Transcript Document
Diamonds Trevor S. Angood ~ John Florip ~ Kurtis Lovio Section 8 Group 7 Peter Esselman 13 April 2005 History • First used and mind 2500 years ago • Was a symbol of wealth and nobility • Originally a rare engagement present Mary of Burgundy - first known recipient of a diamond engagement ring in 1477. Diamond Mining • • • • South Africa Namibia Botswana Republic of Congo • Sierra Leone The Diamond Industry • Largely Monopolized • De Beers • 60% market share • Centered in Johannesburg, South Africa • Uses strict supply controls • “sightholders” • Questioned social and environmental policies • Indicted and fined $10 million in U.S. antitrust suit • $9 billion/year industry De Beers • Advertising Campaign • “A diamond is forever” • Manipulating demand through cultural means Direct Environmental Damage • Actual Mining Waste • Causes air pollution • Machinery/Chemicals Used • Water Pollution Indirect Environmental Damage •Clearing of plant life •Mine dumps make land impossible for cultivation •Dust storms ruin crops •Earth-shaking blasts Blood Diamonds Blood Diamonds What are blood diamonds? Also called “Conflict Diamonds,” Blood diamonds are “diamonds that originate from areas controlled by forces or factions opposed to legitimate and internationally recognized governments, and are used to fund military action in opposition to those governments, or in contravention of the decisions of the Security Council” ~United Nations General Assembly December 1, 2001 Blood Diamonds Why the diamond is such an easily traded commodity? Large Amount of Wealth in Small Size Form of Currency Blood Diamonds Where does the Blood Diamond Trade occur? Botswana Sierra Leone Angola Nigeria South Africa Namibia Blood Diamonds How countries like Nigeria and Sierra Leone are affected: Rebel Forces Use Diamonds to Finance Arms Purchases Blood Diamonds How countries like Nigeria and Sierra Leone are affected: Blood Diamonds What is being done to curb the trade of these diamonds? Kimberley Process •Fully Implemented in August 2003 after 52 nations Ratified •Certification System for rough diamonds •Also established national import and Export Standards