Maravi

KP faces ‘open revolt’ over Marange

KP faces ‘open revolt’ over Marange
by
19/06/2011 00:00:00

THE Kimberley Process (KP) - the international body charged with stemming world trade in so-called conflict diamonds - is facing open revolt as key members push for the removal of an international ban against trade in stones from Zimbabwe’s controversial Marange area.

The issue is set to dominate this week's deliberations at the Kimberley Process meeting in the Democratic Republic of Congo, as Indian traders pressure their government to allow them to buy diamonds outside the international framework.
India is the world's biggest processor of rough diamonds.

Diamonds from Marange are under embargo and cannot be sold over KP compliance issues. The ban was imposed following allegations of rights abuses in the area as well as claims that troops were involved in diamond smuggling.
But there is growing pressure to allow the Marange gems back on to the market.

In April, the chairman of the Kimberley Process, Mathieu Yamba declared the stones could be traded, saying ''there is absolutely no reason why they shouldn't be sold on an open market''. But without the approval of the entire KP process, his decision carries no weight.

Zimbabwe dismisses the allegations of rights abuses and smuggling insisting measures have since been put in place to ensure compliance with the KP’s requirements.
President Robert Mugabe recently declared that ''sanctions or no sanctions, Zimbabwe (would) sell its diamonds.

Already, South Africa has agreed to buy rough Zimbabwe diamonds ''outside'' of the Kimberley Process.

Again, in India, from where 95 per cent of the world's cut and polished diamonds are exported, the industry is lobbying for similar access.

''Instead of South Africa, the initiative of accepting import of Zimbabwe diamonds should have been taken by India as Surat [in India] is the end-user of Zim stones,'' said Ashit Mehta, chairman of Surat Rough Diamond Sourcing India, the body representing diamond importers.

''It is very crucial to clear Zimbabwe's rough diamond export.''

Still, Australia has indicated it will push for independent monitors to supervise mining at Marange at the DRC meeting, saying it holds serious concerns for the future of the Kimberley Process. The country warned that a failure to resolve the issue of the Marange mine could see the framework fail.

''Australia's objective is to uphold and maintain the integrity of the Kimberley Process, which is designed to ensure consumer confidence in the global diamond trade,'' a Department of Foreign Affairs spokesman said.

The United States, Britain and Western human rights organisations are leading efforts to keep the Marange ban in place with Elly Harrowell, a campaigner for Global Witness, saying this week's DRC meeting was critical.

''The KP can't go on like this, we can't just crash from crisis to crisis. The Zimbabwe impasse has highlighted significant structural issues with the Kimberley Process and if we can't sort those problems out, then perhaps the KP won't have a future.''

Zimbabwe insists it needs revenues from the Marange fields – said to be one of the world’s richest diamond finds – to help improve the country’s economy which is recovering from a decade-long recession.

President Mugabe insists the KP ban is part of a wider strategy by the West aimed at forcing him out of office.

The Kimberly Process was established in 2003 to curb the trade in conflict diamonds by requiring all rough diamond exports to carry a certificate guaranteeing they were mined legitimately.

But the process applies only to rough diamonds; once stones are cut and polished, they are no longer bound by the protocol, and are almost impossible to trace.

Labels: DIAMONDS, KIMBERLEY PROCESS, MARANGE DIAMOND FIELDS

posted by MrK @ 1:52 AM