
Everyone talks about "conflict-free diamonds" - but what exactly does that mean?
The movie "Blood Diamond" in 2006 placed this issue squarely on the map with its account of warlords in Sierra Leone funding their bloody civil war with diamonds.
"Conflict diamonds" (which are also known as blood diamonds) are rough diamonds which are used by rebel movements or their allies to finance armed conflicts aimed at undermining legitimate governments.
The Kimberley Process
In 2003, the Kimberley Process Certification Scheme (KCPS) was established to prevent conflict diamonds from entering the mainstream rough diamond market by the United Nations General Assembly Resolution 55/56.
Its participants are states and regional economic integration organisations that are eligible to trade in rough diamonds. There are currently 59 participants representing 85 countries (with the European Community counting as a single participant). The participants include all major rough diamond producing, exporting and importing countries and include China, India, Japan, South Africa and the US.
The KCPS outlines the rules that govern the trade in rough diamonds by developing a set of minimum requirements each participant must meet. In order for a country to be a participant, it must ensure that:
any diamond originating from the country does not finance a rebel group or other entity seeking to overthrow a UN-recognized government;
every diamond exported be accompanied by a Kimberley Process certificate; and
no diamond is imported from, or exported-to, a non-member of the scheme.
As a result of this 3-step plan, it ensures that a chain of countries deal exclusively with conflict-free diamonds.
In Hong Kong, the imports and exports of rough diamonds must be covered by a valid Kimberley Process Certificate issued by the Director-General of Trade and Industry.
In order to further the credibility of the KCPS, the World Diamond Council proposed that the industry create and implement a "System of Warranties" for diamonds. Under this system, which has been endorsed by all Kimberley Process participants, buyers and sellers of bough rough and polished diamonds must make the following statement on all invoices:
"The diamonds here invoiced have been purchased from legitimate sources not involved in funding conflict and in compliance with United Nations resolutions. The seller hereby guarantees that these diamonds are conflict free, based on personal knowledge and/or written guarantees provided by the supplier of these diamonds."
Does my diamond come with a Kimberley Process certificate?
The Kimberley Process governs the trade of rough diamonds. Polished diamonds do not require a Kimberley Process certificate even if it is exported by a country that participates in the KCPS. However, all of Skylarc Diamond's natural diamonds sourced only from countries that participate in the KCPS.
Does the Kimberley Process work?
Diamonds are usually traded from the mine through wholesalers to diamond cutters, then through more wholesalers and dealers before it reaches retail. Along the way, each trade is required to certify the diamond is in compliance with the Kimberley Process. Though it is possible that conflict diamonds do get mixed in, it is highly unlikely that any diamond that is said to be compliance with the Kimberley Process is a blood diamond.
What alternatives are there?
If you still have concerns about whether your diamond is ultimately a "blood diamond", you may wish to consider lab-grown diamonds. Despite your initial apprehensions, these diamonds are identical chemically and optically to a earth-formed diamond.
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