Rough Diamond Essay

The process of producing the diamonds so they could be sold on the market involved many steps which were illustrated in the movie, Blood Diamond. Smugglers like Archer would supply the RUF with guns. The guns would be used by the RUF to intimidate the people of Sierra Leone into working as laborers for them, we see this with Solomon and his son. These men would be forced to dig in the water mines for hours a day searching for diamonds of all sizes. Then the diamonds are mixed with other diamonds all around the world, mixing the illegal ones with the legal ones; this was explained in the movie by Archer to Maggie. When the diamonds are mixed in with the others, no one can determine for certainty where each originated from. It is then distributed to nations where they are made into necklaces and bracelets, and no questions are asked.

The distribution and production of diamonds is largely controlled by a few key players, the main one being Antwerp. Antwerp is where 80 percent of all rough diamonds, 50 percent of all cut diamonds, and 50 percent of all rough, cut and industrial diamonds are controlled. In New York almost 80 percent of the world diamonds are sold. De Beers is the world’s largest diamond miner and holds a governing position in the industry, and has done so since it was founded in 1888. De Beers owns or operates a large portion of the world’s rough diamond production mines and distribution networks. The DTC or Diamond Trading Company is a subsidiary of De Beers and markets diamonds from De Beers run mines. After being mined the diamonds are then sent to be cut and polished. The polishing and cutting of diamonds is a specific skill that is done in a limited number of locations worldwide. Original diamond cutting centers are Amsterdam, Antwerp, Johannesburg, New York, and Tel Aviv. More recently, due to the lower labor cost, diamond cutting centers have opened in China, India, Namibia, and Botswana. Diamonds which have been prepared as gemstones, such as the ones you would see in most engagement rings, are sold on diamond exchanges called bourses. “There are 28 registered diamond bourses in the world” (Linetskaya,Yelena. “Big Apple Secrets”).

Adding to that, diamond mining produces many jobs and economic growth (Diamond Facts website, 2016). Globally, ten million people are employed due to the diamond industry (Diamond Facts website, 2016). Most diamonds come from less developed countries (Diamond Facts website, 2016). These countries use the revenue produced by diamond mining to better their country (Diamond Facts website, 2016). Much of the revenue goes to building infrastructure like hospitals, schools, roads, and clean water systems (Diamond Facts website, 2016). The diamond trade produces eight point four billion dollars to Africa (Diamond Facts website, 2016). Countries within Africa such as Botswana and Namibia have evidenced that profits from diamonds aid less developed countries have substantial benefits like economic growth and stability (Diamond Facts website, 2016). Profits from mining diamonds has shown to play an important role in turning war-torn countries into economically stable places (Diamond Facts website, 2016). Botswana has one of the fastest growing economies in the world, chiefly due to the diamond industry (Diamond Facts website, 2016). Without diamond mining, Botswana would lose three billion dollars in profits per year (Diamond Facts website, 2016). The result would be devastating to

Have you ever glanced at your ring finger and admired the beautiful diamond on it? Now have you ever wondered where that diamond came from or how many lives were affected just to get it? Those are the questions you should ask yourself the next time you visit your local jewelry store for a visit. People worldwide should make an effort to stop buying conflict diamonds. They are funding wars in Africa everyday. Workers working in the mining business are in a danger zone. Innocent men, women, and children are getting caught in between the conflict and are being forced to work. If people would stop buying conflict diamonds from conflict areas, Africa would be a better and more productive place.

Sierra Leone is one of the poorest nations on earth second to last on the United Nations human development index. The first mine was established in the town of Kimberley by two farmers; the De Beers Brothers. (BloodDiamondsDocumentary) The De Beers sold diamonds at least ten times per year in London’s open market and controlled at least 90% of the world’s diamond production bringing in billions of dollars per year. The average person brings in about $220 per year income yet the nation remains rich in natural resources. (BloodDiamondsDocumentary) Places like Botswana, South Africa, Canada, and Russia are the largest diamond producing nations in the world with more than 20 tons produced per year and a revenue that equates to about 60 billion dollars per year with half of the merchandise being sold right here in the United States.

A diamond is the hardest natural substance on Earth and is made of pure carbon(Rossi 1). Diamonds are formed in extreme heat, usually reaching around 2,200 degrees fahrenheit, meaning that they come from the world’s warmest countries. These countries that many of the world's diamonds are mined in include Russia, South America, or Africa(Bindenagel 2). Diamonds can be used used as a gift to a loved one, a parent , or a child, but many do not know the history of where these diamonds are coming from. A conflict diamond also known as a blood diamond, is a diamond that is mined from slavery and is sold to finance wars, rebels or a warlord (Calderwood 2). Conflict diamonds were first introduced to the world in 1935 when the De Beers,the leading

The former Soviet Union was the 3rd largest diamond producer in the world and had traditionally sold most diamonds to DeBeers since the 1950s. Following the discovery of over 500 kimberlite pipes in the region, De Beers’ Central Selling Organization (CSO) struck a deal with Larose, the Russian central government’s joint-venture with the Sakha Republic. At the time, the region produced approximately 98% of the then-USSR’s diamonds (PR Bain Report: The Global Diamond Industry, 2011).

