HARARE The World Federation of Diamond Bourses (WFDB) has issued a stern warning to the diamond trade to boycott stones from Zimbabwes Marange fields as tension mounted over Harares plans to sale a stockpile of gems from the controversial fields in defiance of a ban on trade in the stones. Zimbabwe’s Mine Minister Obert Mpofu announced last week that the Cabinet had approved the immediate sale of diamonds mined in Marange also known as Chiadzwa in a move he said was set to fast-track the countrys economic turnaround. The decision followed his presentation of a report to Cabinet on last months Kimberley Process meeting in Israel.
He said the report had been well-received by Cabinet, adding it was clear from the meeting that Harare’s Cabinet “agrees with the
immediate sale of our diamonds.” But WFDB president Avi Paz sternly warned members of the industry against buying diamonds originating from Marange until they are approved by the Kimberley Process Working Group on Monitoring.
As no approval has yet been given, any member found doing so will be subject to WFDB disciplinary procedures, he said. According to assessments, Zimbabwe has harvested and stockpiled over four million carats of diamonds from the Chiadzwa fields, worth about US$1.7 billion.
Aware of the implications of defying the KP, Mpofu however said the Zimbabwe government needs to “come up with a mechanism of proceeding with this process. The mechanism will be transparent and accountable.” He said Zimbabwe would sell diamonds through the Minerals Marketing Corporation of Zimbabwe as the KPCS-designated exporting authority.
The KP was divided last month on whether to allow Zimbabwe to export diamonds from Marange in a sign that President Robert Mugabes policies have once more split world opinion.
After failing to agree on the Marange diamonds following four days of discussions, the diamond industry watchdog will again convene a mini-summit on July 14 in Russia to try to find a solution to the controversy created by the controversial fields near the border with Mozambique.
Mpofu has been accused of misleading Zimbabweans on what transpired during last months KP meeting in Tel Aviv after he told the media that the World Diamond Council (WDC) had given Zimbabwe the green light to sell its diamonds.
WDC president Eli Izhakoff later dismissed the claims as “erroneous and absolutely not true. A green light can be given only by the Kimberley Process”.
Non-governmental organisations Global Witness and PAC also “categorically rejected” charges that they asked for one percent of
the revenues generated by the sale of the Marange diamonds. According to Mpofu, the request was allegedly in return for the NGOs support for allowing the Marange’s diamonds to be exported.
Global Witness campaigner Annie Dunnebacke denied such an offer was made by her organization or any of the other NGOs, adding that the offer to place the one percent proceeds in a protection fund was “outrageous.”
Added Alan Martin from PAC: This is a cynical and amoral attempt by Minister Mpofu to distract from the organized smuggling and human rights abuses being carried out by state institutions, in direct contravention of KP minimum requirements.
At the meeting in Israel, which was held behind closed doors, most African nations, excluding West African states, as well as India and Russia rallied behind a report by KP monitor Abbey Chikane, a South African national, to allow Zimbabwe to sell its precious stones.
But the United States, Australia and the European Union raised the red flag over concerns that the southern African country had not met the minimum requirements of the KP.
Despite the formation of the unity government, the West has remained critical of Mugabes rule, accusing the 86-year octogenarian of stifling democracy and stalling on political and economic reforms.
They say Mugabe and his senior loyalists in the military are benefiting from the Marange gems. But Mugabe, once a darling of the West when he took power from Britain at independence in 1980, has over the years skilfully managed to drive a wedge between the West and developing countries over his controversial policies, including the seizure of white-owned commercial farms.
The Western sanctions imposed on him and several of his associates have also divided mostly African and Asian states on one side and the US and European countries on the other.
The Marange issue will again dominate proceedings at next week’s World Diamond Council meeting in Russia.
Post published in: News