KIMBERLEY PROCESS CERTIFICATION SCHEME
PREAMBLE
Participants,
RECOGNISING that the trade in conflict
diamonds is a matter of serious international concern, which can be directly
linked to the fuelling of armed conflict, the activities of rebel movements
aimed at undermining or overthrowing legitimate governments, and the illicit
traffic in, and proliferation of, armaments, especially small arms and light
weapons;
FURTHER RECOGNISING the devastating impact of conflicts fuelled
by the trade in conflict diamonds on the peace, safety and security of people in
affected countries and the systematic and gross human rights violations that
have been perpetrated in such conflicts;
NOTING the negative impact of
such conflicts on regional stability and the obligations placed upon states by
the United Nations Charter regarding the maintenance of international peace and
security;
BEARING IN MIND that urgent international action is imperative
to prevent the problem of conflict diamonds from negatively affecting the trade
in legitimate diamonds, which makes a critical contribution to the economies of
many of the producing, processing, exporting and importing states, especially
developing states;
RECALLING all of the relevant resolutions of the
United Nations Security Council under Chapter VII of the United Nations Charter,
including the relevant provisions of Resolutions 1173 (1998), 1295 (2000), 1306
(2000), and 1343 (2001), and determined to contribute to and support the
implementation of the measures provided for in these resolutions;
HIGHLIGHTING the United Nations General Assembly Resolution 55/56 (2000)
on the role of the trade in conflict diamonds in fuelling armed conflict, which
called on the international community to give urgent and careful consideration
to devising effective and pragmatic measures to address this problem;
FURTHER HIGHLIGHTING the recommendation in United Nations General
Assembly Resolution 55/56 that the international community develop detailed
proposals for a simple and workable international certification scheme for rough
diamonds based primarily on national certification schemes and on
internationally agreed minimum standards;
RECALLING that the Kimberley
Process, which was established to find a solution to the international problem
of conflict diamonds, was inclusive of concerned stake holders, namely
producing, exporting and importing states, the diamond industry and civil
society;
CONVINCED that the opportunity for conflict diamonds to play a
role in fuelling armed conflict can be seriously reduced by introducing a
certification scheme for rough diamonds designed to exclude conflict diamonds
from the legitimate trade;
RECALLING that the Kimberley Process
considered that an international certification scheme for rough diamonds, based
on national laws and practices and meeting internationally agreed minimum
standards, will be the most effective system by which the problem of conflict
diamonds could be addressed;
ACKNOWLEDGING the important initiatives
already taken to address this problem, in particular by the governments of
Angola, the Democratic Republic of Congo, Guinea and Sierra Leone and by other
key producing, exporting and importing countries, as well as by the diamond
industry, in particular by the World Diamond Council, and by civil society;
WELCOMING voluntary self-regulation initiatives announced by the diamond
industry and recognising that a system of such voluntary self-regulation
contributes to ensuring an effective internal control system of rough diamonds
based upon the international certification scheme for rough diamonds;
RECOGNISING that an international certification scheme for rough
diamonds will only be credible if all Participants have established internal
systems of control designed to eliminate the presence of conflict diamonds in
the chain of producing, exporting and importing rough diamonds within their own
territories, while taking into account that differences in production methods
and trading practices as well as differences in institutional controls thereof
may require different approaches to meet minimum standards;
FURTHER
RECOGNISING that the international certification scheme for rough diamonds must
be consistent with international law governing international trade;
ACKNOWLEDGING that state sovereignty should be fully respected and the
principles of equality, mutual benefits and consensus should be adhered to;
RECOMMEND THE FOLLOWING PROVISIONS:
