Understanding the Kimberley Process: Combating Conflict Diamonds Worldwide

What is the Kimberley Process and How Does it Work?

The Kimberley Process Certification Scheme (KPCS) emerged in 2003 as a groundbreaking international initiative to prevent "conflict diamonds" from entering the legitimate diamond trade. Following devastating civil wars in Sierra Leone, Angola, and Liberia—where diamond sales funded brutal conflicts—the international community recognized the urgent need for regulation. The scheme was named after Kimberley, South Africa, where the initial discussions took place in May 2000.

Origins and Initial Purpose

The Kimberley Process was formally established through United Nations Security Council Resolution 1459 in January 2003. This resolution came after years of mounting evidence that diamond revenues were funding armed conflicts responsible for the deaths of millions of civilians. The devastation in Sierra Leone (1991-2002), where rebel forces notoriously amputated civilians' limbs, became the catalyst for international action. Global civil society campaigns, including Global Witness's "A Rough Trade" report in 1998, created the public pressure necessary for government action.

"The launch of the Kimberley Process represented an unprecedented collaboration between governments, industry, and civil society to address a specific human rights challenge tied to a luxury product," notes the United Nations' 20th anniversary report on the KPCS.

Current Operational Framework

The Kimberley Process operates through a certification system requiring member countries to certify that diamond shipments are "conflict-free." With 85 participating countries representing 99.8% of global diamond production, the process involves a comprehensive framework:

• Tamper-resistant containers for rough diamond shipments using ISO-compliant sealing systems
• Government-issued certificates with unique identifying numbers and security features
• Detailed record-keeping requirements for all diamond transfers across borders
• Regular peer review mechanisms with mandatory triennial reviews of member states
• Annual reporting requirements for all participating countries, including production and trade statistics

This system creates a chain of custody designed to prevent conflict diamonds from entering the legitimate supply chain. Each participating country must establish national legislation and institutions to implement these controls effectively.

Key Stakeholders and Governance Structure

The Kimberley Process functions through a tripartite structure involving:

• Government representatives: Implementing import/export controls and certification systems across 85 member nations
• Diamond industry: Represented by the World Diamond Council (WDC), ensuring industry compliance through a System of Warranties
• Civil society organizations: Monitoring implementation and advocating for improvements, including groups like Global Witness and Impact

This multi-stakeholder approach creates a system of checks and balances, though decision-making requires full consensus among participating countries. As WDC President Feriel Zerouki noted in May 2025, "Consensus building does not happen through silence, but through courageous, active participation." This consensus requirement has sometimes limited reform efforts, creating tension between maintaining broad participation and advancing stronger standards.

The governance structure includes rotating annual chairmanship, with the United Arab Emirates holding the chair in 2025. Working groups focus on specific issues like monitoring, statistics, and technical challenges. This structure has evolved over time but maintains the foundational principle of shared responsibility across sectors.

Why is the Kimberley Process Definition of Conflict Diamonds Controversial?

Current Definition Limitations

The original Kimberley Process definition of conflict diamonds—"rough diamonds used by rebel movements to finance conflicts aimed at undermining legitimate governments"—has been increasingly criticized for its narrow scope. This definition, formulated in the early 2000s, focused exclusively on specific scenarios:

• Diamonds funding rebel movements against recognized governments
• Rough diamonds only (not polished stones)
• State actors' actions being excluded from scrutiny
• Conflicts specifically aimed at overthrowing governments

This limited definition creates significant blind spots in the regulatory framework. As the 2016 Human Rights Watch report on Zimbabwe's Marange Fields demonstrated, government forces themselves can commit serious human rights abuses in diamond-producing regions while remaining technically compliant with the Kimberley Process.

"The current definition is a relic of a specific historical moment," explains Dr. Claude Kabemba, Director of the Southern Africa Resource Watch. "It addressed the civil wars of the 1990s but fails to account for how diamond-related violence has evolved in the decades since."

