WFDB Urges Industry Action in Response to G7 Diamond Restrictions

The World Federation of Diamond Bourses (WFDB) has initiated a collaborative effort to address concerns surrounding the proposed limitations on diamonds by the G7
WFDB Urges Industry Action in Response to G7 Diamond Restrictions

A letter, spearheaded by WFDB President Yoram Dvash and co-signed by industry leaders including Feriel Zerouki of the World Diamond Council, Vipul Shah of the Gem & Jewellery Export Promotion Council of India, and Ronnie Vanderlinden of the International Diamond Manufacturers Association, has been dispatched to G7 and EU government representatives. This correspondence articulates the industry's apprehensions regarding the "one import node" solution proposed by the G7.

The letter emphasizes the potential adverse effects of the proposed restrictions on diamonds of Russian origin and highlights the urgent need for dialogue to mitigate the anticipated repercussions. It stresses the importance of collaborative efforts to achieve the objective of tracing diamond origins while expressing concerns that the suggested approach could inflict irreparable harm on the non-Russian diamond industry.

President Dvash underscores the necessity for targeted sanctions that punish the intended parties without adversely affecting the entire industry. He urges additional organizations and members of the trade to endorse the letter, underscoring the importance of collective action in addressing the issue.

The letter calls upon the G7 member states to reconsider the proposed restrictions and advocates for a more inclusive and equitable solution that does not disproportionately impact the non-Russian diamond industry. It emphasizes the importance of providing clarity and guidance to the industry, particularly concerning compliance procedures and the certification of non-Russian diamonds.

Furthermore, the letter advocates for the equitable access of all stakeholders, including artisanal and small-scale miners, to the technology necessary for tracing diamond origins. It stresses the importance of protecting proprietary trade information and addressing critical issues such as pre-existing stock, second-hand diamonds and jewelry, and the treatment of jewelry and watches under the proposed regulations.

In summary, the letter urges the G7 member states to engage in meaningful dialogue with industry stakeholders to develop a solution that achieves the desired objectives while minimizing adverse impacts on the global diamond trade.

Diamond World