Leviev Calls to Subsidize Rough Diamond Supplies in Africa

Israeli diamantaire Lev Leviev has called on diamond producing countries in Africa to support local polishing efforts by subsidizing the cost of rough diamonds. Leviev spoke Thursday at the 7th Annual Meeting of the World Diamond Council (WDC) in St. Petersburg, Russia.

Leviev said that the polishing facilities that were established in Namibia, South African and Botswana provide workplaces, pay taxes and add value to locally minded diamonds, however they are competing for rough supplies with “uncontrolled” of manufacturers in low-wage countries.

He warned that if the producing countries won’t understand the “trend,” the polishing facilities will close one after another.

Most of the facilities Leviev mentioned were established as part of local beneficiation efforts in those countries. Most of their supplies are from De Beers. Leviev has polishing plants in southern Africa, as well as mining operations in Namibia and Angola.

Leviev called on the producing countries to apply self beneficiation in practice and sell the goods to the polishing plants at a discount.

Referring to the Kimberley Process, Leviev said the only way to fight illegal mining and trading in diamonds is by giving large companies the concessions for alluvial mining areas.

“The citizens of Africa don’t have to suffer because diamond sparkle,” he said. “We must use diamonds to make the words of Isaiah a reality: ’they will beat their swords into plowshares and their spears into pruning hooks. Nation will not take up sword against nation, nor will they train for war anymore.”