LA Times says the Kimberly Process is failing

[kenny]

SNIP

The Kimberley Process, by failing to do its job, leaves Americans and others in the uncomfortable position of potentially buying blood diamonds. Consumers can no longer be sure that diamonds with a Kimberley Process certificate are clean.

Our latest information is that the situation in Marange remains largely unchanged. Despite claims that the army was withdrawing, most of the diamond fields remain under military control, with smuggling, human rights abuses and corruption unchecked.

American consumers can send a strong message to the diamond industry, the smugglers and those running these abusive mining operations: It is not acceptable to trade in stones mined by children whose labor was coerced, by women who've been raped or by men who've been tortured.

So, press your jeweler about the origin of the gems you want to purchase. If they're from Zimbabwe, don't buy them. Diamond mining in Zimbabwe has inflicted great harm. U.S. consumers need to ask themselves whether that's a moral price they're willing to pay for a stone.

The Whole Story

 

[glitterata]

That op-ed was a little confusing. If some Zimbabwean diamonds are being smuggled into South Africa and passed off as South African, does that mean we should be boycotting South African diamonds as well?

 

[kenny]

Thanks for mentioning this is an opinion piece.
That is an important fact that I did not mention.

 

[Garry H (Cut Nut)]

http://www.diamonds.net/zimbabwe/
Shows some of the industry''s approach.

Here is a well documented description of Marange rough - which BTW few reputable dealers would touch because it has a habit of changing color over time (not better!).
http://www.diamonds.net/zimbabwe/Recognize_Rough.pdf

Otherwise it would seem that there are only a small number of conflicts where diamonds are currently involved - gold, oil and many other minerals seem to be in the hot spots today.

The Kimberely Process was never designed to stop a rogue state like Zimbabwae - it was not part of its charter originally, and remeber there is also a Riotinto mine in Zim that is totally clean and above board and employing people at decent wages and conditions (with totally different rough). So the issues are complex.

 

[kenny]

Thanks Garry.

Will vendors tell us which country our diamonds came from?
I wonder if they even know.

 

[Garry H (Cut Nut)]

Date: 12/9/2009 1:15:52 AM
Author: kenny
Thanks Garry.

Will vendors tell us which country our diamonds came from?
I wonder if they even know.

Some manufacturers are beginning to note their suppliers name - Riotinto, BHP, DTC (DE Beers) for example.
But it is very diffficult with regular goods for the mining companies to specify which of their several mines each stone came from because the goods are usually amassed and sorted for shape, size, color, clarity etc.
This is all done very efficiently - sorting by individual mine would be very messy and costly for larger companies, and since I think we can safely assume all those comapanies do a good job of ensuring worlds best practice - I am happy with such efforts.

 

[Regular Guy]

Three thoughts:

a), where you say:

Date: 12/9/2009 12:52:41 AM
Author: Garry H (Cut Nut)

The Kimberely Process was never designed to stop a rogue state like Zimbabwae - it was not part of its charter originally...

Garry, not sure about originally, but the article Kenny points to says:

"The group (representing the Kimberly Process) now represents 75 countries, including Zimbabwe and the United States, and claims to cover 99% of the global rough-diamond industry."

b) Sometimes, you just have to look after yourself. That is to say...there is a limited universe of dealers who participate on this board. This seems to be some serious business. If the specific concerns raised here are recognized as serious enough, and if the strategies presented are viable enough to have this become a more workable situation, it would be good to know if our participating dealers are implementing any of the named strategies, i.e., using strategies to dis-include Zimbabwae's diamonds.

c) Otherwise, though I am one of those who is not a proponent of seeking alternate sources geographically, like Canadian, etc., this strategy becomes more attractive. Observe, for example, that while your HCA is perfectly fine, Garry, readers are drawn to nevertheless look to that interplay of boxes where AGS & GIA intersect on the HCA page. Who wants to have to make determinations about who is right and who is wrong where there is a conflict. One would rather simply not have to get into that, and find somewhere where most can agree that there is no problem....with respect to a diamond being either ideal, ethical, or whatever.

 

[Paul-Antwerp]

In buying rough, it is essential for us to recognize the origin. Knowing the origin, we can make predictions about how perceived colour in the rough will turn out after cutting, for instance.

As such, it is rather easy to avoid Zimbabwe-rough, both because it is less desirable as such, and since a few years, because we do not feel at ease with the recent politics of the country.

