The Diamond Box for Beginners

The Diamond Box for Beginners

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What Does The Diamond Box Mean?

According to an RJC auditor, suppliers only need to pledge that they conduct strong human civil liberties due persistance, yet do not provide any proof for this. Neither does the Code of Practices call for jewelersor various other downstream companiesto have traceability or chain of protection of their gold or diamonds. The Code of Practices is additionally weak in other substantive areas, for instance, on aboriginal peoples' civil liberties and on resettlement.


For example, in March 2017, the RJC had 342 members who had not (yet) completed the audit procedure that certifies conformity with the Code of Practices. Additionally, firms can sign up with at any degree of their operations. For instance, a small subsidiary office of a huge jewelry business could apply for RJC membership, without consisting of the rest of the business's entities.


Finally, the Code of Practices does not need business to openly report on the concrete steps they have taken to perform due diligencea core need of the OECD Support. Its coverage responsibilities are vague and do not mention due persistance or the requirement for firms to report on the actions they have taken to determine, examine, and mitigate dangers in their supply chains

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A 2nd RJC criterion, the Chain-of-Custody Criterion, promotes traceability and is more extensive, but adherence to it is optional for RJC participants. By very early 2018, just 48 of over 1,000 participant companies had actually certified entities under the criterion, consisting of 13 jewelers. The Chain-of-Custody Standard requires firms to develop documentary proof of business transactions along the supply chain and to validate they are not creating negative effects in conflict-affected and risky areas.


Instead, companies are permitted to pick some "entities" under their control for qualification, leaving various other entities of a company uncertified. While this may permit for companies to gradually switch over to more liable sourcing methods, the current practice additionally lugs the risk that an entire company enjoys the reputational advantage when the bulk of operations is not in compliance with the requirement.


All RJC participant firms have to go through an audit to show that they are certified with the Code of Practices, and to receive accreditation. Those companies that pick to obtain qualification for the Chain-of-Custody Requirement have to undergo a different audit. Audits are based mostly on a review of the business's created plans and documentation, and brows through to a "depictive set" of centers.

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It is not a comprehensive evaluation about whether the company actually applies or follows its plans throughout its operations. For instance, huge business may have procedures in multiple nations, and depend on lots of suppliers, but still might get RJC qualification based on sees to only a couple of centers under its direct control without any kind of evaluation of numerous others.


Audits are expected to include inquiries on a wide array of human civil liberties, auditors are not constantly qualified human rights experts (Seiko Watches). When the auditors finish their report, they just send a recap record of the audit to the RJC, not the complete audit record, which is shared just with the company




While labor abuses prevail in the field, artisanal mines provide revenue for millions of workers and thousands of mining areas. Human being Legal right Watch believes that the jewelry market must strive to ensure that their efforts to alleviate supply chain human rights dangers do not lead them to merely leave out all artisanal vendors from their supply chains as the "course of the very least resistance." Instead, they ought to support efforts to define and professionalize artisanal mines and enhance working problems.


The OECD Fee Persistance Assistance acknowledges this and is advertising cost-sharing within the industry. That method, all business along the supply chain share the monetary burden. A number of initiatives have actually arised that can help jewelers trace their gold and diamonds to mines of origin, and much more responsibly resource from the artisanal market.

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Regarding 600 adult miners have been signed up at 6 mine sites; kids can not sign up. Accreditation of details mines against liable sourcing standards can provide jewelers with greater guarantee that the gold or diamonds they buy from those mines are not polluted by human legal rights abuses. Nongovernmental organizations such as Solidaridad and influence can play a crucial function in supporting mines to improve techniques so they have the ability to adhere to the requirement; this might include steps to deal with kid labor, enhance environmental conduct, access finance, and establish straight call with purchasers.


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Two standardscertify artisanal and small-scale gold mines that conform to human civil liberties, labor rights, and environmental standardsthe Fairmined Standard and the Fairtrade Gold Standard (G Shock Watches). Depending on the consumer's permit with Fairmined, the gold may be fully deducible to the mine of origin, or may be mixed with other gold.




This quantity is simply a tiny fraction of the review gold used yearly by numerous of the business examined in this record. Since very early 2018, 8 mines in 4 countries (Bolivia, Colombia, Mongolia, and Peru) were certified, with an added 20 mining companies functioning towards accreditation. The Fairmined Gold Criterion is currently establishing a brand-new "market entry" standard that seeks to aid artisanal cash cow in the process towards complete qualification.

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It is provided under the umbrella of Fairtrade International, and enables jewelry experts to map their gold back all the way to the mine of origin. Fairtrade's first licensed mines were in Peru. Over the last couple of years, the Fairtrade Foundation, Solidaridad, and various other NGOs conducted a program of training and assistance to artisanal and small-scale gold miners in Africa, and in very early 2017, accredited an artisanal cash cow in Uganda.

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