Calls for Expanded Definition

Civil society organizations, industry leaders, and many member countries have advocated for broadening the definition to include:

• Human rights abuses committed by government forces and security personnel
• Systemic violence against civilian populations in mining regions
• Environmental destruction and water contamination from diamond mining
• Labor rights violations, including child labor and hazardous working conditions
• Broader forms of conflict not limited to rebel movements against governments

The African Diamond Producers Association, representing 15 diamond-producing nations, has taken a leading role in proposing language that expands the definition while respecting sovereignty concerns. Their 2025 working paper states: "Diamond-related violence by any armed actors, whether state or non-state, falls within the scope of conflict that consumers rightly reject."

Impact on Consumer Confidence

The limited definition has created challenges for consumer confidence in the diamond industry:

• 78% of consumers in a 2023 Jewelers of America survey expressed concern about ethical sourcing in their diamond purchases
• Millennial and Gen Z buyers increasingly demand comprehensive ethical guarantees beyond conflict-free status
• Alternative certification schemes have emerged to fill perceived gaps in the Kimberley Process
• Luxury brands face mounting pressure to provide traceability beyond Kimberley Process certification

The Responsible Jewellery Council's 2024 Consumer Insights Report found that 64% of consumers under 35 would pay a premium of 15-20% for diamonds with verified ethical sourcing beyond basic Kimberley Process compliance. This shift in consumer expectations has pushed the industry toward supplementary standards and traceability initiatives that address the perceived limitations of the current definition.

What Progress Has Been Made Toward Redefining Conflict Diamonds?

Recent Breakthrough Developments

The May 2025 Intersessional meeting in Dubai marked a significant turning point in efforts to expand the definition of conflict diamonds. After years of deadlock, several key developments occurred:

• The African Diamond Producers Association, representing 15 member countries, proposed new language that brought diverse stakeholders back to the negotiating table
• UAE KP Chair Ahmed Bin Sulayem facilitated productive dialogue among previously divided parties
• A consensus-building approach replaced years of entrenched positions
• The World Diamond Council praised the "open and productive dialogue" as a breakthrough moment

The proposed language expands the definition to include "diamonds that finance or are linked to violence perpetrated by any armed groups, including those that involve serious human rights abuses." This formulation represents a middle ground between those seeking comprehensive human rights coverage and those concerned about sovereignty implications.

"This is the first time in over a decade that all parties have agreed to substantively discuss definitional reform," noted Shamiso Mtisi of the KP Civil Society Coalition. "The willingness of producer countries to lead this effort represents a paradigm shift in the process."

African Leadership in Reform Efforts

African diamond-producing nations have taken a central role in pushing for definition reform:

• Their proposed language addresses broader human rights concerns while respecting sovereignty
• The initiative demonstrates producer countries' commitment to sustainable mining practices
• This leadership challenges perceptions that producer nations resist stronger regulations
• The approach balances economic development needs with ethical considerations

The African Diamond Producers Association's working paper acknowledges that "consumer confidence in diamonds is inseparable from their ethical origins, making definitional reform an economic imperative as well as a moral one." This perspective recognizes that maintaining market access for African diamonds requires addressing evolving consumer expectations around ethics and sustainability.

Botswana, the world's largest diamond producer by value, has played a particularly influential role. As Botswana's Minister of Minerals and Energy stated at the Dubai meeting: "Our economic future depends on diamonds being synonymous with positive development, not with any form of violence or exploitation."

Timeline for Implementation

While significant progress has been made, several steps remain before a new definition becomes operational:

• Final language must be approved at the upcoming November 2025 Plenary meeting in Gaborone, Botswana
• Implementation guidelines will need development by a technical working group
• National legislation may require updates in member countries to reflect the expanded definition
• Industry compliance systems will need adaptation to address new criteria
• Monitoring mechanisms will require adjustment to address new criteria

The KP Secretariat has established a dedicated Reform Implementation Committee to develop a roadmap for the transition. This committee includes representatives from each stakeholder group and will focus on practical challenges like developing assessment methodologies for human rights compliance.

Industry experts anticipate full implementation could take 18-24 months following formal adoption, with a phased approach beginning with pilot monitoring in volunteer countries during 2026.

How Effective Has the Kimberley Process Been in Reducing Conflict Diamonds?

