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India as Chair of the Kimberley Process 2026

  • 10 Feb 2026
  • 13 min read

For Prelims: DiamondKimberley ProcessKrishna, Mahanadi, PannaLab-Grown Diamonds 

For Mains: India’s diamond industry and global value chains, India’s diamond industry and global value chains

Source: TH 

Why in News?

India has assumed the chair of the Kimberley Process (KP) for 2026, placing it at the forefront of global diamond governance. Coming at a crucial time for the diamond industry, the role positions India as a key Global South voice and a central hub in the diamond value chain to drive meaningful reforms. 

What is the Kimberley Process? 

  • About: The Kimberley Process (KP) is an international forum initiated in 2000 by Southern African countries, to regulate the trade in rough diamonds. It aims to prevent the flow of conflict diamonds while helping to protect legitimate trade in rough diamonds. 
    • Conflict diamonds are rough diamonds used by rebel groups or their allies to finance armed conflicts aimed at undermining legitimate governments. 
    • KP is not a formal international organisation or a legally binding treaty. It has no permanent office or staff and functions on burden-sharing contributions from participating countries, with support from industry and civil society.  
    • Its rules are implemented through national laws, not international legal obligations. 
  • Participants: Today, the KP has 60 participants representing 86 countries. The KP members account for approximately 99.8% of global rough diamond production. 
  • Kimberley Process Certification Scheme (KPCS): Launched in 2003, the KPCS outlines the rules that govern the trade in rough diamonds.  
    • The KPCS has developed a set of minimum requirements that each participant must meet.  
    • The KPCS requires that every consignment of rough diamonds crossing an international border be accompanied by a tamper-resistant KP certificate. 
      • Trade in rough diamonds is permitted only between certified KP members who adhere to the scheme’s minimum requirements. 
    • Participant countries are legally obliged to share timely and accurate statistical data regarding their diamond production and trade to ensure transparency. 
      • India is one of the founding members of the Kimberley Process Certification Scheme (KPCS). 
    • Enforcement is carried out individually by participant countries to ensure that only legitimate, "conflict-free" diamonds enter the supply chain. 

Diamonds in India 

  • Diamond Resources in India: Diamond mining in India dates back to the 5th century BCE, with large-scale mining and trade flourishing during the 16th–17th centuries.  
    • This era was vividly documented by Jean-Baptiste Tavernier, a French explorer and merchant, whose accounts highlight Golconda in present-day Telangana as a historic global diamond trading hub. 
    • Until the 19th century, diamonds were mainly recovered from river gravels and conglomerates, notably along the Krishna, Mahanadi, and Panna belts. 
    • The Majhgawan mine in the Panna diamond belt (Madhya Pradesh) remains India’s only commercially operating diamond mine, and diamonds from Panna district have been officially granted a Geographical Indication (GI) tag, recognising their unique origin and quality. 
  • Market Dominance: While India is not a major producer, it is a major importer of rough diamonds, sourcing mainly from the United Arab Emirates, Belgium, and Russia. 
    • As of 2024 around 90% of the world’s diamonds are processed in India, accounting for approximately 75% of global turnover by value, according to Industrial Extension Bureau (iNDEXTb), with industries concentrated in Surat and Mumbai. 
  • Lab-grown Diamonds:  In 2023, India produced over 3 million Lab-Grown Diamonds (LGDs), accounting for over 15% of the world’s total output. 
    • LGDs are made using chemical vapour deposition (CVD) or high-pressure high temperature (HPHT) processes that replicate earth-like conditions. Under these controlled lab environments, carbon crystallizes into a diamond. 
  • Government Backing for LGDs: In the Union Budget FY24, a Rs 242 crore, five-year seed grant was announced to establish a lab-grown diamond research centre at IIT Madras 
    • Further, the Union Budget FY26 removed customs duty on imported carbon seeds, lowering production costs and improving global competitiveness.  
    • The sector also allows 100% FDI, encouraging foreign investment. Alongside, clearer regulations and dedicated certification frameworks are being developed to boost consumer trust, positioning India as a global manufacturing hub for LGDs, not just a polishing centre. 
  • Strategic Leverage: India exports polished and LGDs to major markets like the US, China, UAE, and Hong Kong.  
    • Its position at the heart of the value chain gives it unique leverage to influence governance norms.

