Second update 6/25/11: Kimberley Process Allows Zimbabwe to Sell Diamonds from Marange, Or Did it?

Miners at the Marange diamond fields.

The Kimberley Process ended its ban of Zimbabwe diamonds from the controversial Manage diamond fields— which has been the source of murders, human rights abuses and diamond smuggling—according to media reports.It is also the source of what is believed by many to be the largest deposit of diamonds in the world.

Update, 6/24/11, 6:30 p.m. EDT: Apparently these reports may have been issued too soon. After several Twitter exchanges with jewelry industry reporters Michelle Graff of National Jeweler and Rob Bates of JCK, apparently this may not the case. Please read on.

Zimbabwe authorities say the violence and smuggling no longer exists. Human rights group say violence and smuggling continue under the country's military, which is tied to the Zimbabwe ruling party, Zimbabwe African National Union, Patriotic Front (ZANU-PF), led by Zimbabwe president Robert Mugabe.

Mathieu Yamba, the current Kimberley Process chairman told reporters of the decision following a closed-meeting of the organization Thursday in Kinshasa, Democratic Republic of Congo.

Update, 6/24/11, 6:30 p.m. EDT: Yamba did say that the Kimberley Process approved mining in the Mbada and Kanadai mines in the Marange region and that exports from Zimbabwe’s Marange fields will be monitored by two representatives of the Kimberley Process until the organization’s next meeting, as confirmed by media reports. However, as he has done in the past, Yamba gave the approval without the consensus of Kimberley Process members that is needed to approve such a measure.

The Kimberley Process is made up of diamond industry representatives, government officials from 75 countries and non-governmental organizations. The Kimberley Process is charged with preventing trade in illicit diamonds—commonly called “blood” or “conflict” diamonds, depending on whether you have a vested interest in the diamond industry. Illicit diamonds under the organization’s mandate are the result of diamonds being used to fund brutal civil wars where innocent people are being killed and mutilated by those involved in these conflicts.

The Kimberley Process Certification Scheme imposes extensive requirements on its members to enable them to certify shipments of rough diamonds as “conflict-free.”

Update, 6/24/11, 6:30 p.m. EDT: The U.S. Department of State issued a statement saying that there is no consensus among members on the Zimbabwe issue.

"Contrary to some reporting, the Kinshasa Intersessional did not reach a consensus text. The Chair has circulated a text to participants which did not attract consensus," the statement read. "We believe that work toward a solution must continue, and that until consensus is reached, exports from Marange should not proceed."

As reported Thursday, the civil society coalition, which includes Global Witness and Partnership Africa Canada, reportedly walked out of the meeting charging that the KPCS is not meeting its most basic commitments to prevent diamonds from fueling violence and human rights violations, and to provide guarantees to consumers that they are buying clean diamonds.

For its part, Zimbabwe has said it will sell diamonds from Marange with or without KP approval and countries, including China and South Africa, said they will accept their diamonds. There are several other countries willing to do the same.

So regardless of what the KP does, Zimbabwe will sell its diamonds and countries will accept them while NGOs and other countries will protest. So after two days of meetings, nothing has changed.

Here are links to reports on the issue from National Jeweler and JCK.

Update 6/25/11, 6:10 p.m.: Here is a link to a Voice of America story that attempts to explain further what happened at the closed-door meeting.  VOC has consistently provided the most impressive coverage of this long-running issue.

The Collapse of the Kimberley Process Appears Imminent

A Kimberley Process certificate, which ensures that diamonds are conflict-free. Photo credit: De Beers

The Kimberley Process, which has been in a stalemate during the past two years over whether to allow Zimbabwe to sell diamonds from its controversial Marange diamond field, now appears to be breaking apart, according to published reports.

The civil society coalition, one of the three pillars of the Kimberley Process Certification Scheme, walked out of a meeting of KP members in the Democratic Republic of Congo Thursday saying negotiations with Zimbabwe were harming the scheme’s credibility, according to a report on the Rapaport website, Diamonds.net.

The coalition, which includes Global Witness and Partnership Africa Canada, reportedly said that the KPCS is not meeting its most basic commitments to prevent diamonds from fueling violence and human rights violations, and to provide guarantees to consumers that they are buying clean diamonds.