Live long,

 

[Regular Guy]

To Infinity...and Beyond...

This is a very recent thread...which may or may not have been reviewed widely.

Paul and the Infinity make may simply be in a unique position in the diamond pipeline, whereby they can more authoritatively comment on the substance of this thread. Nevertheless, it's at least possible that at this point in time, with the information at hand, the differentials given are substantive, indeed.

As Garry suggests, the issues are certainly complex, and it is at least possible there's a range of lower hanging fruit any diamond shopper should entertain. We have known cut is a sleeper, but well embedded as an important criteria on this board. Many of us have actually been bandying about more finely titrated issues with respect to ethics, to include fair trade practices that could become a criteria, but offerings have been negligible here, so as to make this a less provocative issue. Realistically...and I will make the offering and would welcome a response here if there is any to be pointed to...there may yet again be other low hanging fruit for any shopper to wish to consider when they are shopping. Typically...cost itself is a major criteria, but it is thought the data associated with cost is front and center to the shopper, so that we don't need to worry too much about this being discovered by any diamond shopper.

The hope is that an agency not unlike Pricescope...if not Pricescope itself, as Andrey has elsewhere suggested, can make an important difference in the world. I would not have thought it would be this way, but maybe it will start here after all...with thanks to Kenny for spotting this article.

To my read, before looking at more subtle problem solving (such as fair trade may point to), the grosser variety (returning to the status quo of not having purchased a conflict diamond), where it can be addressed, should. Let's see if other vendors on this board are able to respond, and if not, what the consequences of that may be...

 

[glitterata]

One thing I love about Infinity diamonds is that Paul can tell you where your diamond was mined. At least, he was able to tell me that about both of mine.

 

[kenny]

A vendor being able to put into writing the origin of a diamond is important to me.

I would pay extra for it, but I doubt the majority of buyers would.
Most of us have been WalMartized . . . cheaper cheaper cheaper-and I don't care why it is cheaper!

 

[glitterata]

Date: 12/9/2009 12:41:34 AM
Author: kenny
Thanks for mentioning this is an opinion piece.

That is an important fact that I did not mention.

It''s also worth noting that it''s an op-ed, not an editorial--it expresses the writer''s opinion, not necessarily the newspaper''s.

 

[Todd Gray]

Date: 12/9/2009 12:52:41 AM
Author: Garry H (Cut Nut)
http://www.diamonds.net/zimbabwe/

Shows some of the industry''s approach.

Here is a well documented description of Marange rough - which BTW few reputable dealers would touch because it has a habit of changing color over time (not better!).

http://www.diamonds.net/zimbabwe/Recognize_Rough.pdf

Otherwise it would seem that there are only a small number of conflicts where diamonds are currently involved - gold, oil and many other minerals seem to be in the hot spots today.

The Kimberely Process was never designed to stop a rogue state like Zimbabwae - it was not part of its charter originally, and remember there is also a Riotinto mine in Zim that is totally clean and above board and employing people at decent wages and conditions (with totally different rough). So the issues are complex.

Thanks for posting this information Garry, the recent article by Rapaport was the same information which I was going to post. I will add that those of us who use Rapaport as a search service also had to electronically sign an agreement not to trade in Marange production to continue use of the service... So despite what the LA Times article might lead consumers to believe, a conscious effort continues to be mounted by the industry to reduce the amount of illegal diamond rough which enters the market.

And yes, I am very happy to be an Infinity Dealer and continue to be impressed by the efforts which Paul makes to ensure that our diamond supply is C-L-E-A-N

 

[debi wexler]

Kenny, Ira -

Here is a great site in terms of clarification of conflict diamonds.

http://www.diamondfacts.com/confidence/index.html

As with all news media one needs to take a look at both sides. It''s not a black and white issue. There are efforts underway to monitor the injustices going on in Zimbabwe. November, 2009 in a summarized press release, by the World Diamond council, those NGOs (non-governmental organizations) under the Kimberly Process reached a consensus by the member states of the Kimberly Process to immediately implement an intensive, on the ground inspection program that will monitor and audit export of diamonds from Zimbabwe''s Marange province. The World Diamond Council will not yield in expressing it’s deep concern about the diamonds originating from Marange. The Zimbabwe government now has a work plan which will consist of comprehensive scrutiny over the next 12 months as the KB works closely with the Zimabawean authorities to achieve full compliance. The diamond industry will be watching closely along with the rest of the world, during these next 12 months to insure that this opportunity is not squandered. So there is a working plan in place from the World Diamond Council for Zimbabwe to achieve compliance.