What are the Core Challenges and Criticisms Facing the KP? 

  • Narrow Definition: The current definition of "conflict diamonds" is limited to diamonds used by rebel groups to finance conflict.  
    • It ignores other critical issues such as diamonds used by Governments to fund foreign wars or human rights abuses. 
  • “Mixed origin” laundering loophole: Diamonds from multiple sources are mixed in trading hubs and re-certified as “Origin: Mixed”. This erases traceability, allowing conflict diamonds to re-enter legal supply chains. 
  • Veto Power: Its consensus-based decision-making allows a single country to block the identification of conflict diamonds or stall reforms, often paralysing the system and freezing its ability to evolve. 
  • No Permanent Institutional Structure: Absence of a permanent secretariat or staff weakens monitoring, continuity, and crisis response capacity. 
  • Ineffective Embargoes: The case of the Central African Republic (banned in 2013, rejoined in 2024) highlights that weak support measures led to increased smuggling and continued violence 
    • While there is consensus on protecting mining communities, disagreement over addressing state-related violence highlights the need for a more inclusive and realistic KP mandate. 
  • Rough-only Jurisdiction Gap: KP applies only to rough diamonds. Even minimal polishing removes diamonds from KP oversight, enabling easy circumvention. 
  • LGDs: Rising ethical concerns over conflict diamonds and human rights abuses in mining are pushing consumers toward LGDs, risking reduced demand for natural diamonds and harming economies dependent on diamond mining. 

What Measures can India take as Chair to Reform the KP? 

  • Broadening the Agenda: India can push to expand the scope of the KP by forming technical working groups to assess violence and human rights risks beyond just rebel insurgencies, building consensus before redefining "conflict diamonds." 
  • Technological Modernization: Leveraging its IT strength, India can promote blockchain-based certification 
    • A digital, immutable ledger for each diamond shipment would drastically reduce fraud and improve traceability. 
  • Institutional Reform: India can advocate for independent third-party audits and the full public release of granular trade statistics to enhance transparency. 
  • Capacity Building: India can support African producer nations by establishing regional technical hubs that offer IT support, forensic capacity, and certification assistance, making compliance collaborative rather than punitive. 
  • Sustainable Development: India can push reforms to ensure diamond revenues directly support mining communities (funding health, education, and local infrastructure) instead of bypassing these regions.  
  • Such an approach aligns the Kimberley Process with Sustainable Development Goals (SDGs), especially poverty reduction and decent work. 

Conclusion 

As 2026 Chair, India has the opportunity to turn the Kimberley Process from a narrow conflict-prevention tool into a credible framework for ethical diamond governance. By combining digital traceability with a people-centric focus on African mining livelihoods, India can lead the Global South in making diamonds a driver of sustainable development, not conflict.

Drishti Mains Question:

India’s chairmanship of the Kimberley Process comes at a time of structural crisis in global diamond governance. Examine the challenges and reform opportunities.

Frequently Asked Questions (FAQs) 

1. What is the Kimberley Process (KP)? 
The KP is an international certification scheme launched in 2003 to prevent the trade in conflict diamonds by regulating cross-border trade in rough diamonds.

2. Why is India’s chairmanship of the KP in 2026 significant? 
India is a central processing hub for diamonds and a key Global South voice, giving it strategic leverage to push reforms in global diamond governance.

3. What are the main criticisms of the Kimberley Process? 
The KP has a narrow definition of conflict diamonds, consensus-based veto paralysis, weak traceability, and applies only to rough diamonds.

4. How do lab-grown diamonds challenge the KP framework? 
Ethical concerns over conflict diamonds are shifting consumers toward lab-grown diamonds, reducing demand for natural diamonds and exposing governance gaps.

5. What reforms can India push as KP Chair? 
India can promote blockchain-based traceability, expand the definition of conflict diamonds, strengthen audits, support African producers, and align KP with SDGs.

UPSC Civil Services Examination, Previous Year Question (PYQ) 

Prelims 

Q.Which one of the following foreign travellers elaborately discussed about diamonds and diamond mines of India? (2018)  

(a) Francois Bernier  

(b) Jean-Baptiste Tavernier  

(c) Jean de Thevenot  

(d) Abbe Barthelemy Carre  

Ans: (b)

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