Archive for October, 2009
Partnership Africa Canada Says Kimberley Process is Failing
by Admin on October 15th, 2009
Partnership Africa Canada’s (PAC) Diamonds and Human Security Annual Review for 2009 concluded that the Kimberley Process Certification Scheme (KPCS) is failing — but not due to warlords and sanctions busters. Instead, the PAC said governments that refuse to get tough on smuggling, human rights abuses and money laundering are placing the scheme at high risk for collapse.
This year’s Review, which includes detailed investigative reports on more than a dozen diamond producing countries, notes that the cost of the Kimberley Process’ (KP) collapse would be disastrous for an industry that benefits so many. “A criminalized diamond economy would re-emerge,” said the group’s executive director, Bernard Taylor. “And conflict diamonds could soon follow.” The problems can and must be fixed, Taylor added.
One of the problems at stake was that theKP lacks accountability. The chairmanship rotates on an annual basis and problems shift from one working group to another. Debates on vital issues extend for years and in the Kimberley Process, consensus means that everyone must agree — and that a single dissenting government can block forward movement, Partnership Africa Canada explained.Weak monitoring has translated into flagrant noncompliance, as was the case in Cote d’Ivoire and Venezuela. “The tracking of diamonds was the main purpose of theKimberley Process, to guarantee that they come from a known, clean source,” the group stated. “But in two of Africa’s largest diamond producers — Angola and the Democratic Republic of the Congo (DRC) — internal controls are still so weak after seven years that nobody can be certain where the diamonds they export really come from.”
Partnership Africa Canada also said that trade and production statistics from Lebanon, Guinea and the Republic of Congo (Brazzaville) raised serious questions, but no answers. TheKPstill has not addressed “smuggling, mismanagement and a government massacre of more than 200 diamond diggers in Zimbabwe,” according to the group. “Denial and procrastination are the default positions.”
PAC will call for “serious reform” during the November KP meeting in Namibia and for serious action on the scheme’s many outstanding problems. Susanne Emond of PAC said that theKP is “is too important to too many countries, companies and people to be a sham. It does not need to be redesigned; its provisions need to be enforced.”
Industry hits back on ‘conflict diamonds’
by Admin on October 9th, 2009
The diamond industry yesterday dismissed a report from a pressure group that had branded a system to rid the business of stones sourced from conflict zones a “public relations manoeuvre”.
The diamond industry yesterday dismissed a report from a pressure group that had branded a system to rid the business of stones sourced from conflict zones a “public relations manoeuvre”.
Global Witness, a non-governmental organisation, marked a meeting in Dubai of the World Diamond Council yesterday by publishing a highly critical study of the diamond industry’s implementation of an agreement to stop trade in “conflict diamonds”.
The pressure group said a system of self-regulation for the diamond business was not working and that it was not complying with an agreement known as the Kimberley Process. It said the governments that signed up to the Kimberley Process, put in force last year, must “take immediate action to directly regulate the diamond industry’s compliance”.
But this was rejected by the WDC, other industry organisations and companies such as De Beers, the leading diamond miner. Matthew Runci, an executive director of the WDC and chief executive of Jewellers of America, insisted the industry had reformed.
“Consumers can be sure that when they enter a responsible store they are buying non-conflict diamonds,” Mr Runci, speaking in Dubai, said.
The trade in illicit diamonds financed some of Africa’s bloodiest civil wars, especially in Sierra Leone, Angola and the Democratic Republic of Congo. In an attempt to end this, some 50 countries, including the UK and the US, signed up to the Kimberley Process.
As well as requiring the governments of the countries to check that all diamonds entering their borders are certified not to come from conflict zones, the industry agreed to regulate itself to stamp out trade in such stones.
According to Global Witness, which surveyed jewellery sellers in the US, sales staff in shops were unaware of the requirements of the Kimberley Process.
Zimbabwe Consults with Neighbors for Kimberley Process Compliance
by Admin on October 9th, 2009