The latest proposal to allow exports from two Marange concessions operated by Mbada Diamonds and Marange Resources while other concessions would be subject to a Kimberley Process monitoring team until the next plenary meeting in November, was rejected by the U.S., Canada and Israel at the meeting in Kinshasa, the DOC’s largest city, Diamonds.net reports.

The Kimberley Process requires full consensus from all members to pass a resolution, Diamonds.net reports. Civil society, and the World Diamond Council, which represents the diamond industry, have observer status in the meeting.

Of course, according to the reports I’ve been reading, the KP meeting is being held behind closed doors, typical of how the organization operates even though it exists to ensure consumers that the diamonds they buy have been mined through legal means and without human rights abuses. The public portion of its website hasn’t been updated since February 18.

On Wednesday, Voice of America reported that Zimbabwean Mines Minister Obert Mpofu divided Kimberley Process members saying that his country will keep selling diamonds from the Marange field with or without the Kimberley Process. In speech that was described as a “diatribe” by some KP members, accussed “racist” Western nations of trying to obstruct Zimbabwe from realizing its diamond revenues.

Mpofu also boycotted an earlier meeting of a working group on Zimbabwe, VOA reports. Also in its report, it notes that Anjin, a Chinese firm, is developing parts of Marange in a joint venture with the Zimbabwean government. Mpofu reportedly said Anjin will soon begin to export rough diamonds from Marange.

Zimbabwe is a founding member of the Kimberley Process, an international organization made up of diamond industry representatives, government officials from 75 countries and non-governmental organizations. It is charged with preventing trade in illicit diamonds—commonly called “blood” or “conflict” diamonds, depending on whether you have a vested interested in the diamond industry. Illicit diamonds under the organization’s mandate are the result of diamonds being used to fund brutal civil wars where innocent people are being killed and mutilated by those involved in these conflicts.

The Kimberley Process Certification Scheme imposes extensive requirements on its members to enable them to certify shipments of rough diamonds as “conflict-free.”

The Marange diamond field, which many say contain the largest deposit of diamonds in the world, has been the scene of murders and other human rights abuses by Robert Mugabe’s government and its military, as well as illegal smuggling of diamonds. The Zimbabwe government insist those abuses have stopped but human rights advocates say they continue; that money from mines is being used to finance the ruling party’s operations, including upcoming elections; and diamond smuggling continues.

To learn more use the search option on this site and plug in the keyword terms "Kimberley Process,"  "Zimbabwe," or "Marange."

WFDB and Local Zimbabwe Group at Odds Over Diamond Sales

The Marange diamond fields.

Two organizations are sending different messages on whether Zimbabwe should sell diamonds from its controversial Marange diamond fields, where human rights abuses and smuggling have happened in the past and are alleged to be continuing, according to reports from Zimbabwe newspapers. 

The World Federation of Diamond Bourses is urging the Kimberley Process Certification Scheme to allow the country to sell diamonds from the mine, which is considered by many to contain the largest deposit of diamonds in the world. 

Meanwhile, the Zimbabwe Blood Diamonds Campaign, an advocacy group, warned against any rushed decision to allow Zimbabwe to resume diamond trading, saying the local industry is still not compliant with international standards. 

Zimbabwe, for its part, has maintained that it adheres to the guidelines of the Kimberley Process and will sell its diamonds with or without its permission or certification scheme. 

The Kimberley Process, for its part, is divided over the issue and has been at a stalemate that is threatening to bring down the entire organization, which is charged with ending the trade in "blood" or "conflict" diamonds, which have fueled decades of devastating conflicts.

To read stories from the Zimbabwian newspapers, go to the Jewelry News Network Twitter feed, @JewelryNewsNet. To read more about the issue go to the Jewelry News Network search engine on the home page and do a search with the words "Zimbabwe" or "Kimberley Process."

De Beers Issues Kimberley Process Support Statement

The Kimberley Process Certification Scheme received an important statement of encouragement by the world’s largest diamond company.

The De Beers Group reiterated its support in the Kimberley Process—a global effort to end the trade of “blood” or “conflict” diamonds—in a statement at the end of its annual financial report Friday. The international organization of diamond industry representatives and non-governmental organizations has come under a great deal of criticism (including from this publication) in its handling of the situation at the controversial Marange diamond field in Zimbabwe.