On November 24, 2009 Rapaport and the Rapnet Diamond Trading Network have implemented an immediate trading ban on all diamonds from the Marange field due to severe human rights violations. As Marange rough diamonds are uniquely identifiable, the ban does not apply to diamonds from Zimbabwe that are not from the Marange area.

Over the last week in November, all 4,100-plus RapNet members will be required to immediately remove all RapNet listings of Marange diamonds and to confirm upon login to the trading network that they will no longer knowingly trade in Marange diamonds or other diamonds involved in human rights abuses. The Rapaport Group has also sent letters to industry organizations asking them to ban Marange diamonds. Rapnet is where most of PS vendors source their off-brand, fancies and GIA/EGL diamonds.

Rough diamond dealers are advised to review the unique identification characteristics of Marange rough diamonds published by the KP and available on our website. Polished diamond buyers should inquire about the source when being offered diamonds with a greenish hue in G to Z and faint green colors. While not all Marange polished diamonds have a greenish hue and not all green hue diamonds are from Marange, significant numbers of such Marange stones are appearing in the market.

This is an important but complex topic. Consumers need to be aware of the issues and updates. Simply put, nobody wants to be involved in an industry which condones this activity, especially one that is symbolically close to the heart. Our cutters of rough know how we feel about insuring that our rough comes from legitimate sources who are compliant with the Kimberly Process. We circle back to them on these issues when I visit their facilities twice a year. At the same time, with respect to the horror that is happening under the Zimbabwe government, I believe, the more pressure the public puts on this matter, the faster we will have compliance from the Zimbabwean government.

 

[Garry H (Cut Nut)]

Martin Rapaport has been trying to introduce Fair Trade diamonds and support diggers and clean up dealings in West Africa.
I am interviewing him here about his early attempts in 2006.

http://diamondscope.pricescope.com/?src=rapaportinterview0002.wmv

He has attempted to intorduce jewelry lines as well, but unfortunately there seems to have been little demand.

Kenny there is no doubt that there are others like you, and Ira - Andrey and I have looked into this issue and attended discussion groups at the vegas trade show. But it does not seem like an easy area to find ''low hanging fruit''.

I am well known among some of you as finding the idea of avoiding African diamonds in favor of those from safe, clean wealthy nations as abhorent and counter productive. I suspect the blood diamond movie had the opposite effect - it possibly made some of the diamonds from some of the worlds poorest nations less valuable than they might otherwise have been.

 

[Todd Gray]

Date: 12/9/2009 2:16:23 PM
Author: Garry H (Cut Nut)
I am well known among some of you as finding the idea of avoiding African diamonds in favor of those from safe, clean wealthy nations as abhorrent and counter productive. I suspect the blood diamond movie had the opposite effect - it possibly made some of the diamonds from some of the worlds poorest nations less valuable than they might otherwise have been.

This is an excerpt from our page on Diamonds from the Sierra Leone:

The diamond industry is vital to the Southern Africa economy" - Nelson Mandela

Here is how your diamond purchase helps the world...

* 65% of the world's diamonds come from African countries.

* The $8.4 billion African diamond industry is one of the fundamental pillars of the African economy. Diamond revenues in Botswana enable every child to receive free education up to age 13.

* The diamond mining industry generates more than 40% of Namibia's annual export earnings.

* The Diamond Development Initiative was established to improve working the working conditions of miners.

* Approximately 5 million people have access to health care due to diamond revenues.

* An estimated 10 million people globally are directly or indirectly supported by the diamond industry.

* Revenues from the diamond industry help provide necessary HIV / AIDS education and treatment.

* The charity Jewelers for Children funds a community based care program for orphaned children in South Africa.

The people who earn their living by working in the diamond mines are not being suppressed by the diamond industry, they rely on the diamond industry for their livelihood. Support them by buying your diamond jewelry from legitimate dealers who purchase the diamonds which they sell by legitimate means.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Stop buying diamonds from Africa and a lot of people in Africa are likely to starve.

 

[Regular Guy]

Debi,

I appreciate your coming to this discussion.

The link you supplied, until more confidence is regained about the Kimberly Process is with respect to conflict diamonds, is - to me - not what it has been.

In your other text, I may be mis-reading you, but I see you speaking out of both sides of your mouth?

