Angola’s KP Implementation Doesn’t Make the Cut, PAC Reports

Progress in Angola’s diamond sector after five years of peace has, by some measures, been extraordinary, Partnership Africa Canada (PAC) found, but this has meant few tangible positive results for ordinary people.

According to PAC’s 2007 edition of its Angolan Diamond Industry Annual Review, since a 2002 ceasefire was signed, ending decades of civil war, diamond production has nearly doubled – from 5 million carats in 2002 to 9.5 million in 2006.

Gross revenue from diamond sales has effectively doubled, while the annual diamond contribution to government coffers has more than tripled, from $45 million to $165 million over that same five-year period.

The report is not all praise for Angola’s progress, however; it also details the dismal results achieved for ordinary people living in Angola’s diamond mining areas. The situation is even worse for those who work as artisanal miners.

The Annual Review examines the impact of the diamond industry on local people living in mining areas and shows that in areas such as Lunda Norte and Lunda Sul, there is a scarcity of schools, treated drinking water, maintained roads and public investment.

PAC calls the implementation of the Kimberley Process diamond certification process in the country, ”a misguided attempt to criminalize artisanal diamond diggers on the one hand, and a slipshod, half-hearted chain of warranties system on the other.”

All of this, the PAC report claims, means that Angola’s application of KP regulations in the crucial informal sector is failing to meet international standards.

The report also describes how large percentages of joint venture projects are given to political friends and insiders, most of whom contribute little to the success of the operations.

“The money these companies and individuals receive effectively robs the people of Angola of funds that could have been used for development,” says Ian Smillie, PAC’s research coordinator.