SECTION I
Definitions
For the purposes of the international certification scheme for rough
diamonds (hereinafter referred to as “the Certification Scheme”) the following
definitions apply:
CONFLICT DIAMONDS means rough diamonds used by rebel
movements or their allies to finance conflict aimed at undermining legitimate
governments, as described in relevant United Nations Security Council (UNSC)
resolutions insofar as they remain in effect, or in other similar UNSC
resolutions which may be adopted in the future, and as understood and recognised
in United Nations General Assembly (UNGA) Resolution 55/56, or in other similar
UNGA resolutions which may be adopted in future;
COUNTRY OF ORIGIN means
the country where a shipment of rough diamonds has been mined or extracted;
COUNTRY OF PROVENANCE means the last Participant from where a shipment
of rough diamonds was exported, as recorded on import documentation;
DIAMOND means a natural mineral consisting essentially of pure
crystallised carbon in the isometric system, with a hardness on the Mohs
(scratch) scale of 10, a specific gravity of approximately 3.52 and a refractive
index of 2.42;
EXPORT means the physical leaving/taking out of any part
of the geographical territory of a Participant;
EXPORTING AUTHORITY
means the authority(ies) or body(ies) designated by a Participant from whose
territory a shipment of rough diamonds is leaving, and which are authorised to
validate the Kimberley Process Certificate;
FREE TRADE ZONE means a part
of the territory of a Participant where any goods introduced are generally
regarded, insofar as import duties and taxes are concerned, as being outside the
customs territory;
IMPORT means the physical entering/bringing into any
part of the geographical territory of a Participant;
IMPORTING AUTHORITY
means the authority(ies) or body(ies) designated by a Participant into whose
territory a shipment of rough diamonds is imported to conduct all import
formalities and particularly the verification of accompanying Kimberley Process
Certificates;
KIMBERLEY PROCESS CERTIFICATE means a forgery resistant
document with a particular format which identifies a shipment of rough diamonds
as being in compliance with the requirements of the Certification Scheme;
OBSERVER means a representative of civil society, the diamond industry,
international organisations and non-participating governments invited to take
part in Plenary meetings; (Further consultations to be undertaken by the Chair.)
PARCEL means one or more diamonds that are packed together and that are
not individualised;
PARCEL OF MIXED ORIGIN means a parcel that contains
rough diamonds from two or more countries of origin, mixed together;
PARTICIPANT means a state or a regional economic integration
organisation for which the Certification Scheme is effective; (Further
consultations to be undertaken by the Chair.)
REGIONAL ECONOMIC
INTEGRATION ORGANISATION means an organisation comprised of sovereign states
that have transferred competence to that organisation in respect of matters
governed by the Certification Scheme;
ROUGH DIAMONDS means diamonds that
are unworked or simply sawn, cleaved or bruted and fall under the Relevant
Harmonised Commodity Description and Coding System 7102.10, 7102.21 and 7102.31;
SHIPMENT means one or more parcels that are physically imported or
exported;
TRANSIT means the physical passage across the territory of a
Participant or a non-Participant, with or without transhipment, warehousing or
change in mode of transport, when such passage is only a portion of a complete
journey beginning and terminating beyond the frontier of the Participant or
non-Participant across whose territory a shipment passes;
SECTION II
The Kimberley Process Certificate
Each Participant should
ensure that:
(a) a Kimberley Process Certificate (hereafter referred to
as the Certificate) accompanies each shipment of rough diamonds on export;
(b) its processes for issuing Certificates meet the minimum standards of
the Kimberley Process as set out in Section IV;
(c) Certificates meet
the minimum requirements set out in Annex I. As long as these requirements are
met, Participants may at their discretion establish additional characteristics
for their own Certificates, for example their form, additional data or security
elements;
(d) it notifies all other Participants through the Chair of
the features of its Certificate as specified in Annex I, for purposes of
validation.