Zimbabwe’s defense minister Emmerson Mnangagwa is leading a high powered delegation to Angola and Namibia to consult with those governments on how best Zimbabwe could comply with recommendations of the Kimberley Process Certification Scheme in exploiting the Chiadzwa diamonds in Marange. The team includes the deputy minister of Mines and Mining Development Murisi Zwizwai and other top ranking government officials. Mines and Mining Development minister Obert Mpofu could not travel due to family commitments.
Mnangagwa and his team are expected to meet high level government ministers from Angola and Namibia tasked by the Kimberley Process to help Zimbabwe set up structures to comply with the scheme’s standards. he visit comes on the back of the final report of the Kimberley Process on Zimbabwe, which came out about a month ago, but is without significant changes to the recommendations the diamond body made in its interim report following its visit in July. Mpofu said Zimbabwe would do all in its power to comply with Kimberley Process standards.
“The process (to comply) is ongoing. As you are aware Angola is a producer of diamonds while Namibia is both a producer of diamonds and the current chair of the Kimberley Process. We want to see how they do it in their countries,” Mpofu said.
Namibia, which the delegation will consult, made recommendations for a regional team to be set up at ministerial level to assist Zimbabwe with setting up structures to meet international standards expected of diamond producers.
Concerted efforts to comply with the Kimberley Process standards come in the wake of calls by the World Diamond Council for the country to be suspended from the international diamond market if it delays compliance with the scheme’s requirements. However, Mpofu scoffed at the remarks by the World Diamond Council chairman and chief executive Eli Izhakoff, saying that the group has no say in Zimbabwe as the country was not a member of the council, but the Kimberley Process.
Zimbabwe is in the process of putting in place structures to address concerns raised by a Kimberley Process review mission to Zimbabwe, which visited the country from June 30 to July 4, 2009. The review team recommended the country to address security issues in Chiadzwa by demilitarizing the diamond fields and also take steps to address allegations of human rights abuses by the security forces. Government identified two potential investors to partner in the exploitation of the diamonds in Marange in an organized way that complies with international best practices in mining and trading of diamonds, but has not disclosed the partner’s identity.
World Diamond Council Calls for Action on Zimbabwe
by Admin on October 8th, 2009

The World Diamond Council (WDC) is calling for decisive action from government participants in the Kimberley Process to ensure that issues surrounding Zimbabwe’s Marange alluvial diamond fields are properly resolved. A recent Kimberley Process review mission to Zimbabwe, which included representatives from governments, civil society and the diamond industry, made a series of recommendations that are required to successfully address issues of non-compliance and alleged human rights abuses.
The government of Zimbabwe, in particular, must develop an action plan in accordance with the recommendations of the review; so that diamonds from the mine in Marange can be managed in a manner fully compliant with the requirements of the Kimberley Process and also maximize the value of these diamonds for the benefit of the Zimbabwean people. In particular, a process for the demilitarization of Marange must be developed quickly and identifiable milestones established so that monitoring can occur.
If these recommendations are not implemented, and addressed in an acceptable timeline, the World Diamond Council will have no hesitation in calling for the suspension of Zimbabwe from the Kimberley Process Certification Scheme.
Eli Izhakoff, chairman of the WDC maintains that, “Elsewhere in southern Africa, diamonds are an engine for growth, employment and prosperity. The World Diamond Council believes that, in addition to combating the scourge of conflict diamonds, the Kimberley Process has helped to safeguard these benefits that are shared and enjoyed by thousands of people in communities across the region.”
However, he went on to say that “for this success to continue, and for the sake of the Kimberley Process’ integrity, it is essential that governments act now – and be seen to act – to provide the political will and resources necessary to assist the Zimbabwean government in restoring security for the people of Marange and re-establishing compliance with the Kimberley Process Certification Scheme.”
Finally, Izhakoff pledged that, “in addition to the technical expertise it has already provided to the Kimberley Process, the World Diamond Council stands ready to provide any further assistance that will help bring this situation to a satisfactory conclusion.”
Suspension of Diamond Exports Wouldn’t Impact Zim’s Recovery Says NGO
by Admin on October 8th, 2009

