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Will KP madness over Marange diamonds end?

30 march 2011

The Kimberley Process (KP) is once again wrecked by a tsunami, as members squabble over the recent move taken by its chairman Mathieu Yamba of the Democratic Republic of Congo (DRC) to clear Zimbabwe diamonds from Marange into the global marketplace.

His move was apparently meant to unlock a logjam over the infamous Clause 3b contained in the rejected Kimberley agreement that would have cleared the way for Harare to market its diamonds.

The clause barred Zimbabwe from trading gems from Marange if any three countries in the trade body raised concerns about the human rights situation in Marange.

Harare said the clause was “nonsensical”.

Rough & Polished recently carried out a story, highlighting Zimbabwe’s concern that ever since it rejected the so-called violence clause “nobody had come back to us on the issue”.

As expected Yamba’s clearance of Zimbabwe’s diamonds did not go down well with the World Diamond Council, the United States, the European Union, Canada and Israel, just to mention a few.

Uncle Sam was reported to have sent a note to the KP authorities in India and the United Arab Emirates stating that it would view any shipments from Zimbabwe as non-compliant.

These countries had been targeting Marange diamonds to prop up their polishing industries.

The US State Department also warned that it would publish the names of companies taking delivery of the diamonds to ensure that all American companies were aware of potentially non-compliant goods.

Jewelers of America and the Diamond Manufacturers and Importers Association of America joined the campaign to discredit Yamba’s move, as they urged their members not to trade in diamonds from Marange.

World Diamond Council President Eli Izhakoff was quoted by VOA Studio 7 as saying that Yamba’s statement came as a surprise to many.

"While the World Diamond Council welcomes and applauds Mr. Yamba's efforts to bring an end to the apparent impasse that currently exists regarding the status of production and stocks from Marange, the WDC advises members of the international diamond industry to refrain from trading in and exporting goods from the region until the situation and the status of these goods becomes clearer," Izhakoff said.

Zimbabwean Mines Minister Obert Mpofu hit back saying Harare was not concerned with statements from those who wanted to block international trade in Marange diamonds.

Mpofu said countries like Canada, Australia and Britain were “hypocritical” because their companies were currently benefiting from mining ventures in Zimbabwe.

"What makes us more worried is that the same countries are the major beneficiaries of our minerals," he was quoted as saying by VOA Studio 7.

"Canada has a big gold mining concern exploiting our gold on a daily basis. We've got the Australians exploiting our diamonds at Murowa plus even Zimplats is partly British and Australian."

It was not a false claim that there was no debate among KP members before Yamba’s announcement.

Here was a man who wanted to see progress, as the Zimbabwean issue had taken unnecessarily long to end.

Zimbabwe had political issues with the West since 2000 when it embarked on its land reform programme, which saw several white commercial farmers being displaced.

It was no doubt that the diplomatic brawl between Harare and most Western capitals had a lot to do with the blockage of Marange diamonds, despite efforts to normalise the operating environment in Marange.

It was not secrete that diamond sales had took place in Zimbabwe last January without KP’s approval.

What is better, secretive or open diamond tenders?

Zimbabweans have suffered enough, and they desperately need diamond revenue to help their battered economy recover.

If formal trade takes place it would be somewhat easier to keep tabs on the revenue flow, which should naturally be channeled to the Treasury.

However, if the trade embargo remains in place it would certainly fuel illicit trading, which in turn would not benefit ordinary Zimbabweans teeming in poverty.

This KP madness and the West’s obsession with Zimbabwe should end.

Mathew Nyaungwa, Rough&Polished, from Namibia