ADPA to promote free trading of diamonds on global market

THE African Diamond Producers Association (ADPA) is forging ahead with initiatives aimed at addressing challenges hindering the trading of gemstones on the international market, Mines and Mining Development Minister Winston Chitando has said.

In the past, the World Diamond Council (WDC), whose primary goal is to prevent conflict diamonds from entering the market, has reportedly faced challenges in traceability of the precious stones.

Traceability of the diamonds is critical for several reasons, including compliance with international regulations such as the Kimberley Process Certification Scheme (KPCS), as well as ensuring the precious stones are not for financing armed conflicts, human rights abuses or terrorism.

To address this, WDC has implemented the System of Warranties initiative that requires diamond sellers to provide documentation guaranteeing the precious stones’ conflict-free origin.

Over the years, several countries that include Angola, Liberia, the Democratic Republic of Congo (DRC), Brazil and Cameroon, have been associated with the trade in conflict or “blood” diamonds.

Blood diamonds are gemstones mined in areas controlled by armed groups and sold to finance their military activities.

ADPA, which comprises all the 18 diamond-producing African countries that include Zimbabwe, Botswana, the DRC, Cameroon, Liberia and Sierra Leone, held a two-day meeting in Harare last week that was aimed at strengthening the association and pursuing the continent’s diamond vision.

Zimbabwe, which has been holding the ADPA chairmanship for two years, will now be handing it over to Sierra Leone.

During Zimbabwe’s tenure at the helm of ADPA, one notable milestone was the successful hosting of the 8th Ordinary Meeting of ADPA Committee of Experts and Council of Ministers in Victoria Falls this year.

The event brought together representatives from the African diamond-producing nations to discuss strategies for promoting sustainable diamond mining practices and boosting economic growth.

In an interview, Minister Chitando said, following the association’s meeting in Harare last week, a communique will be issued by ADPA on issues discussed. He hinted that a number of “pertinent issues”, including traceability of diamonds, came under the spotlight.

“So, really, it was a very good meeting and at the end of the meeting, a communique will be issued in due course.

“But suffice to say the whole agenda concentrated on matters to strengthen ADPA and pursue the African diamond vision.

“Commodity markets are always changing and at the moment, there are some pertinent discussions which are taking place in terms of the traceability of diamonds, which ADPA is actively discussing. We are working very closely and I’m very hopeful that we’ll be able to overcome most of the challenges,” he said.

Several organisations and companies in Africa and the world at large are working to improve diamond traceability.

For instance, the Gemological Institute of America supports diamond traceability solutions. It collaborates with industry stakeholders to develop effective solutions.

Additionally, technologies like blockchain and laser tracing are being explored to enhance transparency and accountability.

ADPA seeks to foster cooperation among member countries in policies and strategies on prospecting, mining, production, cutting and polishing, as well as development of human resources and acquisition of technologies in the diamond sector.

The association seeks to adopt the harmonisation of legal solutions and the exchange of information among member states in areas related to mining and commercialisation in which individual countries have acquired valuable experience.

“We held this meeting; it was a fairly intriguing meeting to discuss a number of pertinent issues affecting the African Diamond Producers Association.

“As you are aware, the African Diamond Producers Association is a significant contributor to the world production of diamonds.

“So, really, the members have been very keen to see a more active ADPA, and thanks to the support of all the members, there is increased activity in terms of ADPA working together to pursue common cause for the betterment of our African diamond sector and for the betterment of our economies,” he said.

According to KPCS, Zimbabwe has maintained its seventh position in the global production of rough diamonds, having produced 4,9 million carats last year.

The world’s top rough diamond producers include Russia (37,3 million carats); Botswana (25,1 million carats) and Canada (16 million carats).

Meanwhile, the Zimbabwe Consolidated Diamond Company (ZCDC) targets to produce 5,7 million carats this year on the back of various initiatives, including improvement of operational efficiency and exploration.

“The ZCDC will be always in the process of capitalising so as to open new areas and increase production and also improve efficiencies. It’s doing extremely well, ZCDC.”

ZCDC, a private limited company wholly owned by Defold Mine (Pvt) Ltd, began operations in March 2016 after the Government consolidated all the diamond mining concessions in Chiadzwa.

The company, which presently has operations in Chiadzwa and Chimanimani, Manicaland, is conducting extensive exploration and evaluation across the country in search of kimberlite pipes that can be mined economically.

Zimbabwe’s output has been on the rise due to the Government’s implementation of several policies and regulations to support the diamond sector.

The key policy initiatives include investing in new technologies and innovations to promote exploration and extraction of the gemstones, as well as fostering value addition and beneficiation in the diamond industry.-ebsinssweekl