Partnership Africa Canada (PAC) was the first nongovernmental organization (NGO) to call for the ban on rough diamonds from Zimbabwe, back in December 2008. Now the Kimberley Process Certification Scheme seems set on a six-month suspension of the member country following its investigation into alleged abuses and murder at Zimbabwe’s diamond fields. But Zimbabwe claims a rough ban would hurt the nation’s economic recovery — a claim that PAC concluded is hogwash. “Arguments to the contrary by Zimbabwe’s political leaders, that diamonds are key to Zimbabwe’s economic revival, are based on deliberately inflated diamond production levels and are simply smoke and mirrors,” said Bernard Taylor, executive director of PAC.
Kimberley Process figures for Zimbabwe in 2008 place the value of its total diamond production at $44 million, an increase of 40 percent from 2007. In March, PAC released its own report on the horrors behind Zimbabwe’s diamond trade, “Zimbabwe, Diamonds and the Wrong Side of History.” PAC thus welcomed the Kimberley Process review mission and its decision to suspend Zimbabwe from the process. The report found “massive diamond smuggling and the murder of scores of artisanal diamond miners by the Zimbabwe military in October 2008 to gain control of the Marange diamond fields in eastern Zimbabwe,” according to PAC.
“Without aiming to harm the country, suspension is one of the only tools the Kimberley Process has to encourage member countries to undertake the necessary reforms to meet the Kimberley Process Certification Scheme minimum requirements and thereby rejoin the world diamond regulatory body,” said Susanne Emond of PAC. PAC also repeated its call for the Kimberley Process to develop a clear and actionable protocol on gross human rights abuse in the management of a member’s diamond industry.
“The onus is on the members of the Kimberley Process to take vigorous action to prevent tainted diamonds from entering the world’s clean diamond stream,” said Taylor. “Zimbabwe is the test for the Kimberley Process to show the world it cares about human rights and is working to keep consumer confidence in the purity of diamonds.”
Global Witness Praises Zimbabwe Suspension Measure
by Admin on October 7th, 2009

Global Witness welcomed a proposed suspension of trading in rough diamonds from Zimbabwe at the suggestion of the Kimberley Process Certification Scheme. Global Witness called upon Zimbabwe and all participating governments to act to stop human rights abuses taking place in Zimbabwe’s diamond fields and to restore the credibility of the Kimberley Process.
“Their interim report has found its way into the public domain: It shows that the mission found clear evidence of human rights abuses, and recommends a ban on Zimbabwe trading in diamonds, for at least six months,” according to Global Witness. The group “wholly supports” full suspension. “The Marange diamond fields have been the scene of horrific human rights violations, military activity and rampant smuggling over the past year — all of which has been substantiated by the recent review mission. These activities are entirely incompatible with the values and requirements of the scheme,” said Elly Harrowell, campaigner with Global Witness, which was one of the original architects of the Kimberley Process.
“The Kimberley Process has a poor track record of dealing with problem cases quickly and effectively. This is [a] litmus test for the scheme’s credibility. If member governments fail to take prompt and effective action by suspending Zimbabwe, consumer confidence will be seriously shaken, which will be a blow for diamond exporting countries and the industry alike,” she added.
Harrowell also noted, though, that suspension alone is not enough. “Participant governments must actively support efforts to reform Zimbabwe’s diamond industry in line with Kimberley Process minimum standards. Suspension should not be seen as a punitive measure, [but] rather an opportunity for Zimbabwe to build a clean diamond sector that will contribute to the future development of the country.”
Trip to Africa Proves Memorable for Kardashian, Bush, Crockett
by Admin on October 7th, 2009

Earlier this month, actress and model Kim Kardashian, professional football player Reggie Bush and former football star Ray Crockett traveled to South Africa and Botswana on behalf of Russell Simmons’ Diamond Empowerment Fund™ (D.E.F.). The trip was orchestrated to raise awareness of D.E.F. as well as to educate the celebrities about the group’s empowering mission. Simmons founded D.E.F. in December 2007 to raise funds to support education initiatives that help economically disadvantaged people in African nations where diamonds are a natural resource.
Simmons said that Kardashian and Bush have so much influence on young people that “[w]hen they say that kids in diamond producing countries in Africa deserve a shot at their dreams, people start to think a little bit differently about what matters. I am so proud of them, Reggie’s mom, Denise, as well as Kim’s sister, Khloe Kardashian, and retired football legend Ray Crockett, who joined Kim and Reggie on this trip and part of this beautiful effort,” Simmons said following the group’s visit.
The celebrities and their family members visited the CIDA City Campus, which is supported by D.E.F. They also visited the Maharishi Institute and met with students from the African Leadership Academy. They saw firsthand how these D.E.F.-sponsored programs give children the chance to further their education and gain employment once finished with their schooling.
While in Johannesburg, the group visited the Cotlands, an orphanage for HIV-positive infants, where, the D.E.F. statement said, they shared special moments with each of the children. The group also visited the African Children’s Feeding Scheme (ACFS), which provides two daily meals to 18,000 AIDS orphans, school dropouts and child-headed families daily. “Initiatives like these are supported by companies like De Beers South Africa as part of their philanthropic initiatives,” according to the D.E.F. statement.
It was Kim Kardashian’s first trip to Africa. “I am excited to have seen how diamonds help empower the people of Botswana and South Africa, especially the wonderful students deserving of an education,” she said. Kardashian, 29, became a D.E.F. Africa’s Angels Ambassador following the trip.
Bush traveled to the continent with high expectations, all of which were met, he said. “The people, the culture and the landscape were all so enriching to me personally. I hope I can continue to give back to the people I met and hopefully many more. This trip will impact my daily life and the people I interact with from this day forward.” Bush, 24, became a founding member of D.E.F.’s Athletes for Africa program.
Crockett said he was personally moved by each place on the itinerary. “I traveled to South Africa with an open mind and heart and returned with a new outlook on life. Despite their problems, the African children in the facilities we visited there were so thankful and hopeful for a new and better day. I now realize how blessed we all are.”
Kimberley Process Opens Offices at Almas Tower
by Admin on October 7th, 2009