Quantifiable Impact Since Implementation

The Kimberley Process has achieved measurable success in its original mission:

• Conflict diamonds decreased from an estimated 15% of global trade in the late 1990s to less than 1% today, according to the KP Annual Global Summary of 2024
• Diamond revenues contributing to legitimate economic development in producer countries increased by 62% between 2003 and 2024
• Formal diamond sector employment in African producing countries grew by approximately 1.7 million jobs
• International diamond trade value stabilized, growing from $13.1 billion in 2003 to approximately $22.8 billion in 2024

These statistics reflect significant progress in addressing the specific problem of rebel movements using diamonds to fund civil wars. The virtual elimination of diamonds funding civil conflicts like those in Sierra Leone and Angola represents a remarkable achievement in international cooperation.

A 2023 World Bank development report noted: "The Kimberley Process stands as one of the most successful commodity-specific governance mechanisms, demonstrating that targeted intervention can transform a sector previously plagued by violence."

Limitations and Criticisms

Despite these achievements, the Kimberley Process faces significant criticisms:

• Enforcement remains inconsistent across participating countries, with capacity gaps in some regions
• Smuggling and certificate fraud continue to challenge the system, particularly in border regions with limited monitoring
• The consensus-based decision-making process can stall reforms when even a single country objects
• Limited resources for monitoring in many producing countries hamper effective implementation
• Traceability gaps between rough and polished diamonds create vulnerabilities in the system

Global Witness, one of the original civil society organizations involved in the KP, withdrew from the process in 2011 citing these limitations. Their 2021 follow-up report, "A Fragmented Process," documented continued challenges in enforcement and noted that "the KP has failed to evolve with changing patterns of diamond-related violence."

Case Studies: Success Stories and Failures

The Kimberley Process's impact varies significantly by region:

Sierra Leone

• Before KP: Diamond revenues fueled brutal civil war (1991-2002) with an estimated 75,000 deaths
• After KP: Legal exports grew from $26 million in 2003 to $158 million in 2024
• Community development: Mining revenues now fund schools and healthcare facilities in former conflict zones

The Diamond Area Community Development Fund, established in 2005, has directed 0.75% of export revenues to communities affected by mining. This has funded 121 schools, 84 health clinics, and infrastructure projects in diamond-producing regions according to Sierra Leone's 2024 development report.

Zimbabwe's Marange Fields

• Despite KP certification, human rights abuses were documented between 2008-2016
• Military control of mining areas highlighted definition limitations
• Demonstrated the need for expanded conflict definition beyond rebel movements

Human Rights Watch's 2016 report documented systematic abuses by government security forces in diamond-producing regions that remained technically compliant with the KP definition. This case demonstrated the limitations of focusing exclusively on rebel movements while excluding state actors from scrutiny.

How Does the Kimberley Process Affect the Global Diamond Supply Chain?

Compliance Requirements for Industry Participants

The Kimberley Process creates specific obligations throughout the supply chain:

• Mining companies must document origin with detailed production records and implement chain of custody procedures from mine to export
• Rough diamond traders must maintain transaction records for five years, verify legitimate import documentation, and issue warranties to buyers
• Cutting and polishing centers must verify KP certificates for all incoming rough diamonds and maintain segregation of compliant materials
• Jewelry manufacturers must ensure suppliers comply with KP requirements through supplier codes of conduct
• Retailers must provide written assurances to consumers regarding diamond sourcing

The World Diamond Council's System of Warranties extends Kimberley Process compliance through the supply chain beyond the point where government certification ends (at import of rough diamonds). This industry-led program requires warranty declarations on all invoices for diamonds, stating that the seller guarantees the diamonds are conflict-free "based on personal knowledge and/or written guarantees provided by the supplier."

"The KP created unprecedented documentation requirements for an industry that historically operated on handshakes and verbal agreements," explains diamond industry analyst Edahn Golan. "This transformation toward transparency represents a fundamental shift in how the trade functions."

