Conflict-free Diamonds

Conflict diamonds, also known as "blood diamonds", are mined in certain African combat zones that have fueled and funded civil war and gross abuses against the civilian population. More and more companies are committed to the ongoing global efforts to stop the trade in conflict diamonds and ensure the diamonds they sell are certified from legitimate sources not involved in funding conflict and in compliance with United Nations Resolutions.

The Role of Industry

To supplement the government program, the International Diamond Manufacturers Association (IDMA) and the World Federation of Diamond Bourses (WFDB),
representing virtually all significant processors and traders, have established a regimen of self-regulation. Its principal element is a system of warranties that will accompany invoices covering the sale of rough diamonds, polished diamonds and diamond jewelry. The requirement applies to rough diamonds mined after December 31, 2002 and product fabricated from them.

Each time the diamonds change hands, the seller affirms to the buyer, in writing, that the diamonds come from legitimate sources "not involved in funding conflict and in compliance with United Nations resolutions." Under a new code of conduct adopted by IDMA and WFDB, members are required, among other things, to deal only with sellers that use the warranty system.

The Role of the Retailer

The most important contribution jewelers can make within their industry is to deal only with trade suppliers of diamonds and diamond jewelry that comply with Kimberley Process and its warranty system.

For example, a responsible retailer will have some or all of the following in their Conflict Diamond Policy:

For diamonds mined before January 1, 2003, require their diamond and diamond jewelry suppliers to certify in writing that they do not knowingly sell conflict diamonds and that, to the best of their ability, they have undertaken reasonable measures to help prevent the sale of conflict diamonds in this country.

Require its diamond vendors to re-certify annually their adherence to KPCS.

Following the recommendation of industry leaders, retain for at least five years the warranties accompanying its purchases of diamonds and diamond jewelry.

Require its diamond vendors to provide proof of warranty from their sources of merchandise upon request. If a vendor refuses to guarantee that their diamonds and diamond jewelry are conflict-free, or if there is reason to believe that the merchandise came from questionable sources, refuse to transact business with that vendor.

Train its sales associates about the program to ensure customers are made aware of and have confidence that the diamonds and diamond jewelry sold by that retailer are conflict-free."

Ensure that executive management monitors compliance with the system of warranties.

Additional information about the Kimberley Process and its system of warranties can be found at the following links:

World Diamond Council
Kimberley Process
Council for Responsible Jewellery Practices
Jewelers of America