SECTION III
Undertakings in respect of the international
trade in rough diamonds
Each Participant should:
(a) with
regard to shipments of rough diamonds exported to a Participant, require that
each such shipment is accompanied by a duly validated Certificate;
(b) with
regard to shipments of rough diamonds imported from a Participant:
· require
a duly validated Certificate;
· ensure that confirmation of receipt is
sent expeditiously to the relevant Exporting Authority. The confirmation should
as a minimum refer to the Certificate number, the number of parcels, the carat
weight and the details of the importer and exporter;
· require that the
original of the Certificate be readily accessible for a period of no less than
three years;
(c) ensure that no shipment of rough diamonds is imported from
or exported to a non-Participant;
(d) recognise that Participants
through whose territory shipments transit are not required to meet the
requirement of paragraphs (a) and (b) above, and of Section II (a) provided that
the designated authorities of the Participant through whose territory a shipment
passes, ensure that the shipment leaves its territory in an identical state as
it entered its territory (i.e. unopened and not tampered with).
SECTION IV
Internal Controls
Undertakings by Participants
Each
Participant should:
(a) establish a system of internal controls designed
to eliminate the presence of conflict diamonds from shipments of rough diamonds
imported into and exported from its territory;
(b) designate an
Importing and an Exporting Authority(ies);
(c) ensure that rough
diamonds are imported and exported in tamper resistant containers;
(d)
as required, amend or enact appropriate laws or regulations to implement and
enforce the Certification Scheme and to maintain dissuasive and proportional
penalties for transgressions;
(e) collect and maintain relevant official
production, import and export data, and collate and exchange such data in
accordance with the provisions of Section V.
(f) when establishing a
system of internal controls, take into account, where appropriate, the further
options and recommendations for internal controls as elaborated in Annex II.
Principles of Industry Self-Regulation
Participants understand
that a voluntary system of industry self-regulation, as referred to in the
Preamble of this Document, will provide for a system of warranties underpinned
through verification by independent auditors of individual companies and
supported by internal penalties set by industry, which will help to facilitate
the full traceability of rough diamond transactions by government authorities.
Section V
Co-operation and Transparency
Participants
should:
(a) provide to each other through the Chair information
identifying their designated authorities or bodies responsible for implementing
the provisions of this Certification Scheme. Each Participant should provide to
other Participants through the Chair information, preferably in electronic
format, on its relevant laws, regulations, rules, procedures and practices, and
update that information as required. This should include a synopsis in English
of the essential content of this information;
(b) compile and make
available to all other Participants through the Chair statistical data in line
with the principles set out in Annex III;
(c) exchange on a regular
basis experiences and other relevant information, including on self-assessment,
in order to arrive at the best practice in given circumstances;
(d)
consider favourably requests from other Participants for assistance to improve
the functioning of the Certification Scheme within their territories;
(e) inform another Participant through the Chair if it considers that
the laws, regulations, rules, procedures or practices of that other Participant
do not ensure the absence of conflict diamonds in the exports of that other
Participant;
(f) cooperate with other Participants to attempt to resolve
problems which may arise from unintentional circumstances and which could lead
to non-fulfilment of the minimum requirements for the issuance or acceptance of
the Certificates, and inform all other Participants of the essence of the
problems encountered and of solutions found;
(g) encourage, through
their relevant authorities, closer co-operation between law enforcement agencies
and between customs agencies of Participants.
Section VI
Administrative Matters
MEETINGS
(1). Participants
and Observers are to meet in Plenary annually, and on other occasions as
Participants may deem necessary, in order to discuss the effectiveness of the
Certification Scheme.
(2). Participants should adopt Rules of Procedure
for such meetings at the first Plenary meeting.
(3). Meetings are to be
held in the country where the Chair is located, unless a Participant or an
international organisation offers to host a meeting and this offer has been
accepted. The host country should facilitate entry formalities for those
attending such meetings.
(4). At the end of each Plenary meeting, a
Chair would be elected to preside over all Plenary meetings, ad hoc working
groups and other subsidiary bodies, which might be formed until the conclusion
of the next annual Plenary meeting.
