THE DIAMOND BOX - QUESTIONS

The Diamond Box - Questions

The Diamond Box - Questions

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According to an RJC auditor, suppliers just need to pledge that they conduct strong civils rights due diligence, however do not supply any evidence for this. Neither does the Code of Practices call for jewelersor other downstream companiesto have traceability or chain of protection of their gold or rubies. The Code of Practices is additionally weak in various other substantive locations, for instance, on native individuals' legal rights and on resettlement.


In March 2017, the RJC had 342 members who had not (yet) finished the audit process that licenses compliance with the Code of Practices. On top of that, business can sign up with at any degree of their operations. For instance, a small subsidiary workplace of a big fashion jewelry business could make an application for RJC membership, without consisting of the rest of the firm's entities.


The Code of Practices does not require business to openly report on the concrete steps they have actually taken to carry out due diligencea core demand of the OECD Assistance (engagement rings). Its reporting responsibilities are obscure and do not discuss due persistance or the demand for firms to report on the steps they have actually required to identify, examine, and alleviate threats in their supply chains


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A 2nd RJC standard, the Chain-of-Custody Standard, promotes traceability and is much more extensive, however adherence to it is optional for RJC participants. By very early 2018, just 48 of over 1,000 participant firms had actually certified entities under the standard, including 13 jewelers. The Chain-of-Custody Standard requires business to develop docudrama proof of business transactions along the supply chain and to validate they are not causing adverse influences in conflict-affected and high-risk areas.


Rather, companies are enabled to select some "entities" under their control for accreditation, leaving other entities of a business uncertified. While this may permit firms to progressively switch to more liable sourcing methods, the present method likewise brings the danger that a whole business appreciates the reputational advantage when most of operations is not in compliance with the standard.


All RJC participant firms need to go through an audit to show that they are compliant with the Code of Practices, and to receive certification. Those companies that pick to get accreditation for the Chain-of-Custody Standard have to undergo a different audit. Audits are based mostly on a review of the firm's created plans and documents, and sees to a "representative collection" of facilities.


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It is not an extensive examination regarding whether the business actually applies or follows by its plans throughout its operations. For instance, big companies might have procedures in multiple countries, and count on several vendors, but still may obtain RJC accreditation based upon sees to just a few facilities under its straight control without any type of examination of many others.


Although audits are intended to include inquiries on a broad series of human rights, auditors are not constantly qualified civils rights professionals. When the auditors finish their report, they just submit a summary report a fantastic read of the audit to the RJC, not the complete audit report, which is shared only with the firm




While labor abuses prevail in the field, artisanal mines provide revenue for countless workers and hundreds of mining areas. Person Rights Watch thinks that the fashion jewelry industry ought to make every effort to ensure that their initiatives to alleviate supply chain human rights threats do not lead them to just leave out all artisanal suppliers from their supply chains as the "course of the very least resistance." Rather, they ought to sustain efforts to formalize and professionalize artisanal mines and enhance working conditions.


The OECD Due Persistance Guidance recognizes this and is advertising cost-sharing within the sector. This way, all companies along the supply chain share the economic concern. A variety of initiatives have actually emerged that can aid jewelers map their gold and diamonds to mines of origin, and much more responsibly source from the artisanal sector.


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Concerning 600 adult miners have actually been registered at six mine sites; youngsters can not register. Qualification of details mines versus responsible sourcing requirements can offer jewelry experts with higher guarantee that the gold or diamonds they acquire from those mines are not tainted by human rights misuses. Nongovernmental organizations such as Solidaridad and effect can play a crucial function in sustaining mines to improve techniques so they have the ability to abide with the criterion; this might consist of actions to take on child labor, improve environmental conduct, accessibility finance, and develop straight contact with purchasers.


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Two standardscertify artisanal and small-scale gold mines that adapt to human civil liberties, labor rights, and environmental standardsthe Fairmined Criterion and the Fairtrade Gold Criterion (Herbelin Watches). Depending on the consumer's license with Fairmined, the gold might be totally deducible to the mine of origin, or might be blended with various other gold.




This amount is simply a tiny portion of the gold utilized each year by several of the firms analyzed in this report. Since early 2018, eight mines in 4 countries (Bolivia, Colombia, Mongolia, and Peru) were licensed, with an additional 20 mining organizations working in the direction of accreditation. The Fairmined Gold Criterion is currently developing a brand-new "market entrance" requirement that seeks to help artisanal golden goose in the procedure in the direction of complete qualification.


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It is administered under the umbrella of Fairtrade International, and allows jewelers to trace their gold back all the method to the mine of origin. Fairtrade's first certified mines were in Peru. Over the last few years, the Fairtrade Foundation, Solidaridad, and various other NGOs performed a program of training and support 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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