“De Beers is committed to the highest ethical and environmental standards so that consumers can be proud of the diamonds that they own and wear,” the diamond giant said in its statement. “Furthermore, the DTC (Diamond Trading Company) has offered guidance to its sightholders on the identification of potentially illegal and unethical exports from Zimbabwe’s Marange region. While De Beers has no mining interests in Zimbabwe, the group supports the ongoing dialogue between the Government of Zimbabwe and the Kimberley Process Chair.”

The Marange diamond field, which many say may contain the largest deposit of diamonds in the world, has been the scene of murders and other human rights abuses by Robert Mugabe’s government and its military. The Zimbabwe government say those abuses have been settled but human rights advocates say that these abuses continue; that money from mines is being used to finance the ruling party’s operations, including upcoming elections; and diamond smuggling is rampant.

The human rights abuses eventually led to Zimbabwe's suspension from the Kimberley Process. The KP voted to reinstate Zimbabwe in July, 2010, allowing two supervised exports of rough diamond from the Marange production in August and September. The date of the second sale was changed and the sale was held without public knowledge.

The issue of reinstating Zimbabwe into the KP Certification Process was the main item on the agenda when the organization met in November, 2010 in Jerusalem. After four days of closed door meetings, participants failed to reach a conclusion. The issue is still unresolved with communications being issued among KP participants and very little information being presented to the public.

For its part, Zimbabwe government officials insist that it is been approved to sell diamonds from Marange through the KP certification scheme. In addition, it has made statements that if the organization refuses to allow it to sell its diamonds, it will do so anyway, thus, possibly flooding the market with diamonds and reducing their value.

Meanwhile, a variety of organizations have already either banned its members from dealing in diamonds from Marange or have encouraged their members not to do so, including the Responsible Jewellery Council, RapNet, and MasterCut and the Company of Masters Jewellers in the U.K.

You can read about this issue on this blog by doing a search for “Kimberley Process” or “Zimbabwe.”

Kimberley Process Member Challenges Zimbabwe Official Claims

A Kimberley Process member has challenged claims by Zimbabwean Deputy Mines Minister Gift Chimanikire that the watchdog group authorized Zimbabwe to hold sales from the controversial Marange diamond mines in 2011, according to the Voice of America.

In published comments, Chimanikire says that the KP will allow diamonds from the mine, which has been the source of alleged widespread human rights abuses, to be sold in two supervised auctions. Chimanikire says the agreement is to sell diamonds mined from 2006 to 2009, so they did not fall under a current suspension of sales by the KP.

Global Witness official, Elly Harrowell, a KP member, told VOA that she knows of no such decision. Harrowell is the first KP member to go on the record. The only other report disputing Chimanikire’s claim has come from an unidentified official from the Democratic Republic of Congo.

In addition, KP members have until Monday to decide whether to revise Kimberley protocols to require three instead of two member nations to accept reports of violence in order to investigate further, VOA reports. The change would make it harder for critics of Marange operations to trigger a new inquiry.

To read more about this ongoing issue please search this site using the keyword “Zimbabwe.”

Zimbabwe Minister Confirms KP Diamond Sales Approval

Gift Chimanikire, Zimbabwe deputy minister of Mines and Minerals Development, has reaffirmed that the Southern African country has received Kimberley Process approval to hold two diamond sales, according to The Zimbabwe Guardian and other media outlets.

Chimanikire (pictured) responded to media reports from diamond industry media outlets quoting an unnamed Democratic Republic of Congo spokesperson saying that the KP was waiting for a response on an amendment to Zimbabwe's draft administrative decision before approving the two auctions.

Chimanikire told media outlets that the amendment has no bearing on the sales and that he has received a letter from the KP approving the sales—statements that he first made Tuesday. He reportedly added the southern African nation can sell gems from the controversial Marange diamond fields provided they were mined between 2006 and 2009.

The Kimberley Process was formed in 2002 by governments and the diamond industry to halt the sale of “conflict” or “blood” diamonds, gems used to finance conflicts. Zimbabwe faces accusations of smuggling, murder, rape and assault by its army and police at its Marange fields by rights groups, including Global Witness and Human Rights Watch. The government denies those claims.

Farai Magawu, director of the Center for Research and Development, a Zimbabwean diamond lobby group, told Bloomberg News that the income from the sales could be used to “fund repression.”

Search the Jewelry News Network for a collection of stories on this issue.