(5). Participants are to reach
decisions by consensus. In the event that consensus proves to be impossible, the
Chair is to conduct consultations.
ADMINISTRATIVE SUPPORT
(6).
For the effective administration of the Certification Scheme, administrative
support will be necessary. The modalities and functions of that support should
be discussed at the first Plenary meeting, following endorsement by the UN
General Assembly.
(7). Administrative support could include the
following functions:
(a) to serve as a channel of communication,
information sharing and consultation between the Participants with regard to
matters provided for in this Document;
(b) to maintain and make
available for the use of all Participants a collection of those laws,
regulations, rules, procedures, practices and statistics notified pursuant to
Section V;
(c) to prepare documents and provide administrative support
for Plenary and working group meetings;
(d) to undertake such additional
responsibilities as the Plenary meetings, or any working group delegated by
Plenary meetings, may instruct.
PARTICIPATION
(8). Participation
in the Certification Scheme is open on a global, non-discriminatory basis to all
Applicants willing and able to fulfill the requirements of that Scheme.
(9). Any applicant wishing to participate in the Certification Scheme
should signify its interest by notifying the Chair through diplomatic channels.
This notification should include the information set forth in paragraph (a) of
Section V and be circulated to all Participants within one month.
(10).
Participants intend to invite representatives of civil society, the diamond
industry, non-participating governments and international organizations to
participate in Plenary meetings as Observers.
PARTICIPANT MEASURES
(11). Participants are to prepare, and make available to other
Participants, in advance of annual Plenary meetings of the Kimberley Process,
information as stipulated in paragraph (a) of Section V outlining how the
requirements of the Certification Scheme are being implemented within their
respective jurisdictions.
(12). The agenda of annual Plenary meetings is
to include an item where information as stipulated in paragraph (a) of Section V
is reviewed and Participants can provide further details of their respective
systems at the request of the Plenary.
(13). Where further clarification
is needed, Participants at Plenary meetings, upon recommendation by the Chair,
can identify and decide on additional verification measures to be undertaken.
Such measures are to be implemented in accordance with applicable national and
international law. These could include, but need not be limited to measures such
as;
a. requesting additional information and clarification from
Participants;
b. review missions by other Participants or their
representatives where there are credible indications of significant
non-compliance with the Certification Scheme.
(14). Review missions are to
be conducted in an analytical, expert and impartial manner with the consent of
the Participant concerned. The size, composition, terms of reference and
time-frame of these missions should be based on the circumstances and be
established by the Chair with the consent of the Participant concerned and in
consultation with all Participants.
(15). A report on the results of
compliance verification measures is to be forwarded to the Chair and to the
Participant concerned within three weeks of completion of the mission. Any
comments from that Participant as well as the report, are to be posted on the
restricted access section of an official Certification Scheme website no later
than three weeks after the submission of the report to the Participant
concerned. Participants and Observers should make every effort to observe strict
confidentiality regarding the issue and the discussions relating to any
compliance matter.
COMPLIANCE AND DISPUTE PREVENTION
(16). In
the event that an issue regarding compliance by a Participant or any other issue
regarding the implementation of the Certification Scheme arises, any concerned
Participant may so inform the Chair, who is to inform all Participants without
delay about the said concern and enter into dialogue on how to address it.
Participants and Observers should make every effort to observe strict
confidentiality regarding the issue and the discussions relating to any
compliance matter.
MODIFICATIONS
17. This document may be
modified by consensus of the Participants.
18. Modifications may be
proposed by any Participant. Such proposals should be sent in writing to the
Chair, at least ninety days before the next Plenary meeting, unless otherwise
agreed.
19. The Chair is to circulate any proposed modification
expeditiously to all Participants and Observers and place it on the agenda of
the next annual Plenary meeting.
REVIEW MECHANISM
20.
