There may not be as many undisclosed synthetic diamonds out there as previously believed, according to a study by the Natural Diamond Monitoring Committee, a new group set up by the Indian industry to study the issue.
Production of gem-quality rough synthetics equals 350,000 cts., compared to 125 million cts. a year of natural rough, the group estimated, leading it to declare “undisclosed mixing today has a fairly small scale.”
Still, the group set out a number of proposals to limit the amount of man-made stones slipping undisclosed into the natural supply chain:
– A standard declaration on trade invoices that stones are natural.
– More rigorous testing protocols for goods, in line with know-your-customer requirements to prevent money laundering.
– More affordable devices and solutions for testing of lab-grown diamonds.
– Enactment of consumer protection and other laws to forbid nondisclosure of lab-grown diamonds.
The NDMC was founded by India’s Gem and Jewellery Export Promotion Council and has enlisted London brokers Bonas & Co. and consulting firm A.T. Kearney to study the issue.