The Diamond Box for Dummies

The Diamond Box for Dummies

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The Ultimate Guide To The Diamond Box

According to an RJC auditor, suppliers only require to promise that they conduct strong human rights due diligence, yet do not give any type of proof for this. Neither does the Code of Practices call for jewelersor other downstream companiesto have traceability or chain of protection of their gold or diamonds. The Code of Practices is likewise weak in various other substantive locations, for example, on native individuals' rights and on resettlement.


As an example, in March 2017, the RJC had 342 participants who had not (yet) completed the audit procedure that certifies compliance with the Code of Practices. Furthermore, firms can join at any kind of degree of their operations. A tiny subsidiary workplace of a huge precious jewelry firm can use for RJC subscription, without consisting of the rest of the company's entities.


The Code of Practices does not require firms to openly report on the concrete actions they have taken to conduct due diligencea core requirement of the OECD Advice (Citizen Watches). Its coverage obligations are vague and do not mention due persistance or the demand for firms to report on the actions they have required to recognize, evaluate, and reduce threats in their supply chains

The Only Guide to The Diamond Box

A second RJC standard, the Chain-of-Custody Criterion, promotes traceability and is a lot more rigorous, yet adherence to it is optional for RJC members. By early 2018, just 48 of over 1,000 member business had actually certified entities under the criterion, consisting of 13 jewelers. The Chain-of-Custody Requirement calls for companies to establish docudrama evidence of service purchases along the supply chain and to confirm they are not triggering damaging impacts in conflict-affected and risky locations.


Instead, companies are enabled to choose some "entities" under their control for qualification, leaving other entities of a business uncertified. While this might enable companies to slowly switch to even more responsible sourcing practices, the present method additionally carries the danger that an entire company appreciates the reputational advantage when most of operations is not in conformity with the standard.


All RJC participant business have to undergo an audit to show that they are compliant with the Code of Practices, and to obtain certification. Those business that select to acquire certification for the Chain-of-Custody Criterion have to undergo a different audit. Audits are based primarily on an evaluation of the firm's written policies and documentation, and visits to a "representative set" of facilities.

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It is not a thorough evaluation about whether the firm really carries out or abides by its policies throughout its operations. Big business may have operations in multiple countries, and count on lots of distributors, however still may receive RJC certification based on visits to just a couple of facilities under its direct control without any kind of exam of lots of others.


Although audits are supposed to consist of concerns on a broad series of civils rights, auditors are not constantly certified human civil liberties specialists. When the auditors complete their record, they only submit a recap report of the audit to the RJC, not the complete audit report, which is shared just with the company




While labor abuses prevail in the sector, artisanal mines give income for countless employees and thousands of mining areas. Human Legal right Watch thinks that the jewelry market need to strive to make sure that their initiatives to mitigate supply chain civils rights threats do not lead them to merely exclude all artisanal vendors from their supply chains as the "course of least resistance." Instead, they must sustain efforts to formalize and professionalize artisanal mines and enhance working conditions.


The OECD Fee Persistance Advice recognizes this and is promoting cost-sharing within the sector. By doing this, all companies along the supply chain share the financial problem. A variety of campaigns have actually arised that can help jewelers trace their gold and diamonds to mines of origin, and a lot more sensibly resource from the artisanal sector.

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Regarding 600 grown-up miners have actually been registered at six mine sites; kids can not sign up. Certification of certain mines versus responsible sourcing standards can supply jewelry experts with better guarantee that the gold or rubies they buy from those mines are not polluted by civils rights abuses. Nongovernmental organizations such as Solidaridad and IMPACT can play an essential function in supporting mines to enhance methods so they have the ability to abide with the criterion; this might include steps to tackle kid labor, enhance ecological conduct, accessibility money, and establish direct contact with purchasers.


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2 standardscertify artisanal and small gold mines that adjust to human rights, labor rights, and environmental standardsthe Fairmined Requirement and the Fairtrade Gold Requirement (Seiko Watches). Depending on the consumer's certificate with Fairmined, the gold might be completely deducible to the mine of origin, or may be mixed with other gold.




This amount is simply a tiny portion of the gold made use of yearly by numerous of the firms examined in this record. Since very early 2018, eight mines in four nations (Bolivia, Colombia, Mongolia, and Peru) were licensed, with an added 20 mining organizations working towards certification. The Fairmined Gold Criterion is presently establishing a new "market access" criterion that looks for to assist artisanal gold mines in the visit this page procedure in the direction of full certification.

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It is carried out under the umbrella of Fairtrade International, and permits jewelry experts to trace their gold back completely to the mine of origin. Fairtrade's first qualified mines remained in Peru. Over the last few years, the Fairtrade Foundation, Solidaridad, and various other NGOs performed a program of training and assistance to artisanal and small gold miners in Africa, and in early 2017, certified an artisanal gold mine in Uganda.

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