The Dubai Multi Commodities Centre (DMCC) announced that operations for the Kimberley Process Certification Scheme in the United Arab Emirates (UAE) have expanded, with the opening of an office at Almas Tower in Dubai. This location will support diamond traders by authenticating the ethical sourcing of rough diamonds traded via Dubai, stated DMCC spokespersons.
The Kimberley Process office that is under DMCC management is the only entity authorized in the UAE to certify imports and exports of rough diamonds, a process that was delegated to the DMCC by the UAE ministry of economy. Ahmed bin Sulayem, executive chairman of DMCC, said, “As the newest hub for the commodity trade, Almas Tower was designed to become a one-stop shop for all diamond-trade-related requirements. Its state-of-the-art facilities for security and storage, as well as the Dubai Diamond Exchange, Transguard Group and Brinks, being located in the same premises, will make it a more practical platform for diamond traders to grow their business. It is only natural that the Kimberley Process offices should be housed at Almas Tower within the heart of diamond-trade activity. This will serve to further boost the ease and confidence of traders in the ethical trade of diamonds.”
Maryam Al Hashemi, local director for the Kimberley Process, said, “Over the past six years since opening the first Kimberly Process office in Dubai, we have seen the rough diamond trade increase in leaps, for exports and for imports. The significant rise in trade opportunities has necessitated the opening of a second office at Almas Tower. This will also place us in a stronger position to cater to the growing needs of diamond members here in the UAE.”
World Diamond Council Calls for Stronger Commitment to Kimberley Process
by Admin on October 6th, 2009

The World Diamond Council (WDC) has joined calls from nongovernmental organizations urging governments to strengthen their commitment to the Kimberley Process. “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,” according to a statement from the WDC.
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.
Progress on Peace, Prosperity Remains Fragile in Sierra Leone
by Admin on October 6th, 2009

The outbreak of violence across Sierra Leone in March was “a wake-up call,” according to Ban Ki-moon, UN secretary-general, speaking at a meeting in the west African nation. “It also reminded us of the importance of sustained global support,” he stated.
Sierra Leone’s governing All People’s Congress (APC) and the opposition Sierra Leone People’s Party (SLPP) signed an agreement on April 2, 2009, ending the violence that threatened regional peace in early March. Ban praised the nation’s President Koroma and opposition leaders for rising above their differences to overcome the crisis. The UN announced that emergency resources of $1.8 million from the Peacebuilding Fund would be used “to support inter-party dialogue and strengthen the capacity of Sierra Leone’s police.”
Ban added that Sierra Leone’s people “expect to see tangible improvements in their lives and in their country’s welfare.” Citizens of Sierra Leone, whose 11-year civil war ended in 2002, “want peace, prosperity and a brighter future for their children.” Ban told the high-level gathering that together “we must make further progress in addressing the root causes of conflict, strengthening democratic institutions and promoting economic and social development.”
Michael von der Schulenburg, the secretary-general’s executive representative for the UN Integrated Peacebuilding Office in Sierra Leone (UNIPSIL), told reporters in New York yesterday that the peaceful resolution of violence in Sierra Leone could set an example for other countries. “I think the [April agreement] is of great significance for the country and may be an example for other countries which go through similar periods…on how to intervene very quickly to stop the violence.”