Report: Kimberley Process Approves Marange Diamond Sales

Photo by Tsvangirayi Mukwazhi, AP

 
The Kimberley Process, the organization charged with preventing trade in illicit diamonds, has reportedly approved supervised sales of diamonds from the highly controversial Marange diamond fields in Zimbabwe.

Gift Chimanikire, Zimbabwe Mines and Mining development deputy minister, said that the KP recently wrote to the Zimbabwe government, confirming that it could market its precious stones, according to a report Tuesday in ZimOnline, a Zimbabwean independent news agency.

The issue of Zimbabwe selling diamonds from the Marange fields has divided the KP along political lines with Western countries led by the United States, Germany and Australia as well as nongovernmental organizations calling for banning of the gems, citing reports of continuing human rights abuses and rampant smuggling at the controversial diamond field. They are at odds with other African countries and other countries, including Russia, who are opposed to banning the diamonds, ZimOnline reports. The Zimbabwe government claims that the Western countries and NGOs are driven more their dislike of President Robert Mugabe than by concern for human rights.

The KP is made up of governments, diamond industry representatives and NGOs to stem the flow of “conflict” or “blood” diamonds—rough diamonds used by rebel movements to finance wars against legitimate governments. The Kimberley Process Certification Scheme imposes extensive requirements on its members to enable them to certify shipments of rough diamonds as “conflict-free.” The KP has 49 members, representing 75 countries, with the European Community and its member states counting as an individual participant.

Beginning in 2008, the Zimbabwe army took over the Marange fields, considered by many to be one of the largest diamond deposits in the world, forcing out tens of thousands of small-scale miners. These miners were massacred by soldiers and villagers have been beaten, raped and forced to work in the mines. The human rights abuses led to Zimbabwe to being suspended from the KP.

The KP voted to temporarily reinstate Zimbabwe in July, allowing two supervised exports of rough diamond from Marange held in August and September. However, the KP in November, based on continued reports of human rights abuses and smuggling, failed to reach an agreement on whether to allow Zimbabwe to sell Marange diamonds through the organization’s certification scheme. In response, the Zimbabwean government threatened to dump their diamonds on the open market, which would cause worldwide diamond prices to fall. 

Among the more recent accusations, is a report from Human Rights Watch that accuses Mugabe's long-ruling ZANU-PF party of tapping proceeds from the illicit sale of diamonds from the Marange field to fund its campaign for anticipated 2011 elections, according to Voice of America. The report includes charges of killings by the military of freelance diamond panners in the Marange field, while diamond smuggling through Mozambique was rampant.

In a related development, VOA reports that Israeli authorities have arrested two men on charges they tried to smuggle Marange diamonds into the country.

Law enforcement agencies arrested David Vardi and Gilad Halachmi at the Tel Aviv airport on December 23.The two are accused of trying to smuggle diamonds worth more than $200,000 into the country. Vardi, a diamond trader registered under the Israeli Diamond Exchange, has been expelled from that organization.

In a more recent development, six alleged diamond fraudsters are expected to be indicted at the High Court of Zimbabwe for trial on Tuesday amid fears they may be remanded in custody, according to the Zimbabwean publication, NewsDay.

The six include Core Mining and Mineral Resources director Lovemore Kurotwi, suspended ZMDC chief executive officer Dominic Mubaiwa, suspended legal advisor and company secretary John Tichaona Muhonde, former ZMDC acting chairperson Gloria Mawarire, former ZMDC director Ashton Sibusiso Ndlovu and former ZMDC board member of the technical committee, Mark Tsomondo.

The six accused persons were arrested on allegations of conniving to defraud the Zimbabwe Mining Development Corporation and government of more than $10 million worth of diamonds.

Search the Jewelry News Network for a collection of stories on this issue.

Zimbabwe to Sell Its Marange Diamonds

Thankful Musukutwa (left) and Zimbabwe Mining Minister Obert Mpofu Photo from the Diamond Guru blog

In a move that could wreak havoc on the diamond and jewelry industries, the government of Zimbabwe said it will sell diamonds from its controversial Marange fields, which has been the scene of past human rights abuses and, according to several organizations, where these violations still occur. The government has denied those allegations.

Responding to questions from a visiting Norwegian delegation, Thankful Musukutwa, Zimbabwe Mines and Mining Development Secretary, said Zimbabwe will not be stopped from trading its diamonds by Non-Governmental Organizations and “hostile” nations, according to a report in the state-controlled Herald newspaper.

