Class 4 – Group 3

Conflict Diamonds & Kimberley Process

Discussion Case

Blood Diamonds

& the

Kimberley Process

Definitions

Conclusion & Solutions

Assessment of the Kimberley Process

Summary for the Case

Discussion Questions

Definitions

Conflict Diamonds (aka, Blood Diamonds)

The Kimberley Process (KP): an international certification scheme that regulates trade in rough diamonds.

Core mission of KP: Prevent the flow of conflict diamonds

Definitions

Conflict diamonds captured the world's attention during the

extremely brutal conflict in Sierra Leone in the late 1990s.

Rebel groups were seizing control of diamond mining regions

and exchange diamonds for money and weapons.

Similar stories in Angola, Liberia, the Democratic Republic of

Congo and other African nations

By some estimated, 6 million civilians were forced from their

home and 3.7 million died in these African conflicts.

In 1998, Global Witness, a British NGO, took the lead in

exposing the problem to the public

Discussion Case

In 2000, De Beers Corp. – the world’s leading seller of

diamonds readily acknowledged that conflict diamonds were

a problem.

Discussion Case

Established a new organization

– World Diamond Council, to

bring together diamond

companies, government

representatives & other interested

parties.

In 2003, the diamond industry’s response

came in the form of a new diamond

certification scheme called the Kimberley

Process.

By 2009, 74 diamond-producing countries

that participate in the Kimberley Process

agree to trade rough diamonds only with

other countries in the organization.

Discussion Case

Q1: What are conflict diamonds? What groups benefited from the trade in conflict

diamonds? What groups were hurt by it? Conflict diamonds are gemstones that are mined or stolen by

rebels fighting internationally recognized government & that is sold to fund military action against that government.

Groups benefited: Combatants in Africa civil wars, Groups were hurt: • Local communities in civil war areas; • Countries with legitimate diamond industries

(Botswana, South Africa, Namibia, Canada & Australia);• Countries with large retail operations • Diamond Corporations – the retailer and manufacturer of diamonds

Questions & Answers

Q2: What three sectors were concerned with the problem of conflict diamonds? What was the interest of each, & in what ways did their interests converge?

Three sectors were concerned: the government, the diamond companies, & Non-governmental organizations (NGOs)

Each sector has its own benefits:• The governments want to keep the power in their nations as well

as the control of the mines to finance their operations against the rebels in civil wars.

• The diamond companies and the diamond-producing nations only concern in remaining & increasing the sales of diamonds

• NGOs are concerned with the main purposes - Eliminating Conflict Diamonds & Resolving the Humanitarian Crisis.

Questions & Answers

Q3: Do you believe that any of these sectors could have addressed the problem of conflict diamonds unilaterally? Why or why not?

It is difficult to deal with the problem unilaterally because it is a

really complicated problem with the different concerns of these

sectors. Moreover, diamond is the most precious mineral that

brings huge profit for the businesses and diamond-producing

countries. To hold the control of valuable mineral resources as

well as create the most valuable sales, the civil wars in many

African countries have devastated these for a long time and

created serious humanitarian crisis.

Questions & Answers

Q4: What are the possible weaknesses in the Kimberley Process? What role do you think the three sectors will have in addressing these weaknesses?

The possible weaknesses of KP:• KP only cared about the rough diamonds and largely ignored the

diamond cutting & polishing industry, providing an entry point for conflict gems.

• Smuggled diamonds from conflict zones in Kimberley Process member countries

The three sectors play equally the key role in addressing these weaknesses. If there is no cooperation among them to take decisive action together, the problems could not be solved.

Questions & Answers

Significant Achievements: Pioneered a tripartite approach to solve

international problems• Sierra Leone, Angola & the Democratic Republic of the

Congo achieved the peace from rebels in civil wars

Helped some countries in increasing their official diamond revenues.• Examples: Botswana, Namibia, Tanzania & South Africa

Assessment

Kimberley Process Criticism:

o The definition of “conflict diamonds” used by

KP only covers rough diamonds funding rebel

armies in areas of conflict.

This is not a complete & universal definition

Assessment

Kimberley Process Criticism: o Diamonds tainted by human rights abuse are

widely sold and certified as "conflict free.”o KP does not take any action when hundreds of

people including children have been killed, many more have been beaten, raped and forced to mine for the army and police.

Assessment

Kimberley Process Failure:

o Fails to deal effectively with

problem case, such as Zimbabwe,

Côte d’ Ivories (Ivory Coast) &

Venezuela

o Still supports for violence & human

rights abuse

o Allow conflict diamonds into the

international market

Assessment

Reason for the Kimberley Process Failure: Lack of controls No requirement for traceability to their mine of origin,

governments often give Kimberley Process certification to diamonds with unknown histories –

making it easy to smuggle banned diamonds or evade taxes for non-declared diamonds or other illicit gems.

 Failed to regulate the diamond supply chain. Most warrantees for clean diamonds do not provide any

meaningful assurances.

Assessment

Same definition, Same statistics for over a decade?

No refusal for happening problems anymore Need to reform & take a real action for blood

diamonds around the world

Conclusion

Making the real change besides only giving the statement of expansion of its mission – “systematic acts of violence against communities that are directly associated with diamonds”, even for non-civil war areas (WDC, 2013)

Building international standards on minerals supply chain controls,

E.g.: independent third party audits & regular public disclosure creating independent & reliable verification of the

diamond warranty system Putting the standards into laws

Solutions for KP to reform

Make diamonds legally & ethically

Next Chapter: An ending video by Brilliant Earth

Armstrong, P. (2011, December 5). What are ‘conflict diamonds?’. CNN. Retrieved October 25, 2014, from

http://edition.cnn.com/2011/12/05/world/africa/conflict-diamonds-explainer/ Effort to Control. Brilliant Earth. Retrieved October 26, 2014, from

http://www.brilliantearth.com/kimberley-process/ Leggett, T. (2011, December 5). Global Witness leave Kimberley Process

diamond scheme. The BBC. Retrieved October 25, 2014, from

http://www.bbc.co.uk/news/business-16027011 World Diamond Council. (2013, November 19). Kimberley Process depended

appreciation of diamonds’ positive role in Africa economic development, WDC president tells KP plenary. World Diamond Council. Retrieved October 26, 2014, from

https://www.worlddiamondcouncil.org/index.php/news/293-kimberley-process-deepened-appreciation-of-diamonds-positive-role-in-africa-s-economic-development-wdc-president-tells-kp-plenary

Reference