SpecialForum-DiamondTerminologySANJAYSHAH,CONVENORDIAMONDPANEL,GJEPC

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CIBJOPerspective

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AboutCIBJO

TheWorldJewelleryConfederation,representstheinterestsofallindividuals,organisations andcompaniesearningtheirlivelihoodsfromjewellery,gemstonesandpreciousmetals

Membershipmadeuplargelybynationaljewellerytradeorganizationsfrommorethan40countriesaroundtheworld

TheharmonisationofindustrystandardshasbeenacriticalelementofCIBJO’smission

DevelopedtheBlueBooksystem,whichisadefinitivesetofstandardsforthegrading,methodologyandnomenclatureofdiamonds,colouredgemstones,pearlsandotherorganicmaterials,preciousmetalsandgemmologicallaboratories

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CIBJODefinitionsNATURALDIAMOND

CLAUSE 3.1.1

A diamond is a mineral which has been formedcompletely by nature without human interferenceduring its formation. A diamond may subsequentlybe modified by normal lapidary practices.

CLAUSE 4.2.1

A diamond can also be called a natural diamond.The adjectives “real”, “precious”, “genuine” or“natural” shall only be used to refer to or designatenatural materials.

SYNTHETICDIAMOND

CLAUSE 3.2.1

Artificial products having essentially the samechemical composition, physical properties andstructure as a diamond.

CLAUSE 4.3.1.1

Only the term “synthetic”, “laboratory-created” or“laboratory-grown” shall be used to describesynthetic diamonds. These terms shall not beabbreviated, e.g. “synth. diamond”, “lab-growndiamond” or “lab-created diamond” and shall beequally as conspicuous and immediately precedethe word “diamond”.

AlignedwithISO18323InternationalStandards 4

DiamondTerminology

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DIAMONDTERMINOLOGYAbout

Developedby9leadingdiamondindustryorganizations(AWDC,CIBJO,DPA,GJEPC,IDI,IDMA,USJC,WDCandWFDB)

Areferencedocumentforthediamondandjewellerytradewhenreferringtodiamondsandsyntheticdiamonds

Builtontwointernationallyacceptedstandards1. ISO18323Standard2. CIBJODiamondBlueBook

Definitions

“Adiamondisamineralcreatedbynature;a“diamond”alwaysmeansanaturaldiamond.”

“Asyntheticdiamondisanartificialproductthathasessentiallythesamephysicalcharacteristicsasadiamond.”

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TerminologyGuidelinesRecommendation

Adiamondisnaturalbydefinition.Therefore,usetheword“diamond”withoutaqualifierwhenreferringtoadiamond.

Ifdifferentiationfromsyntheticdiamondsisrequired,usetheterm“naturaldiamonds”astermofequivalentmeaning.

Donotusethefollowingconfusingexpressions: “naturaltreateddiamonds”and“treatednaturaldiamonds”.Instead,simplyuse“treateddiamonds”.

Terminologywhenreferringtosyntheticdiamonds

Useoneofthefollowingauthorizedqualifiers“synthetic”“laboratory-grown”or“laboratory-created”

DoNotUsethefollowing

Abbreviations Terms Terms

“lab-grown”and“lab-created”

“cultureddiamonds”and“cultivateddiamonds”

“real”,“genuine”,“precious”,“authentic”

and“natural”

Exclusivetoorganicproducts

Exclusivetonaturalmineralsandgemstones

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IndianPerspectiveIndiahasasetofestablishedstandardsfordiamondgradingandpolishing,asestablishedbytheBureauofIndianStandards(BIS)

IndiaalsorecognizestheinternationalISO18323standard:Jewellery- Consumerconfidenceinthediamondindustry

TheGJEPChascirculatedalettertoallitsmembersadvocatingtheuseISO18323terminologiesfortheIndustry

TheIndianConsumerProtectionActalsooffersprotectionagainstdefects,deficienciesandunfairtradepractices