The story headline is a quote presumably from Musukutwa that states, “We won’t be stopped from selling diamonds.”

“We have had a few problems with the Kimberley Process Certification Scheme and we have gone over them. We have worked our way up and we are very compliant,” Musukutwa reportedly said, according to the report. “We have resolved that we are going to sell our diamonds and that is what we are going to do. We feel we are compliant and have done more than other countries.”

Beginning in 2008, the Zimbabwe army took over the Marange fields, considered by many to be one of the largest diamond deposits in the world, forcing out tens of thousands of small-scale miners. These miners were massacred by soldiers and villagers have been beaten, raped and forced to work in the mines. The human rights abuses led to Zimbabwe to being suspended from the KP.

The KP voted to temporarily reinstate Zimbabwe in July, allowing two supervised exports of rough diamond from Marange held in August and September. However, the KP in November, based on continued reports of human rights abuses, failed to reach an agreement on whether Zimbabwe will be able to sell diamonds through the organization’s certification scheme, a system that tracks diamond sales from the mine to the market, which has led to a ban diamonds from the Marange field.

Musukutwa charged that the stalemate is the result of the Kimberley Process engaging in politics. He said the organization should stick to its mandate of preventing the trade of “blood” or “conflict” diamonds—terms used to describe diamonds mined in a war zone and sold to finance an insurgency, invading army's war efforts, or a warlord's activity.

The Norwegian delegation was led by Deputy Foreign Affairs Minister Ingrid Fiskaa, according to the report. When pressed on human rights abuses, Musukutwa questioned her motives. He then said these charges are from outsiders, such as non-governmental organizations and other countries. The newspaper said Fiskaa wasn’t clear about the visit but it charged that it is “reliably informed” that the group also intends to meet some NGOs.

“We run the place and we are there all the time,” Musukutwa said. “We are surprised that we get foreign people like you who tell us there are human rights abuses.”

Swiss Development Group Calls for Countrywide Ban in Zimbabwe Diamonds

The Marange diamond field  Photo by Tsvangirayi Mukwazhi, AP

A Swiss international development organization has urged its government to ban trade in diamonds from Zimbabwe's controversial Marange field because of continued reports of human rights violations, according to the Ecumenical News International.

Bread For All, the Development Service of the Protestant Churches in Switzerland, said the diamonds should not have a market in Switzerland based on reports of ongoing human rights abuses by its local partner, the Zimbabwe Advocacy Office.

Marlon Zakeyo, who heads the Zimbabwe Advocacy Office in Geneva, told ENI, that the ban in Switzerland is important because the country is a center for jewelry and watches, it is known for protecting human rights and it is a partner of the Kimberly Process, which is charged with preventing trade in “blood” of “conflict” diamonds—terms used to describe diamonds mined in a war zone and sold to finance an insurgency, invading army's war efforts, or a warlord's activity.

In addition, the two organizations said the definition of the terms “blood” or “conflict” diamonds should be updated by the KP to include human rights violations by forces of the state. The groups say the present definition refers to rebel forces, a loophole that had allowed the Zimbabwean government to sell Marange diamonds internationally under Kimberley Process supervision.

If Switzerland agrees to ban the diamonds, it will be the first country to do so. However, they will join a growing list of diamond dealers and jewelry industry officials who will not buy diamonds from Zimbabwe, most notably the Rapaport Diamond Trading Network (RapNet), U.K. jewelry company MasterCut, and the Company of Masters Jewellers, the U.K. retail organization that is the exclusive buyer of MasterCut diamonds.

Beginning in 2008, the Zimbabwe army took over the Marange fields forcing out tens of thousands of small-scale miners. These miners were massacred by soldiers and villagers have been beaten, raped and forced to work as virtual slaves. The human rights abuses led to Zimbabwe being suspended from the KP.

The KP voted to temporarily reinstate Zimbabwe in July, allowing two supervised exports of rough diamond from the Marange production held in August and September. However, the KP in November failed to reach an agreement on whether Zimbabwe will be able to sell diamonds through the organization’s certification scheme, a system that tracks diamond sales from the mine to the market, which has led to a ban diamonds from the Marange field.

Meanwhile, Zimbabwean Mines Minister Obert Mpofu has threatened to sell diamonds without Kimberley approval, saying Zimbabwe has met all of its requirements.

