Context
Recently, India formally assumed the Chairpersonship of the Kimberley Process (KP) for the year 2026, following its selection by the KP Plenary. This marks the third time India has been entrusted with leading this global initiative (previously in 2008 and 2019).
About Kimberley Process (KP)
The Kimberley Process is a multilateral trade regime established to prevent the trade of ‘conflict diamonds’.
1. Understanding Conflict Diamonds
- Definition: Conflict diamonds, also known as “blood diamonds,” are rough diamonds used by rebel movements or their allies to finance armed conflicts aimed at undermining legitimate governments.
- UN Connection: This definition is strictly based on United Nations Security Council (UNSC) resolutions.
- Scope Limitation: Currently, the KP mandate does only cover diamonds used by rebels against governments; it does not officially cover diamonds linked to state-sponsored human rights abuses or environmental degradation (a point of ongoing international debate).
2. The Kimberley Process Certification Scheme (KPCS)
- Launch: It was established in 2003 following the Kimberley Process meeting in South Africa and the “Interlaken Declaration.”
- Mandate: It is not an international organization but a voluntary certification scheme implemented through national legislations of participant countries.
- Key Requirements:
- Tamper-proof Containers: Every shipment of rough diamonds must be transported in a tamper-proof container.
- Validated Certificates: Each shipment must be accompanied by a government-validated Kimberley Process Certificate.
- Restricted Trade: Participants can only trade rough diamonds with other members of the KPCS.
3. Tripartite Structure
The Kimberley Process is unique because it operates as a tripartite coalition involving:
- Governments: Currently has 60 participants (representing 86 countries, with the EU as one participant).
- Diamond Industry: Represented by the World Diamond Council (WDC).
- Civil Society: Represented by various NGOs like the Kimberley Process Civil Society Coalition.
4. Governance and Decision Making
- Consensus-Based: All decisions within the KP are made by consensus, meaning any single participant can veto a resolution. This often leads to “deadlocks” on sensitive issues like sanctioning major producers.
- Rotating Chair: The Chairmanship rotates annually; the Vice-Chair of the current year typically becomes the Chair the following year.
5. Kimberley Process and India
- Founding Member: India is a founding member of the KPCS.
- Nodal Agency: The Department of Commerce is the nodal department, and the Gem & Jewellery Export Promotion Council (GJEPC) is the designated authority for issuing certificates.
- Strategic Importance: India processes (cuts and polishes) nearly 90% of the world’s rough diamonds, primarily in Surat and Mumbai.
- 2026 Chair Goals: India aims to focus on digital traceability (blockchain), strengthening compliance, and supporting the interests of the African diamond-producing nations (the “Global South”).
Q. With reference to the Kimberley Process (KP), consider the following statements:
1. It is a legally binding international treaty signed under the aegis of the World Trade Organization (WTO).
2. Decisions within the Kimberley Process are made through a consensus-based approach rather than a majority vote.
3. The current mandate of the Kimberley Process excludes diamonds used by governments to fund human rights violations.
4. India is the permanent secretariat host for the Kimberley Process Certification Scheme.
How many of the above statements are correct?
A) Only one
B) Only two
C) Only three
D) All four
Correct Answer: B (Only two)
Explanation:
• STATEMENT 1 INCORRECT: The KP is not a legally binding treaty; it is a voluntary certification scheme implemented through the national laws of its participants. It is also rooted in UN resolutions, not the WTO.
• STATEMENT 2 CORRECT: Decisions are indeed made by consensus, which is a unique feature that often results in procedural delays.
• STATEMENT 3 CORRECT: The KP definition of "conflict diamonds" is narrow; it specifically refers to diamonds used by rebel movements against legitimate governments. It does not currently cover state-led human rights abuses.
• STATEMENT 4 INCORRECT: The KP does not have a permanent secretariat in India; it has historically been an informal body. However, in 2022, members voted to establish a Permanent Secretariat in Gaborone, Botswana.
