Martin Endjala
The Minister of Mines and Energy, Tom Alweendo stressed yesterday that laboratory-produced diamonds, commonly known as synthetic diamonds, pose a danger to the natural diamond market and that robust interventions are needed to safeguard prices.
“Like with other minerals, we need to continue to ask ourselves the question of whether our diamonds can contribute more to our economy. What more can we get from our diamonds? How can the diamond sector contribute more to our local economic activities?” he asked.
The Minister made the remarks during the announcement of the appointment of 12 new Diamond Board Members in Windhoek yesterday.
The Diamond Act established the creation of the Diamond Board, and the Minister of Mines and Energy shall appoint the Members.
The main function of the Board is to advise the Minister on matters relating to the diamond industry.
More than 50 percent of the revenue created by the mining industry comes from the export and sale of diamonds.
The newly appointed Diamond Board members are Erasmus Shivolo (Chairperson), and Maenge Shipiki Kali (Deputy Chairperson). Other board members are, Bartholomeus De Klerk, Festus Nghifenwa, Pauline Thomas, Wollen Zuleika Nell, Benita Herma, Brent Eiseb, Nekulilo Ithete, Emily Kapulwa, Desley Somseb and Isabella Chirchir.
Alweendo said that because of the huge contribution of the diamond industry to the Namibian economy, due care must be taken with the sector.
Alweendo reiterated that one of the biggest challenges the global diamond industry faces is the creation of synthetic diamonds.
“These are diamonds that are artificially produced, and they look exactly like natural diamonds. They are produced at lower cost and are likely to attract a segment of diamond consumers,” he said.
The Minister noted that if more and more people start to buy synthetic diamonds, natural diamond-producing countries will lose the market and that it will have a negative economic impact on Namibia.
“However, it will not be possible to prevent the production of synthetic diamonds. All we can do is insist that they are not marketed as natural diamonds,” he stated.
The Minister informed the new Diamond Board members that he expects them to pay attention to the influence of synthetic diamonds and advise the government on the best way to proceed with natural diamond production.
As per the Diamond Act, members have been nominated by various stakeholders, such as the producers, dealers, cutters and polishers.
Alweendo said that he is hopeful that the new board will bring their expertise to bear and ensure that the diamond industry continues to be managed in the best possible manner.