RJC Warns Members not to Trade in Marange Diamonds

A watchdog organization for the sustainable and conflict-free sourcing and sales of gemstones, precious metals and jewelry has told its members not to trade in diamonds from the Marange mine in Zimbabwe until it receives Kimberley Process approval.

“No trade of Marange diamonds can currently take place under the Joint Work Plan until an agreement can be found. Participants are therefore reminded of the need for vigilance and ask Participant to notify the WGM chair in the event of receipt of an irregular shipment of Marange diamonds, until new arrangements are agreed that will allow continued implementation of the Joint Work Plan, including the supervised export mechanism,” The Responsible Jewellery Council said in a statement to its members.

The RJC is a non-profit organization promotes responsible ethical, human rights, social and environmental practices in a transparent and accountable manner throughout the industry from mine to retail. Zimbabwe wants to export diamonds from its controversial Marange field, where human rights groups allege it is the scene of forced labor, torture, beatings and harassment by government troops. The southern African country denies all allegations.

The Kimberley Process is charged with preventing trade in “blood” or “conflict” diamonds, the term used for diamonds mined in a war zone and sold to finance an insurgency, invading army's war efforts, or a warlord's activity. It operates a certification scheme designed to eliminate these issues in the trade of diamonds by identifying the source of a diamond’s origin. After four days of closed-meetings I early November, the KP was unable to reach a decision on the trade of these diamonds.

The KP suspended diamond trading from the Marange mine, then instituted a Joint Work Plan where diamonds could be sold under KP supervision. Two diamond sales were held in August and September. But NGOs and some diamond traders are not convinced that the alleged human rights abuses have been eliminated.

The RJC statement reads as follows:

As is known to all Kimberley Process (KP) Participants, and as is stated in the Draft Communiqué, circulated to all participants on November 12th, 2010, the Plenary did not come to an agreement regarding KPCS arrangement for diamonds from the Marange area (Zimbabwe). Consultations are ongoing and I am confident that we will find a consensual way forward which recognises the progress made by Zimbabwe in terms of compliance with KP requirements, whilst offering sufficient reassurance that there would continue to be progress in all areas under the Joint Work Plan, so that we can eventually bring the whole of Marange – and indeed Zimbabwe as a Participant - into full KP compliance. Meanwhile, it is of utmost importance that all Participants remain vigilant and ensure that the terms of the Joint Work Plan and Saint Petersburg agreement are respected these consultations are ongoing. As a consequence, no trade of Marange diamonds can currently take place under the Joint Work Plan until an agreement can be found. Participants are therefore reminded of the need for vigilance and ask Participant to notify the WGM chair in the event of receipt of an irregular shipment of Marange diamonds, until new arrangements are agreed that will allow continued implementation of the Joint Work Plan, including the supervised export mechanism. I very much count on your support and will keep you informed of developments.

Update: KP Fails to Approve Zimbabwe Diamond Sales, Country Official Defiant, Says it will Sell them Anyway

Photo by Tsvangirayi Mukwazhi, AP

After four days of closed-door meetings, officials representing the Kimberley Process have failed to reach an agreement on whether Zimbabwe will be able to sell diamonds through the organization’s certification scheme.

“An agreement has not yet been finalized,” Boaz Hirsch, KP chairman reportedly told a news conference Thursday in Jerusalem, where the KP plenary meeting was held. “We are still working with Zimbabwe and other countries.”

Meanwhile, Zimbabwe's mines and mining development minister, Obwet Moses Mpofu, said the country would sell diamonds "immediately" from Marange.

“Zimbabwe will sell diamonds without any conditions,” he reportedly said. “There is no opposition to that.”

Zimbabwe wants to export diamonds from its controversial Marange field, where human rights groups allege it is the scene of forced labor, torture, beatings and harassment by government troops. The southern African country denies all allegations.

The African nation has threatened to flood the world market with underpriced diamonds if it is not allowed to export, The Associated Press reports.

The Kimberley Process is charged with preventing trade in “blood” or “conflict” diamonds, the term used for diamonds mined in a war zone and sold to finance an insurgency, invading army's war efforts, or a warlord's activity.

Foreign and domestic human-rights organizations have criticized Zimbabwe for violence against civilians in the Marange diamond fields of eastern Zimbabwe. The criticism led to investigations by the Kimberley Process over the past year. Zimbabwe was allowed to hold two diamond sales in August and September under the watch of the KP.