Participants intend that the Certification Scheme should be subject to periodic
review, to allow Participants to conduct a thorough analysis of all elements
contained in the scheme. The review should also include consideration of the
continuing requirement for such a scheme, in view of the perception of the
Participants, and of international organisations, in particular the United
Nations, of the continued threat posed at that time by conflict diamonds. The
first such review should take place no later than three years after the
effective starting date of the Certification Scheme. The review meeting should
normally coincide with the annual Plenary meeting, unless otherwise agreed.
THE START OF THE IMPLEMENTATION OF THE SCHEME
21. The
Certification Scheme should be established at the Ministerial Meeting on the
Kimberley Process Certification Scheme for Rough Diamonds in Interlaken on 5
November 2002.
22. ANNEX I
Certificates
A. Minimum
requirements for Certificates
A Certificate is to meet the following
minimum requirements:
i. Each Certificate should bear the title “Kimberley
Process Certificate” and the following statement: “The rough diamonds in this
shipment have been handled in accordance with the provisions of the Kimberley
Process Certification Scheme for rough diamonds”
ii. - Country of origin for
shipment of parcels of unmixed (i.e. from the same) origin
iii. -
Certificates may be issued in any language, provided that an English translation
is incorporated
iv. - Unique numbering with the Alpha 2 country code,
according to ISO 3166-1
v. - Tamper and forgery resistant
vi. - Date of
issuance
vii. - Date of expiry
viii. - Issuing authority
ix. -
Identification of exporter and importer
x. - Carat weight/mass
xi. -
Value in US$
xii. - Number of parcels in shipment
xiii. - Relevant
Harmonised Commodity Description and Coding System
xiv. - Validation of
Certificate by the Exporting Authority
B. Optional Certificate Elements A
Certificate may include the following optional features:
i. Characteristics
of a Certificate (for example as to form, additional data or security elements)
ii. Quality characteristics of the rough diamonds in the shipment
iii. A
recommended import confirmation part should have the following elements:
Country of destination
Identification of importer
Carat/weight and
value in US$
Relevant Harmonised Commodity Description and Coding System
Date of receipt by Importing Authority
Authentication by Importing
Authority
C. Optional Procedures
Rough diamonds may be shipped in
transparent security bags.
The unique Certificate number may be replicated
on the container.
Annex II
Recommendations as provided for in
Section IV, paragraph (f)
General Recommendations
1.
Participants may appoint an official coordinator(s) to deal with the
implementation of the Certification Scheme.
2. Participants may consider
the utility of complementing and/or enhancing the collection and publication of
the statistics identified in Annex III based on the contents of Kimberley
Process Certificates.
3. Participants are encouraged to maintain the
information and data required by Section V on a computerised database.
4. Participants are encouraged to transmit and receive electronic
messages in order to support the Certification Scheme.
5. Participants
that produce diamonds and that have rebel groups suspected of mining diamonds
within their territories are encouraged to identify the areas of rebel diamond
mining activity and provide this information to all other Participants. This
information should be updated on a regular basis.
6. Participants are
encouraged to make known the names of individuals or companies convicted of
activities relevant to the purposes of the Certification Scheme to all other
Participants through the Chair.
7. Participants are encouraged to ensure
that all cash purchases of rough diamonds are routed through official banking
channels, supported by verifiable documentation.
8. Participants that
produce diamonds should analyse their diamond production under the following
headings:
Characteristics of diamonds produced
Actual production
Recommendations for Control over Diamond Mines
9. Participants are
encouraged to ensure that all diamond mines are licensed and to allow only those
mines so licensed to mine diamonds.
10. Participants are encouraged to
ensure that prospecting and mining companies maintain effective security
standards to ensure that conflict diamonds do not contaminate legitimate
production.
Recommendations for Participants with Small-scale Diamond
Mining
11. All artisinal and informal diamond miners should be licensed
and only those persons so licensed should be allowed to mine diamonds.
12. Licensing records should contain the following minimum information:
name, address, nationality and/or residence status and the area of authorised
diamond mining activity.
