Friday, 4 January 2013

Sell Diamonds

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Angola, a colony of Portugal, gained independence on November 11, 1975. Although independent, the Popular Movement for the Liberation of Angola (MPLA), the National Union for the Total Independence of Angola (UNITA), and the National Liberation Front of Angola (FNLA) fought in a civil war from 1974 to 2001. Between 1992 and 1998, in violation of the 1991 Bicesse Accords, UNITA sold diamonds, valued at US$3.72 billion,[3] to finance its war with the government.[4] The UN recognized the role that diamonds played in funding the UNITA rebels and in 1998 passed United Nations Security Council Resolution 1173 and United Nations Security Council Resolution 1176, banning the purchase of Blood diamonds from Angola.[4][5][5] Resolution 1173 was the first resolution by the UN which specifically mentioned diamonds in the context of funding a war. Reports estimated that as much as 20% of the total production in the 1980s was being sold for illegal purposes and 19% was specifically conflict in nature.[6] By 1999, the illegal diamond trade was estimated by the World Diamond Council to have been reduced to 3.06% of the world's diamond production.[7][8] The World Diamond Council reported that by 2004 this percentage had fallen to approximately 1%, where it has remained.

Despite the UN Resolution, UNITA was able to continue to sell or trade some diamonds in order to finance its war effort. The UN set out to find how this remaining illicit trade was being conducted and appointed Canadian ambassador Robert Fowler to investigate. In 2000, he produced the Fowler Report, which named those countries, organizations and individuals involved in the trade. The report is credited with establishing the link between diamonds and third world conflicts,[10] and led directly to United Nations Security Council Resolution 1295, as well as the Kimberley Process Certification Scheme.
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