Russian diamonds banned worldwide

by Tamanna Bhasin | October 30, 2023 3:01 pm

 

_{Photo courtesy REUTERS} 

After months spent debating the global trade of Russian diamonds, the G7 countries (Canada, Germany, France, Italy, Japan, USA, and UK) have come to an agreement. As part of the sanctions imposed against Russia for its invasion of Ukraine in February 2022, the G7 will be implementing a ban against the import of Russian diamonds.

Contributing to 30 per cent of total global production, Russia is the largest producer of rough diamonds in the world. Further, Russian imports to the G7 nations totals to 70 per cent of the global diamond market. Considering the widespread nature of the Russian diamond trade, the ban is set to change the face of the international diamond market.  

While Belgium had previously been unwilling to participate in the ban, deterred by the potential risk the embargo would pose to trade with Dubai, the country has since created its own proposal against Russian diamonds. Belgium’s plans include a diamond tracking system similar to the international SWIFT system used by banks. Such tracking would ensure that Russian diamonds can be monitored, preventing their entrance to global markets.

Under the new ban, both direct and indirect imports of Russian diamonds will be embargoed. Prior to the G7 decision, certain countries—including Canada, New Zealand, UK, and USA—had prohibited the import of Russian rough diamonds.

Source URL: https://www.jewellerybusiness.com/news/russian-diamonds-banned-worldwide/

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