I read a positive intent of supporting constructive engagement. I''m not sure how I feel about this.

Then, I see you alternately saying that since your "virtual options" would be accessed from rapnet, you won''t be accessing these Zimbabwe diamonds, so don''t worry about them anyway, here:

Date: 12/9/2009 2:09:14 PM
Author: debi wexler

Over the last week in November, all 4,100-plus RapNet members will be required to immediately remove all RapNet listings of Marange diamonds and to confirm upon login to the trading network that they will no longer knowingly trade in Marange diamonds or other diamonds involved in human rights abuses. The Rapaport Group has also sent letters to industry organizations asking them to ban Marange diamonds. Rapnet is where most of PS vendors source their off-brand, fancies and GIA/EGL diamonds.

With respect to the range of your offerings...how about ACA options, etc. These are not off brand. You work hand in glove with a supplier. Do they have instructions concerning rough that helps us understand these in-house options?

If you think the approach of constructive engagement is reasonable, maybe this becomes less important, and the view of "holding the line," inclusive of Zimbabwe, is the view you might recommend. There may not be broad agreement, but it is a position that one could try to understand.

To the extent the devil is in the details, they are most welcome.

 

[diagem]

Date: 12/9/2009 12:56:41 PM
Author: kenny
A vendor being able to put into writing the origin of a diamond is important to me.

I would pay extra for it, but I doubt the majority of buyers would.
Most of us have been WalMartized . . . cheaper cheaper cheaper-and I don''t care why it is cheaper!

If the vendor is a digger as well..., he would be able to put origin of rough into writing... (is it the same as guaranteeing it?

)

How many of those do you know?

 

[kenny]

Date: 12/9/2009 5:14:20 PM
Author: DiaGem

Date: 12/9/2009 12:56:41 PM

Author: kenny

A vendor being able to put into writing the origin of a diamond is important to me.


I would pay extra for it, but I doubt the majority of buyers would.

Most of us have been WalMartized . . . cheaper cheaper cheaper-and I don't care why it is cheaper!

If the vendor is a digger as well..., he would be able to put origin of rough into writing... (is it the same as guaranteeing it?

)


How many of those do you know?

So vendors wouldn't put origin in writing because the people they buy from may misrepresent origin?

 

[diagem]

Date: 12/9/2009 5:19:14 PM
Author: kenny

Date: 12/9/2009 5:14:20 PM
Author: DiaGem

Date: 12/9/2009 12:56:41 PM

Author: kenny

A vendor being able to put into writing the origin of a diamond is important to me.


I would pay extra for it, but I doubt the majority of buyers would.

Most of us have been WalMartized . . . cheaper cheaper cheaper-and I don''t care why it is cheaper!

If the vendor is a digger as well..., he would be able to put origin of rough into writing... (is it the same as guaranteeing it?

)


How many of those do you know?

So the people that vendors buy from may misrepresent origin?

Not unless ''the people'' are the actual diggers...

Otherwise how could they guarantee true origin?

 

[Garry H (Cut Nut)]

If you are a fruit grower and sell via a farmers co-operative, then individual farms products are un-identifyable.
But the region is known.
This is exactly how De Beers was initially formed - as a diamond miners co-operative.

But as more mines and miners joined the co-op, the number of shareholders expanded.
Eventually mines from other countries marketed their diamonds through De Beers.

Until a decade ago most of the diamonds from the huge Austrailain Argyle diamond mine were marketed by De Beers this way.
all these diamonds were sorted into various qualities and amalgamated with diamonds of the same qualiy with those from other mines. Just like the fruit from the co-op.

 

[Regular Guy]

Date: 12/9/2009 5:35:14 PM
Author: DiaGem

Not unless ''the people'' are the actual diggers...

Otherwise how could they guarantee true origin?

Yoram,

When driving up to a bridge, I don''t first seek out a set of blueprints to go across...and likewise, I consider it OK to drive a car, even though I don''t know much about what''s under the hood.

Where you sit, then again, is different from where I sit.

Still, from where I sit...I can understand where the concerns frequently mentioned up until now about the possibility of blood diamonds have been answered by what has been the called the Kimberly Process.

I''ve found it parsimonious to understand systems have been in place to map diamonds enough back to their sources, such that it''s been largely reasonable to make the claims we do see that some 99% of diamonds sold here are conflict free.