In a lot of jewelry commercials, the main point is “he went to ‘name of store’” with the ring being a diamond one. A popular way of selling an engagement ring by telling the consumer where they should buy their engagement ring. The engagement ring, specifically ones with diamonds, is an interesting concept that is known as a widespread tradition. One compelling notion is that a person has to spend three months’ salary to buy one is also compelling. Some people would say that to be truly considered engaged you would need to have a diamond. They also believe that diamonds are forever. The concept is that diamonds are worth a lot more than other precious stone like emeralds and sapphires or semiprecious stone like ambers and pearls. The price of diamonds is very high, and it can be higher depending on the company and quality of cut. A lot people are worried that a lot of diamonds used for the rings may be blood diamonds, also known as war’s diamond, which are diamonds that have been mined during war, so some claims that their diamond came from another source such as a lab. The idea that diamonds are worth a lot of money is highly debatable because of how they are processed. Are diamonds even worth the cost?

For many people over generations the diamond has been a symbol of power, beauty, luxury, uniqueness, and everlasting pure love. For others the diamond has been a symbol of conflict, death, exploitation, misery, and blood shade. All the glamour and beauty attributed to diamonds might be blinding us to the impacts of its operations in Africa. In this paper we will go through a research journey to find out more about the positive and negative impacts of diamond mining in Africa and the diamond industry. Also, this research paper will highlight

This essay discusses the statement “the price of diamonds is too high”; it will analyze the diamond cartel and its history in order to determine the validity of this statement. Various microeconomic theories will be discussed and explained, all of which are involved in the diamond cartel. The Oxford Dictionary defines a cartel as “an association of manufacturers or suppliers with the purpose of maintaining prices at a high level and restricting competition” [Oxford Dictionaries; unknown]. Therefore, the diamond cartel consists of a group of manufacturers/suppliers of diamonds who come together in order to restrict supply and as a result increase the price of diamonds. This essay will focus, mainly; on

Diamonds have become the ultimate symbol of luxury and money and are highly valued throughout the world today. However, in the spectrum of time diamonds have served a variety of other purposes. Diamonds were formed 3.3 billion years ago by extreme heat and pressure within the earth and are formed entirely out of carbon, making it the hardest natural surface known to man (debeers.com). Archaeologists believe that early humans actually used diamonds as spear heads and other tools. However, over time diamonds have become a luxury good, connected with much prestige. The high status of diamonds helped create the diamond rush that would forever alter the fate of South Africa.

De Beers Diamond Company is an industry that currently produces $13 billion worth of rough diamonds each year, leading to the employment of 10 million people globally from mining to retailing. 70% of rough diamonds are sold for industrial purposes with the remaining 30% “gem quality” being distributed to experts for cutting, polishing and jewelry manufacturing (Stein, 2001). The global jewelry market has increased three-fold in the last 25 years and is currently worth $72 billion each year. Jewelry diamonds

The Kimberley Process Certification Scheme, popularly known as KPCS, is a practice formed to validate the derivation of rough diamonds from resources which are free from conflict fueled by diamond fabrication. This procedure was launched in 2003 to avert diamond sales from financing mutinous engagements. The certification scheme’s goal is to stop these “blood diamonds” from entering the conventional rough diamond market. It was designed to reassure consumers that by purchasing diamonds, they were not contributing to war and the violation of human rights.

Situation: DeBeers Consolidated Mines Limited (DBCM) occupies a major presence in the diamond industry. Discoveries of diamonds in the late 1800s were pioneered in South Africa, in which DeBeers held a heavy monopoly over. Since then, they have cultivated an impressive track record and leadership position. The Central Selling Organization (CSO) controls and regulates the flow and sale of rough diamonds, and was acquired by DeBeers in the 1930s. Due to a stable economy both locally and internationally, DBCM was the world’s largest producer and distributor of diamonds in late 1998. However, just before the turn of the century, globalization and developments in international

I have chosen to focus on and analyze one pattern of the Diamond Trade at a global scale. The pattern illustrates that the Diamond Trade exists on a global scale. I have used examples and specific evidence from different regions and nations across different hemispheres to highlight this Global pattern. 

There are five different processes of the Diamond Industry. Exploration, mining, selling rough diamonds, cutting and polishing and selling on world markets. Each process happens in different location from the previous process. Producing a diamond with these different processes and locations causes one big spacial pattern. 

Exploration is a very early process of the Diamond Trade. Exploration is testing certain areas to determine the