Botswana Wins Second Global Diamond Verification Hub, Challenging G7 Trade Monopoly
The establishment of Botswana's node represents a significant shift in the global diamond supply chain.
GABORONE, Botswana— In a move bolstering its position in the international diamond trade, Botswana has gained approval to establish a diamond verification node, becoming the second hub globally after Antwerp, Belgium, writes AfricaBrief Reporter.
The decision follows months of negotiations between Botswana and the Group of Seven (G7) Diamond Technical Team.
It comes as the G7 nations have expanded their ban on Russian-origin diamonds to include those mined in Russia but polished elsewhere.
Initially, the G7 had designated Antwerp as the sole certification hub for diamond exports to member countries.
This arrangement raised concerns among major African diamond producers, including Botswana, Namibia and Angola, who viewed it as restrictive and detrimental to their economies.
"Botswana's unwavering commitment to transparency, accountability, and sustainable practices in the diamond trade is unwavering," President Advocate Duma Gideon Boko said in a keynote address at the FACETS Diamond Conference in Antwerp on November 26.
Botswana's leadership challenged the G7's centralized verification framework, arguing it would disproportionately benefit European economies while undermining Africa's diamond regions.
The country's robust protest, supported by industry stakeholders like De Beers, ultimately led to the approval of the new verification node.
The establishment of Botswana's node represents a significant shift in the global diamond supply chain.
By decentralizing the certification process, the move aims to reduce bureaucratic inefficiencies, enhance traceability and promote responsible mining practices.
"This milestone achievement underscores the effectiveness of Botswana's new leadership in championing the interests of its people and the broader African diamond-producing community," the government said in a statement.
As the verification node becomes operational, Botswana is poised to emerge as a vital hub for African diamond certification, potentially attracting investment and bolstering the country's economy.
The development is seen as a victory not just for Botswana but for the African continent.
It reaffirms the region's ability to challenge global power structures and secure fairer outcomes in the lucrative diamond trade.