Diamond Ban: Osaafo-Maafo Blames Parliament

Finance and Economic Planning Minister, Mr. Yaw Osafo Maafo has confirmed “Chronicle’s” story about the blacklisting of Ghana from selling rough diamonds outside its border but said the ban was temporary.

Addressing journalists in Accra on the current status of the Highly Indebted Poor Country (HIPC) initiative the country opted for in 2001, he admitted that Ghana was blacklisted because of Parliament’s inability to ratify the Kimberley Process Certification scheme (KPCS), the new accredited diamond certification, before going on recess.

“We were just about to go to the second reading when we went to recess but when parliament resumes we will tackle the matter” Maafo said.

Ghanain diamonds lose shine

Accra - Ghana was blacklisted on Wednesday for the sale of rough diamonds outside its borders and for missing a September deadline to ratify a pact, the Kimberley Process Certification Scheme (KPCS), on diamond trade.

In response to the penalty, Finance and Economic Planning Minister Yaw Osafo-Maafo said the situation will soon be rectified and that parliament, which could not ratify the KPCS before it rose on recess, would do so once it reconvenes.

The Kimberley Process, which imposed the penalty, is an international initiative aimed at breaking the link between legitimate trade in diamonds and trade in conflict diamonds.

Blood diamonds

Conflict, or blood diamonds as they are known, are rough diamonds used by rebels to finance conflict that aims to undermine legitimate governments.

The Kimberley Process started out as a consultative process, later becoming a negotiating process which culminated in the adoption of the Kimberley Process Certification Scheme (KPCS).

"We were just about to go onto the second reading when we went on recess," the Chronicle newspaper quoted him on Wednesday as saying. "When Parliament resumes we will tackle the matter," he said.

Osafo-Maafo said the government has written to officials of The Kimberley Process to ask for an extension of the deadline in an effort to comply with the rules regarding the sale of rough diamonds.

"We are waiting for their response and I hope that the response is going to be positive," Osafo-Maafo said.

The KPCS sets an international benchmark for national certification schemes to be implemented by each participant country through national legislation.

Diamond production in Ghana in 2002 was 993 00 carats, up from 870 000 carats in the previous year. Earnings were $20.7-million in 2002 compared with $18.5-million in the previous year.

Ghana's diamonds are mainly exported to Belgium and Israel.