into soil and air Epidemic of lead poisoning in Nigeria Epidemic of lead poisoning in Nigeria

Gold Mining Harms Women Mining employs a few women in low-level, clerical positions, where they face severe discrimination, sexual harassment, and firing for pregnancy Mining employs a few women in low-level, clerical positions, where they face severe discrimination, sexual harassment, and firing for pregnancy By displacing agriculture (where women play a major role), removes women from labor force By displacing agriculture (where women play a major role), removes women from labor force Concentrates economic and political power in hands of men Concentrates economic and political power in hands of men

Gold Mining: Human Rights Abuses Grassberg mine (world’s largest, owned by U.S.-based Freeport-McMoRan) Grassberg mine (world’s largest, owned by U.S.-based Freeport-McMoRan) Operators implicated in forced evictions, murders, rape, torture, extra-judicial killings, and arbitrary detentions Operators implicated in forced evictions, murders, rape, torture, extra-judicial killings, and arbitrary detentions Abetted by Indonesian military, which it has paid millions of dollars Abetted by Indonesian military, which it has paid millions of dollars

Gold Mining: Terrorism Echo Bay Mines Limited purportedly paid off Abu Sayef (affiliated with Al Qaeda) in exchange for protection of its Philippines-based gold mine Echo Bay Mines Limited purportedly paid off Abu Sayef (affiliated with Al Qaeda) in exchange for protection of its Philippines-based gold mine

Gold: Political Influence $32 million spent on lobbying in U.S. in 2011 $32 million spent on lobbying in U.S. in 2011 Largest recipient = Mitt Romney Largest recipient = Mitt Romney

Gold: Fiscal Policy Currently 3 times more gold sits in bank vaults, in jewelry boxes, and with private investors than is identified in underground reserves Currently 3 times more gold sits in bank vaults, in jewelry boxes, and with private investors than is identified in underground reserves Federal Reserve and other major central banks have agreed to severely restrict sales from their reserves, offering, in effect, a price support to gold Federal Reserve and other major central banks have agreed to severely restrict sales from their reserves, offering, in effect, a price support to gold Subsidies make it cheaper to extract new gold than to recycle existing gold Subsidies make it cheaper to extract new gold than to recycle existing gold

Symbols of Love: Alternatives and Solutions (Diamonds) Consider alternatives to traditional engagement ring, including no ring Consider alternatives to traditional engagement ring, including no ring Purchase only verifiable conflict-free diamonds Purchase only verifiable conflict-free diamonds cut, color, clarity, and conflict cut, color, clarity, and conflict Query jewelers, consumer education, boycotts, protests, shareholder activism Query jewelers, consumer education, boycotts, protests, shareholder activism

Kimberly Process Certification Scheme U.S. Clean Diamond Act of 2003, USA Patriot Act U.S. Clean Diamond Act of 2003, USA Patriot Act Designed to assure conflict-free diamonds Designed to assure conflict-free diamonds Involved countries (77) and jewelers slow and often ineffective in enacting Scheme Involved countries (77) and jewelers slow and often ineffective in enacting Scheme

Symbols of Love: Alternatives and Solutions (Gold) Consider recycled/vintage gold, eco- friendly gold, no ring Consider recycled/vintage gold, eco- friendly gold, no ring Consumer pressure, boycotts, shareholder resolutions Consumer pressure, boycotts, shareholder resolutions

No Dirty Gold Campaign Calls for halt to production and sale of gold produced at expense of communities, workers, and the environment Calls for halt to production and sale of gold produced at expense of communities, workers, and the environment Mining companies not to operate in areas of armed conflict Mining companies not to operate in areas of armed conflict Companies representing 22% of US jewelry market pledged Companies representing 22% of US jewelry market pledged

Alternatives and Solutions International Labor Organization’s Convention #169 Concerning Indigenous and Tribal Peoples in Independent Countries International Labor Organization’s Convention #169 Concerning Indigenous and Tribal Peoples in Independent Countries Signed and ratified by 19 countries (but none of major gold mining countries) Signed and ratified by 19 countries (but none of major gold mining countries)

Conclusions Cut flowers, diamonds, and gold as symbols of love are cultural constructs perpetuated in part by the persuasive marketing efforts of multinational corporations Cut flowers, diamonds, and gold as symbols of love are cultural constructs perpetuated in part by the persuasive marketing efforts of multinational corporations Production involves significant damage to local communities and the environment and harms men, women and children Production involves significant damage to local communities and the environment and harms men, women and children

Conclusions Production supports human rights abuses, armed conflict, and even terrorism Production supports human rights abuses, armed conflict, and even terrorism Symbols of love should not be constant reminders of death and destruction Symbols of love should not be constant reminders of death and destruction Consider alternative symbols of love Consider alternative symbols of love Work for social justice and change Work for social justice and change

Paper/References Donohoe MT. Flowers, diamonds, and gold: The destructive human rights and environmental consequences of symbols of love. Human Rights Quarterly 2008;30: Available at content/uploads/2008/02/symbols-of-love- hrq-pdf.pdf content/uploads/2008/02/symbols-of-love- hrq-pdf.pdf content/uploads/2008/02/symbols-of-love- hrq-pdf.pdf

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