If these claims up until now have been reasonable in the slightest...then your question about how could anyone but diggers know about the source of diamonds has been deemed to have been answered...at least up to now. In the same way, I suppose, I work for a company where the president doesn''t know me from Adam, and yet, he could understand that through a system of managers, he would through many layers accept responsibility for my product.

But, it appears here there has been problems...coming more clearly to the fore more recently, and documented by the links first Kenny showed, and then Garry, and then anyone can turn up with simple searches of Zimbabwe diamonds, yielding also this report.

It appears that the gears of the machine that could be called to have been running smoothly, if that has been the case, are not running so smoothly any more.

Separately, or not...whether there is a fine or broad line dividing what is fair trade diamonds...vs blood diamonds....despite Garry''s note further above that people haven''t been too concerned about the fair trade business...they have been a lot concerned about conflict/blood diamonds, and what this points to. The language Rappaport has used, however, to discuss how to work with fair trade diamonds makes it easy for me to understand the principles by which conflict diamonds can be seen, too. Rappaport talks about a 4 point system by which fair trade diamonds can be seen. One of these is monitoring. Clearly, recently, the process of monitoring that has been applied to the Kimberly Process has picked up severe issues with this program, such that there is no longer agreement between those that I would regard as smart individuals about whether Kimberly should be considered to be doing it''s job right now or not. Frankly, Rappaport''s specific strategy right now seems to be the most conservative one might adopt. He says...don''t give up on Kimberly. Instead...apply a patch judiciously, and work to fix Kimberly, probably. But, for now, apply the patch.

Garry has above explained how the flow of diamond production doesn''t do well with the specified patch. So...do we work to apply it or not.

Do our vendors have a choice with respect to this decision, in their provision of goods to us.

Are these questions which are only being given any thought as we speak.

I am guessing so (and hoping so).

 

[WinkHPD]

While I agree that this is a serious issue with serious implications, let us not forget that the American press has for at least the thirty years that I have been in the buisiness run anti jewelry articles at Christmas time. It is as predictable as Turkey for Thanksgiving.

Still, like Todd, I am very glad to be with a cutter like Paul, who does know where his diamonds come from, AND CARES!

Wink

 

[diagem]

Date: 12/9/2009 10:35:24 PM
Author: Regular Guy

Date: 12/9/2009 5:35:14 PM
Author: DiaGem

Not unless ''the people'' are the actual diggers...

Otherwise how could they guarantee true origin?

Yoram,

When driving up to a bridge, I don''t first seek out a set of blueprints to go across...and likewise, I consider it OK to drive a car, even though I don''t know much about what''s under the hood.

Where you sit, then again, is different from where I sit.

Still, from where I sit...I can understand where the concerns frequently mentioned up until now about the possibility of blood diamonds have been answered by what has been the called the Kimberly Process.

I''ve found it parsimonious to understand systems have been in place to map diamonds enough back to their sources, such that it''s been largely reasonable to make the claims we do see that some 99% of diamonds sold here are conflict free.
Ira..., do you believe these claims as a potential consumer? Did you believe these claims in the past? Does the news on Zimbabwe change your perspective on these claims?
If these claims up until now have been reasonable in the slightest...then your question about how could anyone but diggers know about the source of diamonds has been deemed to have been answered...at least up to now. In the same way, I suppose, I work for a company where the president doesn''t know me from Adam, and yet, he could understand that through a system of managers, he would through many layers accept responsibility for my product.

But, it appears here there has been problems...coming more clearly to the fore more recently, and documented by the links first Kenny showed, and then Garry, and then anyone can turn up with simple searches of Zimbabwe diamonds, yielding also this report.

It appears that the gears of the machine that could be called to have been running smoothly, if that has been the case, are not running so smoothly any more.

Why? Because today its Zimbabwe after a relative quiet period since Angola''s & Sierra''s media noise on blood Diamonds?

Separately, or not...whether there is a fine or broad line dividing what is fair trade diamonds...vs blood diamonds....despite Garry''s note further above that people haven''t been too concerned about the fair trade business...they have been a lot concerned about conflict/blood diamonds, and what this points to. The language Rappaport has used, however, to discuss how to work with fair trade diamonds makes it easy for me to understand the principles by which conflict diamonds can be seen, too. Rappaport talks about a 4 point system by which fair trade diamonds can be seen. One of these is monitoring. Clearly, recently, the process of monitoring that has been applied to the Kimberly Process has picked up severe issues with this program, such that there is no longer agreement between those that I would regard as smart individuals about whether Kimberly should be considered to be doing it''s job right now or not. Frankly, Rappaport''s specific strategy right now seems to be the most conservative one might adopt. He says...don''t give up on Kimberly. Instead...apply a patch judiciously, and work to fix Kimberly, probably. But, for now, apply the patch.

