Given the depth of expertise within the diamond industry that does not exist among external actors, including regulators, it is essential that industry preserve the ability to set its own standards when it comes to traceability.
One way of doing this would be by creating a taskforce composed of a diverse group of industry experts, technology providers and academic leaders dedicated to enhancing the traceability and transparency of diamonds within the global market – the Expert Group on Traceability and Transparency.
The initial mandate of the expert group would be to elaborate, by March 2025, a set of recommendations outlining the Minimum Viable Levels of Traceability and Transparency for diamonds, ensuring that these standards are robust, comprehensive, technology agnostic and capable of fostering trust and integrity throughout the diamond supply chain, said in the Future of Trade- Special Diamonds Edition!
It is both urgent and important for industry to leverage available technologies and fast-track the use of traceability across the supply chain. To do so, industry must maintain a comprehensive register of available technologies, detailing their capabilities, limitations, unique features, and areas of technological and economic viability. This register must evolve continuously with digital innovation, ensuring that the most effective technologies are identified and made available to the industry.
Industry should establish a dedicated facility for innovators to test and pilot new digital solutions, where their robustness and viability are stress-tested before qualifying as industry solutions. In doing so, it is important to maintain a technology agnostic approach to safeguard the dynamic nature of traceability technologies and ensure that there is room for digital innovation as the industry evolves.
Industry should keep an open mind to digital innovation and entrepreneurship, and simultaneously remain vigilant to the adoption or imposition of consensus based, one-size-fits-all technologies and the burden of dependency this may lead to.
Heera Zhaveraat (HZ International) A Diamond, Watch and Jewellery Trade Promotion Magazine provide dealers and manufactures with the key analytical information they need to succeed in the luxury industry. Pricing, availability and market information in the Magazine provides a critical edge.
