2019 – Posted in: Daily News

KIMBERLEY PROCESS – INTERSESSIONAL MEETING

For: Mains

Topic cover: Kimberley Process, India and KP, KP certification scheme, Functions of KPCS

News Flash

The inter-sessional meeting of Kimberley Process being hosted by India from June 17 to 21 in Mumbai.

India and the KPCS

India chair Kimberley Process for 2019 with the Russian Federation as Vice Chair.
India had earlier chaired KPCS in the year 2008.
Since 2003, India has been actively participating in the KPCS process and is a member of all Working Groups of KP (except for Working Group on Artisanal and Alluvial Production, WGAAP.
Department of Commerce is the nodal Department and Gem & Jewellery Export Promotion Council (GJEPC) is designated as the KPCS Importing and Exporting Authority in India.
GJEPC is responsible for issuing KP Certificates and is also the custodian of KP Certificates received in the country.

Kimberley Process

The Kimberley Process is an international certification scheme that regulates trade in rough diamonds. It is a commitment to remove conflict diamonds from the global supply chain.

The participants include all major rough diamond producing, exporting and importing countries.

Conflict diamonds: These are also known as ‘blood diamonds’ are rough diamonds used by rebel movements or their allies to finance conflict aimed at undermining legitimate governments.

Background

The Kimberley Process started when Southern African diamond-producing states met in Kimberley, South Africa, in May 2000, to discuss ways to stop the trade in ‘conflict diamonds’.
The KP is a multilateral trade regime established in 2003 with the goal of preventing the flow of conflict diamonds.
At present, KP has 55 members representing 82 countries including the European Union with 28 members.
The KP is not, strictly speaking, an international organization: it has no permanent offices or permanent staff.
It relies on the contributions – under the principle of ‘burden-sharing’ – of participants, supported by industry and civil society observers.
Neither can the KP be considered as an international agreement from a legal perspective, as it is implemented through the national legislation of its participants.

Kimberley Process Certification Scheme (KPCS)

India is one of the founder members of the Kimberley Process Certification Scheme.
The KPCS outlines the rules that govern the trade in rough diamonds. The KPCS has developed a set of minimum requirements that each participant must meet.

Rough diamond trading under the KPCS

According to KPCS, each shipment of rough diamonds being exported and imported by crossing an international border be transported in a tamper-proof container and accompanied by a validated Kimberley Process Certificate. No uncertified shipments of rough diamonds are permitted to enter a participant country.

Functions of KPCS

Working Group on Monitoring: It carrying out a review of the working of the scheme in each participant country.
Working Group on Statistics: It Collects data in respect of export, import, and production of rough diamonds in the participant countries.
Working Group on Diamond Experts: It Solves technical problems in the implementation of the KPCS like proposing changes to the ‘Harmonised System Codes’ for rough diamonds to World Customs Organisation and harmonization of valuation methodologies.
Working Group on Artisanal and Alluvial Production: To promote more effective internal controls on the production and trade of alluvial diamonds.
Committee on Participation and Chairmanship: Assists the Chair of the Kimberley Process in handling the admission of new participants and advises if a participant fails to comply with minimum requirements.
Committee on Rules and Procedure: KP rules and procedures are devised and modified by the Committee.

Source: Business Standard / PIB

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