Rap is/was always good coming up with the right language..., good PR. Look at his recent loud trade alert!

"TRADE ALERT: Rapaport Bans Zimbabwe’s Marange Diamonds
The Rapaport Group and the RapNet Diamond Trading Network are implementing an immediate trading ban on all diamonds from Zimbabwe’s Marange diamond fields due to severe human rights violations. The ban does not apply to diamonds from Zimbabwe that are not from the Marange area. RapNet members should immediately remove all RapNet listings of Marange diamonds. Firms and individuals that continue to trade in diamonds from Marange will be denied access to all Rapaport services."
http://www.diamonds.net/Zimbabwe/

Garry has above explained how the flow of diamond production doesn''t do well with the specified patch. So...do we work to apply it or not.

Do our vendors have a choice with respect to this decision, in their provision of goods to us.

Are these questions which are only being given any thought as we speak.

I am guessing so (and hoping so).

Ira...

As per your enquiry regarding ''our vendors'', as you can clearly notice the language used in this thread shows that "trust" is (still) a major part in informing our clients (speaking as a vendor) that they should feel relaxed regarding the Diamonds they purchase from us (vendors). Sure we all have the right KP papers to show we are in legal compliance with the issue (and realy believe we are), but is it a guarantee??? I dont think so.

But again, I didnt think so either when "the gears" were so called running smoothly prior to Zimbabwe.

Sure, I can identify most Zimbabwe rough material and avoid purchasing it, but I think most polished Diamonds aimed towards PS vendors would not originate from Zimbabwe as its not the correct rough material needed to serve PS''s picky clientele

.

Have a good day.

 

[Regular Guy]

Yoram,

I have generally found it Ok to know how to tell time, and not to know how to build a clock. I''ve only been a pretty casual observer of the diamond trade, and only have known what has been easy to grasp, and presented readily. Where you (and I) say:

Date: 12/10/2009 9:02:36 AM
Author: DiaGem

I''ve found it parsimonious to understand systems have been in place to map diamonds enough back to their sources, such that it''s been largely reasonable to make the claims we do see that some 99% of diamonds sold here are conflict free.
Ira..., do you believe these claims as a potential consumer? Did you believe these claims in the past? Does the news on Zimbabwe change your perspective on these claims?

Yes, I have believed this, pretty much, and have found this idea that the Kimberly Process was put forward, in recognition of abuses, and was serving to help hold the line with respect to those abuses.

You bring forward two ideas which could use further illumination:

1) That Kimberly has always been largely a sham. I''m no expert. Also, I don''t want to be putting words in your mouth. I am still predisposed, mindful of your warning, that despite a bad environment for diamond miners, an earnest effort was mounted with the Kimberly Process, that is still very much in force, and that it would be valuable to us to continue to support it. But...I''d be open to hearing otherwise.

2) That the diamonds of consequence to most readers here will inevitably be outside of the scope for most readers here, given the demands for quality that are routinely in place for them.

Sure, I can identify most Zimbabwe rough material and avoid purchasing it, but I think most polished Diamonds aimed towards PS vendors would not originate from Zimbabwe as its not the correct rough material needed to serve PS''s picky clientele

.

If true...despite the potentially coincidental nature of this result...it seems important if true. It would be good to hear further from others as well if this is true.

As many have suggested here, we all have the best of intentions. Sometimes though...even (or especially) when taking care of my own children, the intended behavior goes off track. In these circumstances, corrective measures should be taken. If they''re not, there are problems.

Rappaport has thought to put forward corrective measures, and his observations has probably been the source of most recent press. Many people regard him to be quite credible. I do. Also, separately, others have commented with disappointment on the recent decision by the Kimberly officials to have, on their own, not turned off the spigot to Zimbabwe...and this might be addressed as a separate concern as well, consistent with the initial point of this thread.

In the spirit of both getting to what is true, and supporting doing what is good, I share these thoughts...