Second Zimbabwe Diamond Sale Date Kept Secret

The Zimbabwe government said it will not disclose the date of its next diamond auction citing security reasons, according to a published report.

The diamond sale was scheduled for September 6, but apparently has not happened. Mines and Mining Development permanent secretary, Thankful Musukutwa, reportedly refused to disclose the dates when Abbey Chikane Kimberley Process appointed monitor is expected in the country to certify another batch of diamonds for the second sale.

Zimbabwe sold 1.1 million carats of diamonds on Aug 11 from the two companies mining in the Marange diamond fields. It was the first diamond sale since diamond sales from Zimbabwe were banned by the Kimberly Process, an organization of governments, diamond dealers and non-government organizations that attempts to combat “conflict” or “blood” diamonds by using a certification process to trace rough diamonds to their origins.

Beginning in 2008, the Zimbabwe army took over the Marange diamond fields forcing out tens of thousands of small-scale miners. These miners were massacred by soldiers and villagers have been beaten, raped and forced to work as virtual slaves.

Some diamond traders and jewelers are still skeptical whether the diamond fields are free from abuse and have instituted their own ban on the purchase of diamonds from  Zimbabwe. Among them are the Rapaport Diamond Trading Network, UK-based diamond jewelry company MasterCut and the Company of Masters Jewellers, the exclusive buyer of MasterCut diamonds

UK Diamond Firm, Jewelry Buying Group Ban Zimbabwe Diamonds

UK-based diamond jewelry company MasterCut is refusing to buy rough diamonds from the Marange fields in Zimbabwe because the company said it doesn’t believe the human rights abuses that forced an international  ban on the diamonds hasn’t ended, according to media reports. The company has gone so far as to rally others to support its effort.

In addition, the Company of Masters Jewellers, which is the exclusive buyer of MasterCut diamonds, supports MasterCut's ban. CMJ is the largest independent jewelry buying group in the UK.

“We believe industry leadership is required to maintain consumer confidence, and would call on other diamond brands to confirm no Zimbabwean diamonds are being used in their diamond jewelry,” James Maxwell, MasterCut group marketing and strategy director, reportedly said. “Diamonds should be a force of good for Africa. Botswana has been a role model in sub-Saharan Africa, where it has demonstrated how diamond revenue can be channeled back into infrastructure, healthcare and education.

“We look forward to the time when we can buy from Zimbabwe, when diamonds are shown to be demonstrably beneficial to the country.”

Willie Hamilton, CMJ chief executive, reportedly added: “I support the ban one hundred percent. We jointly made this decision."

He continued, “There is too much uncertainty over whether the diamonds coming out of that country will be ethical. What constitutes ‘ethical’ also needs to be more comprehensively defined.”

The two groups have now joined the Rapaport Diamond Trading Network (RapNet), which has also banned diamonds from Zimbabwe. Martin Rapaport, who owns and operates the international diamond trading network, has warned its members that trading diamonds from Zimbabwe's Marange diamonds fields will result in expulsion from the network and having their names disclosed.

Beginning in 2008 the Zimbabwe army took over the Marange fields forcing out tens of thousands of small-scale miners. These miners were massacred by soldiers and villagers have been beaten, raped and forced to work as virtual slaves. The human rights abuses led to Zimbabwe's being suspended from the Kimberley Process, an organization of governments, diamond dealers and non-government organizations that attempts to combat “conflict” or “blood” diamonds by using a certification process to trace rough diamonds to their origins.

The KP voted to reinstate Zimbabwe in July, allowing two supervised exports of rough diamond from the Marange production. The first auction of 90,000 carats was held August 11and reportedly raised $72 million.  The second sale is scheduled for September 6.

RapNet Bans Zimbabwe's Marange Diamonds

In two strongly worded statements, the Rapaport Diamond Trading Network (also known as RapNet), has warned its members that trading diamonds from Zimbabwe's Marange diamonds fields will result in expulsion from the network and having their names disclosed.

Martin Rapaport (pictured), who owns and operates the international diamond trading network, wrote the statements on August 12 and 15, which are on the Rapaport Web site.

He warned members that even though the diamonds sold August 11 were cleared by the Kimberley Process certification program—an international organization that attempts to ban the sale of “blood” or “conflict” diamonds (which refers to a diamond mined in a war zone and sold to finance an insurgency, invading army's war efforts, or a warlord’s activity)—trading these diamonds may still be illegal in the US, UK and EU.

