Botswana has been added as a second center, in addition to Belgium, to verify the origin of rough diamonds meant for export to the Group of Seven leading industrialized countries, the nation’s presidency announced Thursday.
African producers had complained that making Belgium the sole verification center led to disruptions in the global diamond supply chain, as the G7 moved to stop the flow of gems mined in Russia.
A statement by the office of the president said Botswana was granted permission to set up a verification center following “intensive” discussions with the G7 Diamond Technical Team.
The announcement comes as President Duma Boko and Minister of Minerals Bogolo Kenewendo returned Thursday from a diamond conference in Brussels.
Kenewendo told state television it is logical to grant Botswana, the world’s second-largest producer of diamonds, the right to certify rough stones.
She said that Botswana has a track record in verification and certification, together with other countries under the Kimberley Process.
The Kimberley Process is a trade regime that certifies rough diamond exports entering the global market, but it has been criticized for failing to do enough to keep out diamonds from conflict zones.
Diamond-producing countries such as Angola and Namibia should be recognized verifiers because they have prepared through the Kimberley Process, Kenewendo said.
To sanction Russian diamonds, the G7, at the start of the year, proposed that all stones destined for export to their member countries be routed through Antwerp, Belgium, to verify their origin.
African producers, led by Botswana, protested, saying the move caused disruptions to the global supply chain due to delays and added costs.
Belgian-based diamond industry researcher Hans Merket said the addition of Botswana as a verification center will allow more flexibility.
“Botswana appears to be something of a test case with the G7 Diamond Technical Team already explicitly referencing Namibia and Angola as potential future certification nodes,” Merket said.
“By diversifying the certification points, this approach could establish a more balanced and inclusive framework for the G7 certification scheme aligning more closely with the global dynamics of the global supply chain,” he said.
“Moreover, it can also help pave the way for stricter controls and higher ethical standards in the diamond sector, particularly as the Kimberley Process certification scheme faces increasing criticism for its declining credibility and leniency,” Merket said.
Jaff Bamenjo, coordinator of the Kimberley Process Civil Society Coalition, said more African diamond producers should be added as verification centers because the addition of only Botswana will not resolve supply chain disruptions.
“African diamond producing countries are suffering from a problem they did not create,” Bamenjo said.
Botswana’s export certification center is expected to be operational early next year.