Recommendations for Rough Diamond Buyers,
Sellers and Exporters
13. All diamond buyers, sellers, exporters, agents
and courier companies involved in carrying rough diamonds should be registered
and licensed by each Participant`s relevant authorities.
14. Licensing
records should contain the following minimum information: name, address and
nationality and/or residence status.
15. All rough diamond buyers,
sellers and exporters should be required by law to keep for a period of five
years daily buying, selling or exporting records listing the names of buying or
selling clients, their license number and the amount and value of diamonds sold,
exported or purchased.
16. The information in paragraph 14 above should
be entered into a computerised database, to facilitate the presentation of
detailed information relating to the activities of individual rough diamond
buyers and sellers.
Recommendations for Export Processes
17. A
exporter should submit a rough diamond shipment to the relevant Exporting
Authority.
18. The Exporting Authority is encouraged, prior to
validating a Certificate, to require an exporter to provide a declaration that
the rough diamonds being exported are not conflict diamonds.
19. Rough
diamonds should be sealed in a tamper proof container together with the
Certificate or a duly authenticated copy. The Exporting Authority should then
transmit a detailed e-mail message to the relevant Importing Authority
containing information on the carat weight, value, country of origin or
provenance, importer and the serial number of the Certificate.
20. The
Exporting Authority should record all details of rough diamond shipments on a
computerised database.
Recommendations for Import Processes
21.
The Importing Authority should receive an e-mail message either before or upon
arrival of a rough diamond shipment. The message should contain details such as
the carat weight, value, country of origin or provenance, exporter and the
serial number of the Certificate.
22. The Importing Authority should
inspect the shipment of rough diamonds to verify that the seals and the
container have not been tampered with and that the export was performed in
accordance with the Certification Scheme.
23. The Importing Authority
should open and inspect the contents of the shipment to verify the details
declared on the Certificate.
24. Where applicable and when requested,
the Importing Authority should send the return slip or import confirmation
coupon to the relevant Exporting Authority.
25. The Importing Authority
should record all details of rough diamond shipments on a computerised database.
Recommendations on Shipments to and from Free Trade Zones
26.
Shipments of rough diamonds to and from free trade zones should be processed by
the designated authorities.
Annex III
Statistics
Recognising that reliable and comparable data on the production and
the international trade in rough diamonds are an essential tool for the
effective implementation of the Certification Scheme, and particularly for
identifying any irregularities or anomalies which could indicate that conflict
diamonds are entering the legitimate trade, Participants strongly support the
following principles, taking into account the need to protect commercially
sensitive information:
(a) to keep and publish within two months of the
reference period and in a standardised format, quarterly aggregate statistics on
rough diamond exports and imports, as well as the numbers of certificates
validated for export, and of imported shipments accompanied by Certificates;
(b) to keep and publish statistics on exports and imports, by origin and
provenance wherever possible; by carat weight and value; and under the relevant
Harmonised Commodity Description and Coding System (HS) classifications 7102.10;
7102.21; 7102.31;
(c) to keep and publish on a semi-annual basis and
within two months of the reference period statistics on rough diamond production
by carat weight and by value. In the event that a Participant is unable to
publish these statistics it should notify the Chair immediately;
(d) to
collect and publish these statistics by relying in the first instance on
existing national processes and methodologies;
(e) to make these
statistics available to an intergovernmental body or to another appropriate
mechanism identified by the Participants for (1) compilation and publication on
a quarterly basis in respect of exports and imports, and (2) on a semi-annual
basis in respect of production. These statistics are to be made available for
analysis by interested parties and by the Participants, individually or
collectively, according to such terms of reference as may be established by the
Participants;
(f) to consider statistical information pertaining to the
international trade in and production of rough diamonds at annual Plenary
meetings, with a view to addressing related issues, and to supporting effective
implementation of the Certification Scheme.