Day 1 of WDC Annual Meeting

Opening session of WDC annual meeting, in Catania, Sicily

Following the opening speech by Catania Province president, Raffaele Lombardo, who welcomed attendants to Catania and invited delegates to do business in Sicily, WDC chair Eli Izhakoff reported on WDC's activities in the past year.

The organization responsible for overseeing the Kimberley Process Certification Scheme (KPCS) ensured governments did not sway from enforcing and complying with the scheme, Izhakoff said. "We have a good relationship with the NGOs," he added, "And even though at times we disagree, we hear what they have to say and at times accept their criticism."

A movie staring Leonardo DiCapprio started filming this month, its backdrop is the actions of rebels in Sierra Leone. "We understand that it will depict the situation as it was in 2000 [before KP was established] and will show scenes from the pre 2000 era. We are concerned by that and want to ensure that consumers do not get the impression that this is what is going on today," said Izahkoff.

A letter about this issue, co-signed by Izhakoff and KP chair Kago G. Moshashane, which the NGOs have not signed, has been sent. "I hope [WDC member and NGO campaigner] Ian Smillie does sign it," Izhakoff added.

During his keynote address, KP chair Moshashane gave an overview of the strides the industry has made in developing the scheme. He also encouraged the industry to not rest on its laurels because of the scaling down in African conflicts.

Moshashane told the audience, "Kimberley Process and its industry counterpart, the World Diamond Council, should consolidate their achievements to date, progress several items of unfinished business, take stock, and move on to a new phase of effectiveness."

Following on from Moshashane, the World Federation of Diamond Bourses (WFDB) president Shmuel Schnitzer, said that the WFDB Mark, which will be launched in June, will serve as a sign of assurance. "Full commitment to the KP will be necessary to ensure its quality and only members that meet the strict adherence will be allowed to use the WFDB mark."

"We all want to make a living – but not at any price," Schnitzer concluded, "We assure that all the bourses will continue to comply and cooperate with the KP."

Jeffery Fischer, president of the International Diamond Manufacturers Association (IDMA), reminded the delegates of the situation in Liberia and the Ivory Coast. Adding that a checklist has been circulated by IDMA among members as part of its efforts in ensuring KP compliance, he said that IDMA is pleased it had the checklist approved by KP.

"Compliance is overwhelmingly the norm," he stated, adding that the industry has built and accomplished much together. "It's clear that through cooperation we can achieve much and other industries can learn from this."

World Jewellery Confederation (CIBJO) president and meeting host, Dr. Gaetano Cavalieri said that thanks to the work of the WDC, WFDB and IDMA "we did something very important".

After the planed statements, delegates were invited to speak. GIA Chairman Ralph Destino took the opportunity and said the organization had had a mixed year.

Things went well in 2005 at the college, instrument and research sides of the GIA. As for the lab, he said, one million stones were graded but, following the lawsuits brought against the organization, it found itself conducting an internal investigation. Over 10,000 certificates were scrutinized, several "rogue" employees were terminated, names of clients involved in the scandal were turned over to the authorities, management has changed, and procedures have been changed.

"Trust and integrity are the two legs GIA was founded on. Consumer confidence has to be ensured and we are making strides on that front," he concluded.

De Beers' Rory More O'Farrell said that their Valentine’s survey indicates that the industry is failing to get out the word that a chain of warranties is in place and more efforts need to be made.

Returning to the subject of conflict diamonds, Martin Rapaport said that the major issue facing the industry, especially with the up-coming movie, is what the industry should do about "Development Diamonds." Rapaport added that the KP should decide if this is something it needs to deal with.