 

[Todd Gray]

Summarizing the articles referenced by Garry above:

According to documents published by the Kimberley Process Working Group of Diamond Experts (WGDE) in December of 2008, approximately 90% of diamond rough from the Marange region of Zimbabwe "consists of coarse very low quality diamonds resembling rounded pebbles with colors ranging from dark green to dark brown and black" which means that it is industrial in nature and use.

"Due to these unique features this group of diamonds cannot be mistaken for diamonds from other deposits and the presence of these diamonds is an identifying feature." In other words ninety percent of the diamond rough produced by the Marange region of Zimbabwe is distinctly different than diamond rough from any other part of the world which makes it rather easy for authorities and diamond experts to identify.

The majority of these diamonds are of industrial grade due to their course nature. Approximately ten percent of diamonds found within the Marange region of Zimbabwe are gem quality or near gem quality. Of the 10% which are of gem quality or near gem quality, the diamond rough is mostly greenish and brownish colors. Most greens tend to be smaller while browns tend to be larger and more abraded. Both greenish and brownish diamonds show spots with intense coloration.

Consumers being offered diamonds in the G to Z color range displaying a greenish hue should inquire as to the origin of the diamond rough used to produce the polished diamond. While not all polished diamonds produced from diamond rough from the Marange Mines display a greenish hue and not all diamonds exhibiting a greenish hue are from the Marange Mines, a significant amount of such stones have been reported according to Rapaport Diamond News.

 

[diagem]

Date: 12/10/2009 10:23:11 AM
Author: Regular Guy

Yes, I have believed this, pretty much, and have found this idea that the Kimberly Process was put forward, in recognition of abuses, and was serving to help hold the line with respect to those abuses.

Me too, but difference is I still do (true, I am closer to the source & try to stay objective) as I truly believe 99% of Diamonds are conflict free.

Sure, I can identify most Zimbabwe rough material and avoid purchasing it, but I think most polished Diamonds aimed towards PS vendors would not originate from Zimbabwe as its not the correct rough material needed to serve PS''s picky clientele

.

If true...despite the potentially coincidental nature of this result...it seems important if true. It would be good to hear further from others as well if this is true.

I dont think others (I assume you mean PS''ers) are in a position to confirm as most vendors dont directly handle the rough material itself..., but I know the majority of cutters dont handle Zimbabwe rough as it is too speculative for specific quality requirements.

 

[Garry H (Cut Nut)]

http://www.idexonline.com/portal_FullNews.asp?id=33308

According to the World Customs Organisation (WCO), diamonds that have only a small number of polished facets and which clearly have to be further worked can only be exported and imported as rough diamonds.


And
http://www.idexonline.com/portal_FullNews.asp?id=33309

Zimbabwe’s Finance Minister Tendai Biti said he hopes the Marange diamond field will generate additional revenue for his country, according to a report published Wednesday by the Voice of America.

 

[Regular Guy]

Garry,

I am not sure, but I think you are being indirect, and asking us to consider the negative consequences, albeit well intentioned ones, of avoiding doing business with Zimbabwe.

I may have you wrong, to begin with, so that''s where I need to start, confirming your most recent point.

Otherwise, I''ll share a few thoughts:

- not specifically related to diamonds, I heard last evening on NPR about atrocities there...recently, motivated unambiguously by the government, for political purposes.
- this morning, I thought that if Kimberly lays out rules, and they are not followed, it would be best to either cut off Zimbabwe, or put forward other actions to move them in that direction. I think the latter is the case. I hope so.
- But, without having some carrot/stick going, allowing Zimbabwe to be "included" cannot be good. One should feel all right to draw a line and say: no...especially if no plan B strategy is in place to gain compliance.
- I also was moved to read about the policy of constructive engagement. Google took me to this link in Wikipedia from the definition, and I did find it enlightening. Unless a biased article is presented, it was not deemed to be a successful policy.

It does seem to me that, consistent with the subject title, without a circumspect approach, all of what is good in Kimberly is at risk.

 

[Garry H (Cut Nut)]

Date: 12/11/2009 2:30:25 PM
Author: Regular Guy
Garry,

I am not sure, but I think you are being indirect, and asking us to consider the negative consequences, albeit well intentioned ones, of avoiding doing business with Zimbabwe.

I may have you wrong, to begin with, so that''s where I need to start, confirming your most recent point.

For clarification purposes Ira, I prefer to stop all exports of diamonds from Marange, but continue clean exports from Morowa which is operated and 80% Rio owned. Riotinto uphold very strict ethical rules and the people they employ in Zim would be well looked after.