Zimbabwe Says 'Remove Sanctions On Our Gems'

Republic of Zimbabwe Minister of Mines Obert Mpofu has challenged the DeBeers diamond corporation for its theft of resources from the Southern African state. Zimbabwe has one of the largest diamond deposits in the world., a photo by Pan-African News Wire File Photos on Flickr.

'Remove sanctions on our gems'

Tuesday, 19 March 2013 01:53
Brezhnev Malaba in Dubai, United Arab Emirates

Sanctions on Zimbabwe’s diamond industry by the United States and the European Union are hampering the nation from realising its full potential, exposing the hypocrisy of Western governments that claim to be democratic while engaging in unfair trade practices, a Cabinet minister has said.

Addressing the Dubai Diamond Conference which began here yesterday, the Minister of Mines and Mining Development, Dr Obert Mpofu, called for the removal of the illegal sanctions.

Despite attaining full certification under the Kimberley Process Certification Scheme (KPCS) to mine and export diamonds, Zimbabwe was still being vilified by the US and the EU.

“Zimbabwe diamonds continue to face resistance from other countries for reasons outside the framework of the KPCS, that is sanctions. We again repeat our call for the removal of sanctions on Zimbabwe and on our diamond trade in particular.

“Zimbabwe diamonds are still being denied market space unjustifiably. The country is unable to trade its diamonds freely like other KP-compliant countries,” he said.

Dr Mpofu said companies wishing to trade with Zimbabwe risked confiscation of their funds by the US government’s Office for Foreign Assets Control (Ofac).

“This, therefore, has resulted in the local diamond industry being slowed from realising its full potential. The very same proponents and champions of globalisation have disregarded and operated against the provisions of the World Trade Organisation which promotes fair trade and unrestricted trade among nations,” he added.

Africa could no longer be treated as a small player in world diamond trade, he said.

“Africa is currently contributing in excess of 60 percent of the world’s current rough diamond production. Of that 60 percent, Zimbabwe accounts for a significant portion of that volume, with the potential to contribute in the short term 25 percent of the world’s rough diamond production by volume,” said Minister Mpofu.

African producers considered Dubai a viable partner as shown by their active participation at the conference, whose theme is “The New Silk Route”, said Dr Mpofu.

“The presence of African producers of diamonds at this forum is a strong message to the industry that we consider our diamond business relationship with the Emirate of Dubai seriously important and deserving to be strengthened and cultivated by our participation in this forum,” he said.

The minister thanked the United Arab Emirates, the African Diamond Producers’ Association, the World Diamond Council, the World Federation of Diamond Bourses, the International Diamond Manufacturers’ Association and the Kimberley Process grouping for supporting Zimbabwe’s just cause.

Beyond the struggle with the KPCS, Zimbabwe’s present thrust is focused on fully implementing the recently formulated Zimbabwe Diamond Policy.

“The policy provides for optimisation of the exploitation of diamonds throughout their entire value chain from exploration, through mining, beneficiation, value addition to marketing.

“The policy further seeks to guarantee accountability of the diamond industry while facilitating the creation of an environment that attracts investment in the sustainable exploitation of the country’s diamonds governed by the country’s laws and international best practice,” said Minister Mpofu.

The true potential of Zimbabwe’s diamond sector was yet to be realised, he noted.

“More deposits are being discovered thus providing additional prospects for more investment opportunities to willing investors.

There are other recent fascinating discoveries, and my message to you is that let’s walk together, we will go far,” he added.

The Dubai Diamond Conference brings together producers, cutters, polishers, investors and financiers.


Inaugural Dubai Diamond Conference kicks off

Monday, 18 March 2013 00:00
Zimbabwe Herald

The Inaugural Dubai Diamond Conference is on

Brezhnev Malaba in Dubai, United Arab Emirates

The inaugural Dubai Diamond Conference began today amid calls for smart partnerships between African producers, Asian polishers and a vast network of international mining financiers.

Officially opening the conference at the Almas Tower here, the Foreign Minister for International Organisations in the United Arab Emirates, Dr Saeed Al-Shamsi, said the meeting was meant to promote joint projects, strengthen partnerships and encourage the sharing of knowledge.

“Dubai is at the crossroads of Africa, Asia and Europe, and plays an important role in the diamond industry. We believe that partnerships are the foundation of success,” said Dr Al-Shamsi.

Delegates here are convinced that the global diamond industry is going through a historic transformation, with the centre of gravity shifting significantly to Africa, the Middle East, India and China. Zimbabwe, described as the biggest diamond find in a century, has been urged to take full advantage of this shift.

Mr Ahmed Bin Sulayem, the executive chairman of the Dubail Multi Commodities Centre (DMCC), said interaction between diamond producers, cutters, polishers and financial institutions should lead to insightful discussions.

He emphasized the importance of shrewd planning in the diamond industry, saying those companies and countries who would survive the global financial recession were the ones with proper business strategies.

Citing the example of Dubai, which has developed into a leading diamond trading centre within a few years, he said there was no substitute for vision.

“The challenge in Dubai is not the money; the challenge is in finding people who believe in the vision—people who believe in the diamond project,” he added.

Mr Bin Sulayem said the diamond volumes traded in Dubai showed that the Emirates were firmly established as a major player in global business.

“To illustrate our success, we often use the value of diamonds traded through Dubai. Prior to the establishement of DMCC in 2002, approximately US$5m worth of diamonds came through Dubai. In 2011, that value had grown to an impressive US$39 billion,” he said.

Mr Bin Sulayem congratulated Zimbabwe for hosting a successful Zimbabwe Diamond Conference in Victoria Falls last November, saying the meeting provided the world with lots of inspiration.

“The turnout at the Zimbabwe Diamond Conference was phenomenal. Zimbabwe’s diamond industry is growing. We loved the speakers in Victoria Falls so much that we even brought the master of ceremony here,” said Mr Bin Sulayem, in reference to a Zimbabwean, Mr Emmanuel Manyika, who has been honoured with the task of directing proceedings at this conference as master of ceremony.