Economic Impact on Producer Countries

The regulatory framework has transformed diamond economies:

• Formalization of previously informal mining sectors, bringing artisanal miners into legal frameworks
• Increased tax revenues from legitimate diamond exports, with Angola reporting a 43% increase in diamond-related tax collection between 2005-2023
• Access to international markets and finance for compliant producers previously excluded
• Development of value-added industries in some producer countries, with Botswana, Namibia, and South Africa establishing cutting and polishing operations
• Creation of regulatory infrastructure and governance systems with spillover benefits for other sectors

A 2024 report by the Natural Resource Governance Institute found that KP-compliant countries experienced a 37% average increase in foreign direct investment in their mining sectors compared to non-compliant regions, demonstrating the economic benefits of meeting international standards.

Integration with Other Responsible Sourcing Initiatives

The Kimberley Process increasingly operates alongside complementary programs:

• Responsible Jewellery Council certification, which addresses broader environmental and social standards
• Natural Diamond Council's Sustainability Framework, focusing on environmental management and community development
• Blockchain-based traceability initiatives like Tracr and Everledger, providing digital tracking from mine to market
• UN Guiding Principles on Business and Human Rights implementation through corporate due diligence
• OECD Due Diligence Guidance for Responsible Supply Chains of minerals from conflict-affected and high-risk areas

The diamond industry has moved toward an integrated approach where the Kimberley Process provides the regulatory foundation, while voluntary initiatives address gaps and emerging concerns. As a De Beers representative noted in their 2024 sustainability report: "The KP established the baseline, but responsible business requires going beyond compliance to address the full spectrum of sustainability challenges."

What Are the Next Steps for the Kimberley Process?

Potential New Definition Parameters

The expanded definition under discussion likely includes:

• Violence perpetrated by any armed groups, not just rebels against governments
• Human rights abuses directly connected to diamond production and trading
• Systematic labor rights violations, including forced labor and dangerous conditions
• Environmental destruction and community displacement from mining operations
• Corruption and illicit financial flows that undermine governance of the sector

The African Diamond Producers Association's proposal specifically references "violence and serious human rights abuses in the context of diamond mining, trading, and processing." This language represents a significant expansion without creating an open-ended human rights mandate that could be politically unviable in the consensus-based system.

"The focus on violence as the connecting thread between the original and expanded definition creates conceptual continuity while addressing clear gaps," explains Dr. Virginia Haufler, Professor of Government and Politics at the University of Maryland and expert on global governance initiatives.

Implementation Challenges

Adopting a broader definition will require addressing several practical challenges:

• Developing clear assessment criteria for new categories of violations, balancing rigor with practicality
• Building monitoring capacity in producing countries, with current KP monitoring budgets averaging just $240,000 annually per participating country
• Creating remediation processes for identified issues, including technical assistance programs
• Balancing stringent requirements with economic development needs of producer communities
• Maintaining international consensus amid competing interests and sovereignty concerns

The World Bank's 2024 report on extractive sector governance estimated that effective implementation of an expanded definition would require a 35-40% increase in monitoring resources for the average diamond-producing country. This raises questions about funding mechanisms and technical assistance for capacity-constrained nations.

Future Technological Innovations

Emerging technologies offer potential solutions to current limitations:

• Blockchain-based traceability from mine to market, creating immutable records of diamond movement
• Artificial intelligence for identifying diamond origin, using physical characteristics to verify sourcing claims
• Satellite monitoring of mining areas for environmental compliance and detection of unauthorized operations
• Digital certification systems to prevent document fraud and streamline verification processes
• Automated due diligence and risk assessment tools using big data analytics

Tracr, the blockchain platform initiated by De Beers, had tracked over 400,000 diamonds by early 2025, demonstrating the feasibility of digital traceability. The platform creates a digital twin for each diamond with secure, immutable records of its journey through the supply chain.

"Technology alone can't solve governance challenges, but it can dramatically increase transparency and accountability," notes Leanne Kemp, founder of blockchain traceability company Everledger. "The next phase of the KP will likely incorporate these tools to strengthen the existing framework."

Industry experts anticipate significant [technology in mining operations](https://discoveryalert.com.au/news/ai-transforming

Want to Learn About Major Discovery Opportunities on the ASX?

Discover significant ASX mineral discoveries as they happen with Discovery Alert's proprietary Discovery IQ model, which transforms complex data into actionable investment insights. Explore historic returns of major mineral discoveries and get ahead of the market by visiting Discovery Alert's discoveries page.