SyntheticDiamondscannotbefalselyrepresentedasnaturaldiamonds

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GJEPC’sInitiativesforsegregating

pipelinesofNatural&Synthetic

DiamondIndustry

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Initiatives

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FORMATIONOFASPECIALCOMMITTEETODESIGNFAIRTRADEPRACTICESOLUTIONS

ANDELIMINATEUNDISCLOSEDMIXING

SET-UPQUICKTESTINGANDLOWCOSTLABS

FORIDENTIFICATIONOFSYNTHETICDIAMONDS

CONDUCTDETECTIONSEMINARSAND

KNOWLEDGESESSIONSONSYNTHETICS

DIAMONDSACROSSINDIA

ORGANISEDEMONSTRATIONOF

DETECTIONINSTRUMENTSFORDETECTIONOF

SYNTHETICDIAMONDS

COMMISSIONEDACOMPREHENSIVESTUDY

OFTHESYNTHETICDIAMONDINDUSTRY

SECTORIN2013

THESTUDYHELPEDDESIGNEDSOLUTIONS

ENABLINGUSTOADDRESSTHEROOTOF

THEPROBLEM

4KeyPillarsofSolutionsIdentified

RegulationSolutionson

nomenclature,duties,taxesandotherpolicies

thatcanimprovetraceability

CommercialMechanisms(penalties,warranties,commercialsafeguards)toenhance

trustthatisthecornerstoneofthe

industry

ProcessProcesschangesinthewaysofconductingoperationsand

transactionswithinandbetweenfirms

TechnologySolutionsthatcan

differentiateandarescalable,quickand

economicalandcanbemadewidelyavailable

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StandardisedDeclaration

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GJEPChasrecommendedthatallitsmembersissuedeclarationsinallinvoicesandmemos

InlinewiththeWFDBguidelinesonbothoriginaswellasacceptanceofgoods

Foreverytransaction,abuyermayinsistonadeclarationastowhetherthegoodsbeingtransactedarenaturalorsynthetic

Inthecaseofsaleofonlynaturalanduntreateddiamonds,thesellers,includingproducers,mayadoptthedeclaration

ExpansionofHSCodes

GovernmenthasacceptedGJEPC’srecommendationregardingcreationofaseparateHSCodesforpolishedsyntheticdiamond

WehavesentaproposaltotheministryaskingthemtocreateaHSCodeforroughsyntheticdiamonds

FurtherwehaveaskedtheministrytocarveoutseparateHScodesforsyntheticdiamondsstuddedinjewelryandarticles

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Developedacomprehensivecommunicationstrategy

GuidingPrinciplesØ ProactivelyanticipateandmeetcommunicationneedsofstakeholdersØ ProvideverifiedfactsandbalancedopinionsonlyØ Betransparentaboutwhatwedon’tknoworcan’tanswerØ EnsureconsistencyincommunicationbydifferentstakeholdersØOver-communicate

KeyStakeholdersØ IndianDiamondTradeParticipants&OtherIndianindustryassociationsØ InternationalIndustryAssociations&TradeØ InternationalSyntheticDiamondsproducersandtradersØGovernmentsandotherRegulatoryBodiesØ EndConsumers

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ResultsConstitutionsofindustrybodiesinIndiaamendedtodefineundisclosedmixingastringentlypunishableoffence

Set-upajointgrievanceredressalcommitteetohearcomplaintsofmixing

EstablishedDetectionfacilitiesacrossIndia

AssistedGIIfordevelopmentofadvanceddetectioninstrumentcalledQuick-Check

Organizesanannualexhibitionandsymposiumtoencourageandpromotelatestdetectionequipment'sandservices

CoordinatedwithallthekeyglobalbodiestoformanInternationalDiamondMonitoringCommittee

Continuouslyevaluatingallregulationsthatimpactthediamondsandsyntheticdiamondsindustry

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Thankyou

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