FATF Published Guidance Document for Precious Stones

The Financial Action Task Force has approved a detailed guidance document for the precious stones and metals trades. The Antwerp World Diamond Centre (AWDC) said in a release that it welcomed the move.

The document lays out how a more sophisticated a risk-based approach can be developed for those who deal in precious metals and stones, including the diamond industry. For the diamond business, this means that the specific concerns of the diamond industry will be taken into account more adequately.

Issues specific to the diamond trade addressed in the document include the physical inspection of diamonds at the official import-export offices, business with registered diamond dealers and bourse members, the Kimberley Process Certification Scheme for rough diamonds and a payment system through recognized and specialized banks.

AWDC notes that it was extensively involved in the consultation process that let to agreement on the guidance document, since the summer of 2007. The approval was announced at the FATF plenary in June.

FATF is an inter-governmental body that works to develop policies to combat money laundering and terrorist financing.

AWDC spokesperson Philip Claes commented, “We welcome the fact that, with its new guidance document, FATF has finally recognized the positive impact that the structure, regulation and supervision of the diamond trade in Antwerp has had in reducing money laundering risk.”

The Belgian government was also involved in finalizing and approving the FATF guidance. AWDC noted that it will work further with the Belgian authorities in establishing a more adequate and efficient money laundering regulation for the diamond industry, which will be based on the new FATF guidance document operate within the framework of Belgium’s implementation of the anticipated third EU directive concerning money laundering.

Madagascar trip

TRADE: Deputy Commerce Minister Wiroon Techapaiboon will lead a trade mission to Madagascar in mid-July, with the African nation's ban on exports of gems and precious rough stones high on the agenda.

Mr Wiroon said that the ban, which took effect in February, delivered a big blow to Thai jewellers as they were facing a shortage of raw materials.

The Thai jewellery industry depends mostly on imported raw materials. Most of the rough stones and gems imported from Madagascar are sapphires and rubies.

Daniel E.H. Dele'vauz, the honorary consul of Madagascar said that lifting the ban just for Thailand was unlikely, but he said joint ventures between the two countries to set up cutting factories in Madagascar were highly viable.

NAs (Tapping of precious stones helps for uplift, Zaman)

GILGIT, (Asia Pulse Data Source via COMTEX) - Northern areas are rich with natural resources, specially the precious stones that would be exploited and tapped for poverty alleviation in the area and also for the socio- economic development in the country. This was stated by Chief Secretary Northern Areas, Qamar Zaman Chaudhry , while inaugurating Industries Office Complex near the Karakorum International University here Saturday. The project will cost Rs.20 million and would be completed within two years time, says a press release.

He said that Northern Areas of Pakistan are not only famous for its natural panoramic beauty and resources, but also for having precious and costly gems and stones popular around the globe. Ch.Qamar Zaman called for special efforts, hard-work, proper planning, processing, polishing and marketing of the gems and stones of the area to earn precious foreign exchange and boosting of their exports for the economic development of the country.

He added that local officials of the Industries, who are the dedicated and young officers of the mineral department and playing an important role for the promotion of the sector in the area.

Chief Secretary Northern Areas further said that some young people of the Northern Areas were sent to Peshawar and Sri Lanka for training in Gems and Stone sector.

He added that ten students of Karakorum International University were also sent to Italy for training in the sector who after completing their training will come back and impart training to other people of the area as master trainers.

He said that there is lot of talent in the youth of Northern Areas and through their proper training and skill development their skills can be exploited for the development of the area.

He also inaugurated the Laboratory of Northern Areas Protection Agency and a the suspension bridge to connect Umphary with Konadas.

Ruby-The King of Gemstones

Ruby is a form of Aluminium Oxide known as Corundum. Pure Corundum is in fact clear, and Red Corundum, or Ruby, is made up of Corundum (Al2O3), and Chromiumium impurities (Cr3+), which are responsible for the wonderful Red colorations. Ruby is the most valuable gem in the Corundum family.Ruby is associated with the zodiac signs of Cancer, Leo, Sagittarius and Scorpio. Ruby is the birthstone for the month of July.

The name Corundum is believed to originate from either the Indian word kauruntaka, or the Sanskrit word kurivinda. Ruby, the name for this particular type of Corundum is taken from the Latin word ruber, meaning “red”.

Since ancient times, the Ruby has been known as the King of Gemstones, and has been considered to be a protective stone providing the wearer with benefits such as invulnerability and preserved health. In addition to this, Rubies inspire creativity, wisdom and love, as well as enhancing self-reliance / confidence and increasing spirituality. Rubies worn by men signified manhood and nobility. Rubies worn by women were said to invoke passion and power. Improved circulation is one of the major perceived medical benefits of Ruby gems. Fire, blood and warmth are further properties assiciated with the Ruby.

It is an extremely hard and a very expensive exercise trying to source natural Rubies that have not been heat-treated as these gems are amongst the most valuable gemstones known today. However, thanks to modern gemstone enhancements and treatments, it is now possible to own wonderful, heat-treated natural Rubies that are both available to meet demand, and priced at a level making this beautiful King of gemstones attainable / available to most people.

Whilst today's main sources of Ruby are Myanmar (Burma), Vietnam and Thailand, there are also notable resources in Afghanistan, Africa, Cambodia, India, Kashmir, Laos, Nepal, Pakistan, Sri Lanka (Ceylon), Tajikistan and the United States (North Carolina).
The highest quality and most desirable Rubies are those that originate in Myamnar (Burma). Burmese Rubies, once heat-treated display amazing deep red colors. Vietnamese Rubies generally display a purple hue and Rubies from Thailand are a beautiful mid-red color. Rubies from Africa display remarkable red colors and Sri Lankan (Ceylon), Sapphires often have a raspberry tint and are therefore also considered amongst the most desirable.

Ruby is rated at 9 on the Moh's Scale of Hardness and is second only to the Diamond in this regard. Rubies are therefore perfectly suited to all jewelry purposes / uses and is a very hard-wearing, durable and versatile gemstone suitable for everyday wear.

Being an extremely hard gemstone that is very well-suited to jewelry purposes, Rubies are cut into almost all of the known gemstone cuts, with Cushion, Emerald, Pear and Oval cuts being particularly popular.

Almost all Rubies found on the market today have been heat-treated in order to intensify color and remove “silk”, small inclusions present in most natural Rubies. This method of treatment is considered permanent and color should not fade over time.