Antwerp Facets Special Report

The decision by the Kimberley Process Plenary Meeting last week to approve the export of diamonds mined in the Marange area of Zimbabwe surprised some in the diamond industry. However, for Mark Van Bockstael, the Antwerp World Diamond Centre's Department of International Affairs & Trade director and an original architect of the Kimberley Process Certification Scheme, it was a decision whose time had come.

Over the past decade, Van Bockstael has served as chair of the World Diamond Council's Technical Committee, and in this capacity has played a key role in the implementation of the Kimberley Process out in the field. A veteran of numerous KP country review visits, in the context of the latest agreement he was named as one of the two-person Monitoring Team, whose job it will be to ascertain that the mining operations in Marange are Kimberley Process compliant. His partner on the Monitoring Team is Abbey Chikane, a former chair of the Kimberley Process.

In this in-depth interview, Van Bockstael gives his views on how the decision came about, what is likely to happen next, and how the KP plans to ensure monitoring of Zimbabwe's Marange production.

 

 

ANTWERP FACETS: Was there a pervasive feeling that the time had indeed come for decision to be made given the damaging stalemate that has prevailed on the Zimbabwe issue for the past two years? And was there a feeling of surprise during the negotiations that the United States, Canada and the European Union were prepared to agree given their steadfast resistance in the past?

MARK VAN BOCKSTAEL: Certainly, everyone was fully cognizant of the important responsibility resting on this Plenary meeting. Further stalemate would have reduced the KP to a simple trade regulatory regime without any moral or ethical importance or aspect. It would have lost any relevance to the industry.

Only government officials would have found continuing interest in the KP. After all, let's not forget that as long as the national laws implementing the minimum requirements of the KP Certification Scheme are still in place, rough diamond shipments will still be required to be shipped, sealed and accompanied by valid and validated KP certificates.

 

ANTWERP FACETS: Does this, in your opinion, pave the way for Zimbabwe to become a major participant in the rough diamond industry?

MARK VAN BOCKSTAEL: Let's not jump to conclusions, but rather wait for the reporting that is being accepted by the Zimbabwe authorities to take place. However, as I stated earlier, the potential for becoming a major diamond producer clearly exists.

When exactly this potential will be realised is, however, a different matter. That will probably mostly depend on Zimbabwe being able to attract further international investors to develop that capacity. But, of course, Zimbabwe is not operating in a glass bell, the international mining investing climate will also have a major impact on this.

 

ANTWERP FACETS: Did the fact that the Plenary meeting took place in an African country somehow give an impetus for a decision to be reached?

MARK VAN BOCKSTAEL: I heard that said quite a few times, but I'm not really convinced that the location of the Plenary meeting mattered that much. A very important factor in the forging of this compromise deal was the personal, relentless commitment of the KP Chair, Mathieu Yamba Lampfang.

But, in the end, I believe it was the realisation within the European Union that further freezing of a decision and the risk of losing the whole process for the sake of this one problem was too high a price to pay. Once that realisation sank in, the EU really became engaged, and the rest is history.

 

ANTWERP FACETS: Is there a solid feeling that this is a deal that can hold water, given the very real obstacles still to be overcome?

MARK VAN BOCKSTAEL: The proof will be in the pudding! But let me just add this: while engaging with Zimbabwe, an important ingredient that had been entirely lacking previously – trust – started to seep in. At the final stage of the forging of the agreement, all players were just looking for the best possible wording avoiding innuendo and subterfuge.

Now, Zimbabwe will have to shake itself free from the recent past and engage with the KP with the enthusiasm of the early years. A number of reports need to be produced, a number of worries need to be addressed – nothing insurmountable – but needing steady attention and diligence from their side.

After all, this is only a small price to pay on the road to becoming an important producer. And if, at the end, these diamonds have brought a better life and better perspectives for all Zimbabweans, then we will have realised the real meaning of the KP: "From conflict to development diamonds".

 

ANTWERP FACETS: What are the criteria that the KP Monitors will use to decide whether a mine is KP compliant or not.

MARK VAN BOCKSTAEL: This is not rocket science. This is a very straightforward and transparent auditing process using the proper KP benchmarks – that is the KP minimum requirements.

To that extent, a number of KP documents and lists prepared for all reviews will be ticked. Of course, standard business auditing principles will also apply, but that is only common sense.

 

ANTWERP FACETS: Is it clear as to how many producing mines there will be in the Marange region?

MARK VAN BOCKSTAEL: What we know now is that there are two compliant mining operations, Mbada and Marange Resources, and one other, Anjin, that has expressed its readiness to be visited and compliance tested, in the Marange diamond field. These are producing mines.

Other names have been proposed, but until they come to the KP to have their compliance verified, they will not contribute to Zimbabwe's diamond production.

Moving from exploration to real mining is an important business decision not taken on a whim. Let's just see where they will be in 5-10 years.

 

ANTWERP FACETS: Did this meeting, which largely was held in the absence of the NGO, affect their status in the KP? How do you respond to their criticism of the agreement?

MARK VAN BOCKSTAEL: Not at all, although it has been proven once more that the "empty seat" policy is not really a successful strategy. It's also a humbling reminder to all of us that none of us cannot be missed and no-one alone in the long run can block progress even under consensus rule.

Now, our only concern should be focused on convincing them to return to the table and take up their proper position in the tripartite structure that is really the KP. In fact, it was pretty remarkable to note unanimously voiced approval from the Plenary when WDC and Botswana suggested adding a statement to that effect in the Final Communiqué.

Yes it was hurtful and saddening to read the statement from the NGOs, but let's not jump ship too soon. What I read mostly was, quite understandably, frustration. Let's wait for them to get that out their system and engage them again.

 

ANTWERP FACETS: Has the argument regarding Marange raised the prospect of changing the KP's criteria to include banning diamonds that are suspected of being mined in contravention of human rights?

MARK VAN BOCKSTAEL: What this crisis has taught us is that we shouldn't run too far with the KP ahead of the KPCS.

Let me explain that: the KP is the political process that can propose new benchmarks and that, after all, has always been about human rights. The KPCS on the contrary is the technical regulatory environment that does not have much maneuverability as its actions are enshrined in the national legislation of its participants. If we run out of sync with the KP versus the KPCS we run a real, now proven, risk of losing our legal base.

 

ANTWERP FACETS: Is there a possible role for the KP in ensuring the transparent sale of Marange diamonds and monitoring the process to ensure the country's people enjoy the benefits?

MARK VAN BOCKSTAEL: Monitoring is exactly the core business of the KP Monitoring Team. Abbey Chikane and I are very much aware of the heavy responsibility that's been placed upon us, but at the same time we are very happy that we can chip in our modest contribution in turning the Marange diamond fields into a great opportunity for Zimbabwe and its citizens.

 

ANTWERP FACETS: How important was the ultimatum provided to Venezuela that, if it does not submit the required documentation to KP, it will be expelled from KP?

MARK VAN BOCKSTAEL: It is in fact the ultimate warning. After that, Venezuela will be "dropped from the list", KP-speak for obtaining "pariah" status.

Hopefully, it will not come to that and Venezuela will realize it's in real danger of becoming totally irrelevant to the international diamond community. Personally, I would consider that to be a very sad day for the KP. Instead, I'm looking forward to Venezuela taking up its proper place at the KP and requesting a review visit that should have happened long ago.