Beginning in 2008 the Zimbabwe army took over the Marange fields forcing out tens of thousands of small-scale miners. These miners were massacred by soldiers and villagers have been beaten, raped and forced to work as virtual slaves. The human rights abuses led to Zimbabwe's being suspended from the Kimberley Process. The KP voted to reinstate Zimbabwe in July.

“Rapaport strongly advises all diamond buyers not to trade in KP-certified diamonds from Marange and to request written assurance from their suppliers that their diamonds have not been sourced from Marange, Martin Rapaport wrote August 12. “RapNet, the Rapaport Diamond Trading Network, will not allow the trading of any diamonds sourced from Marange, Zimbabwe. Members found to have knowingly offered Marange diamonds for sale on RapNet will be expelled and their names will be publicly communicated.”

On August 15, he wrote a letter to the dealer network, which he also made public on his Web site, stating that anyone who wishes to cancel their membership because of the restriction can do so within 30 days and receive a refund for the unused portion of their RapNet subscription.

Zimbabwe Opens Auctions of Diamonds from the Controversial Marange Fields

Zimbabwe held the first sale of diamonds from its Marange fields since international regulators partially lifted a ban imposed after the military violently seized control of the mines, Agence France-Presse reports.

Update: Estimates of the value of the sale vary from £48 million ($74.7 million) to £1.2 billion ($1.8 billion), according to the UK newspaper, The Independent.

About 900,000 carats valued at about $72 million were on sale Wednesday, according to Abbey Chikane, the monitor from the international Kimberley Process, which is charged with preventing trade in "blood diamonds," the term used for diamonds mined in a war zone and sold to finance an insurgency, invading army's war efforts, or a warlord's activity.

Buyers from the United States, Israel, Russia, Lebanon and India were at the auction at Harare's airport, some with pilots waiting to jet them out of the country afterwards. Read more

Naomi Campbell, Mia Farrow, Charles Taylor, ‘Blood Diamonds’

Now that I have fulfilled my search engine optimization requirements let’s discuss the impact this high profile, star-studded war crimes tribunal will have on the jewelry and diamond industries. It isn’t good.

Right now, the focus is on the world’s most famous fashion model, Naomi Campbell, and her vague testimony on mysteriously receiving rough diamonds late at night in her room at Nelson Mandela’s house after having dinner there with Taylor and others. The event took place in 1997. Taylor served as president of Liberia from 1997 till 2003.

Acclaimed actress and high-profile activist, Mia Farrow, who also testified at the trial, disputed important parts Campbell’s testimony as to events of that dinner, which she attended. Campbell’s former agent, Carole White, another dinner guest, also disputed some of Campbell’s testimony, but her story has come under attack by the defense as inconsistent.

For the tribunal in The Hague, Netherlands, Campbell’s testimony is vital as the court is trying to determine the direct link of “blood diamonds” to Taylor. For the majority of the world, it’s another celebrity story. However, the celebrity involvement in this highly technical trial has opened the issue of blood diamonds to the world more than the fictional Blood Diamond movie could ever have done.

This means that more people will be aware of diamonds and their past and present use in fueling wars and human atrocities. After all, Taylor is charged with 17 counts of war crimes and crimes against humanity while president of Liberia. Specifically, he is accused of backing the rebel Revolutionary United Front in the Sierra Leone Civil War and assisting them through weapon sales, which were smuggled illegally, in exchange for blood diamonds. These weapons were used to commit atrocities against civilians that left many thousands dead or mutilated, with unknown numbers of people abducted and tortured.

Along with diamonds, the spotlight will again be focused on The Kimberley Process—the joint governments, industry and civil society initiative to stem the flow of “conflict diamonds”—the term used by the industry as opposed to “blood diamonds,” through a certification process. In particular, its recent controversial decision to allow the sale of rough diamond exports from the Marange diamond fields in Zimbabwe, where diamonds are still fueling conflict and human rights abuses in that country. There are also problems with the diamond trade in Angola and Côte d’Ivoire.

Whatever you want to call these diamonds, even though they account for a minuscule part of diamond sales, they will be attracting plenty of attention for a long time to come. It’s important that distributors, retailers and consumers are vigilant in making sure the diamond jewelry they buy or sell is conflict free. More to come.