Top Trader Vows Gems Untainted by War
L O N D O N, July 13 -- Some call them “dirty diamonds,” others call them “blood diamonds.”
They’re references to diamonds mined and sold to fuel bloody civil wars and rebel groups in Africa.
De Beers, the world’s largest diamond trader — reacting to a backlash from consumers, disappointed shareholders and growing competition — has announced plans to institute measures to help market diamonds and reassure customers that the gems have been ethically obtained.
The Aftermath of Sierra Leone
Ethical sourcing of diamonds has become an issue in recent months after it was revealed that rebels in Sierra Leone were using diamond profits to buy more arms.
The diamond industry has been under intense pressure from the United Nations, lobby groups, the World Bank to prevent rebels in Angola and Sierra Leone from using the proceeds from diamond sales to buy weapons.
De Beers, fearing diamonds could suffer the same fate as fur with global consumer boycotts, is now demanding its buyers use new guidelines.
Those guidelines, company officials claim, will ensure De Beers’ diamonds aren’t linked to armed conflicts or civil wars.
Nor will they come from the exploitation of children or the abuse of poor black laborers.
Any client found to have purchased stones that fuel African wars will no longer be able to buy from De Beers, company officials said.
“The diamond industry and De Beers have to act fast if they’re to maintain consumer confidence in their product,” human rights campaigner Alex Yearsley says.
“They were a company stuck in the 18th century, says Yearsley, “They are now trying to bring themselves into the 21st century so the can compete in a competitive environment.”
Diamond Business Overhaul
This effort to clean up the diamond trade comes as De Beers is going through the biggest overhaul of the diamond business in more than six decades.
De Beers says it is giving up its diamond monopoly, abandoning its role as custodian of the diamond market to focus on boosting global demand for gems.
