Mhlanga calls for fair diamonds trade

By John Kachembere

HARARE – Zimbabwe’s leading diamond producer, Mbada Diamonds, says the international community must create a conducive environment for fair trade of the country’s gems.

Speaking at the Zimbabwe Diamonds Conference in the capital on Thursday, Mbada Diamonds chairman Robert Mhlanga said the country’s diamonds have suffered unfair treatment on the global market.

“As a nation, our potential cannot be side-lined and the future of the global diamond industry cannot be discussed without acknowledging our potential role in its sustainability. However, we are faced with a situation whereby we cannot trade our diamonds freely due to various constraints that have been created specifically for us as a nation,’ he said.

Mhlanga noted that the seizure of Zimbabwean diamonds in Antwerp, Belgium significantly affected the operations of local diamond companies that are currently reeling from high operational costs and power outages among other challenges.

“This development stifles not only our growth as producers but also of our economy and communities which should benefit from these proceeds,” he said adding that the diamond conference must make concerted efforts to depoliticise the global diamond industry.

This comes as in September this year, about 500 000 ounces worth roughly $45 million and belonging to companies with Zimbabwean State shareholdings were seized following an attachment order obtained by Amari Holdings Limited to enforce a ruling in a Paris-based court of arbitration.

However, government is contesting the seizure of $40 million from the diamonds proceeds.

Mhlanga said Zimbabwean gems must have unfettered access to international markets so that the majority of Zimbabweans can benefit from the trade of the diamonds.

“For Zimbabwe to realise its vision and full potential, there is need to create an enabling environment through conscious and concerted global collective effort,” he said.

“The Zimbabwe diamond industry just wants to forge ahead with its business of mining and marketing and value adding diamonds both locally and globally,” added Mhlanga.

The country’s diamonds — produced by five mines in the Marange diamond fields to the east of the country, as well as Rio Tinto’s Murowa mine — are believed to constitute approximately 25 percent of the world diamonds. Daily News