Jewelers of America, which represents 10,000 American jewelers, has written to the Kimberley Process Working Group on Monitoring (KPWGM) urging it not to authorise the resumption of shipments of diamonds from the Marange deposits in eastern Zimbabwe.

JA President and CEO Matthew A. Runci called on the body to give an assurance that there would not be authorization until “corrective measures have been instituted to make certain that the KP rules will be followed in the future”.

Runci said the appeal followed the shipment of diamonds on a number of occasions from Zimbabwe to the United Arab Emirates which “only serves to underscore the very fragile state of the Kimberley Process today”.

“While we are encouraged by the swift action of the chair of the WGM in calling for further investigation, renewed vigilance, and direct KP demarche to the Zimbabwean Ministry of Foreign Affairs, among other steps, we feel it is vital to point out that it is not only the commitment of certain participants that has been called into question, but the very credibility of the Kimberley Process itself. In addition, serious consideration should also be given to UAE actions in this matter, if the alleged shipment of diamonds were not confiscated, because if illicit exports are banned, then so must illicit imports,” Runci wrote.

“When seen from the perspective of KP’s founding purpose, the reports of multiple shipments of goods from the Marange region moving through the KP system of export and import controls in recent months must be seen as something much more than a statistical deviation. The Swakopmund Decision and the JWP are the mechanism KP has chosen to preserve its credibility and the credibility of all diamonds in the face of specific challenges that have presented themselves. Success must be seen in terms of how KP handles the tough challenges that present themselves, otherwise the industry will be in a similar position to that prior to the launch of KP.

“Consumer confidence in diamonds has been preserved to this point precisely because KP is largely seen by interested parties as a solution to the original problem – not perfect but substantial. But reports of shipments of goods from Marange repeatedly crossing at least two sets of borders in apparent contravention of the Swakopmund decision and the JWP, challenges the effectiveness of KP in terms of its founding purpose. If KP is seen to be unable to meet the formidable challenge presented by troubled situations, such as is the case in Zimbabwe, then its high rate of compliance in routine situations will, we fear, be judged as largely irrelevant to its original purpose.

Swift action to date by the chair of the WGM is appropriate and welcomed. It helps to preserve the hope that the credibility of KP – and of all diamonds – may still be preserved. But until more is known about the circumstances that made it possible for these shipments to move without regard to the rules established – and equally importantly until there is renewed confidence that corrective measures have been instituted to ensure that the KP rules will be followed in the future – we feel it would be a critical mistake for the KP to authorize the resumption of shipments of any goods from Marange,” Runci added.

Credit is given to Antwerp Factes Online by DiamondTopics.com