Blood Diamonds

What are Conflict Diamonds

Conflict diamonds are diamonds illegally traded to fund conflict in war-torn areas, particularly in central and western Africa.  The United Nations (UN) defines conflict diamonds as diamonds that originate from areas controlled by forces or factions opposed to legitimate and internationally recognized governments, and are used to fund military action in opposition to these governments, or in contravention of the decisions of the Security Council.  These diamonds are sometimes referred to as blood diamonds.

Background

Conflict diamonds captured the world's attention during the extremely brutal conflict in Sierra Leone in the late 1990's.  During this time, it is estimated that conflict diamonds represented approximately 4% of the world's diamond production.  Illicit rough diamonds have also been used by rebels to fund conflicts in Angola, Liberia, Ivory Coast, The Democratic Republic of Congo and the Republic of Congo.

Today, the flow of conflict diamonds has been reduced to considerably less that 1%.  There are three diamond producing counties that account for this small percentage.  Firstly, the Republic of Congo has been suspended from participation in the Kimberley Process owing to areas of non-compliance.  Secondly, Liberia and the Ivory Coast are under United Nations Security Council Resolutions to prohibit the extraction and trading of diamonds.  Despite both the Republic of Congo and Liberia benefiting from internationally recognized peace agreements, diamonds from these countries may be referred to as "conflict diamonds".

Eliminating Conflict Diamonds

In July of 2000, the global diamond industry made clear to the international community its zero tolerance policy towards conflict diamonds.  Dedicated to eradicating the trade in conflict diamonds, it worked closely with the united Nations, governments and non-governmental organizations (NGOs) such as Global Witness and Partnership Africa Canada to create the Kimberley Process Certification System.  This system was formally adopted in 2003 and guards against conflict diamonds entering the legitimate diamond supply chain.  The diamond industry also adopted a voluntary system of warranties to assure consumers that their diamonds are from sources free of conflict.  Today 71 governments have enshrined into their national laws the Kimberly Process Certification System, and now more that 99% of the world's diamonds are from conflict free sources,  However, even one conflict diamond is one too many.  The diamond industry continues to work with governments, NGOs and the UN to strengthen the Kimberly Process and the System of Warranties.

With all the above we have to remember the benefits that the diamond industry provides to an immense population.  Here are some interesting facts:

Diamond Facts

An estimated 5 million people have access to appropriate healthcare thanks to revenues from diamonds

Conflict diamonds have been reduced from approximately 4% to considerably less that 1% since the implementation of the Kimberly Process in 2003.

An estimated 10 million people globally are directly or indirectly supported by the diamond industry.

The diamond mining industry generates of 40% of Namibia's annual export earnings.

Diamond revenues enable every child in Botswana to receive free education up to the age 13.

In July 2000, the global diamond industry announced its zero-tolerance policy towards conflict diamonds and continued to drive this policy.

Sierra Leone is now at peace and exports approximately $142 million in diamonds per year.

Over one million people are employed by the diamond industry in India.

8.4 billion dollars worth of diamonds a year come from African countries.

The revenue from diamonds is instrumental in the fight against the HIV/AIDS pandemic.

Diamonds account for 33% of the GDP (approximately $3 billion of Botswana.  Since diamonds were discovered in Botswana, GDP annual growth rate has averaged 7%.

Major world leaders including Nelson Mandela have sited the importance  of diamonds to the lives of African people.

It is estimated that one million people work in the informal alluvial mining sector.

Some diamond producing countries are not Kimberley Process compliant.