Meeting for the second time in formal session, CIBJO’s Coral Commission, which debuted in 2014, presented its proposal for a new Blue Book. The document was reviewed by the Coral Commission President, Enzo Liverino.

The Coral Blue Book deviates from the other Blue Books in that it provides a set of academic and similar references at its end.

There ensued a lengthy debate regarding the references. These used to feature in the Blue Books for pearls, diamonds and coloured stones, but frequently were so long that it was decided to remove them, explained Sector A President Roland Naftule.

Mr. Naftule explained that, since coral is an endangered species and the commission is doing different work to that with diamonds, pearls and gemstones, some members felt it would be better to leave the references in.

Sector A Vice President Thomas Lind proposed that the references stay in and that the commission decide next year what to do with them, because “this is a work in progress and we can decide in the coming year or two how to proceed with this issue.”

The meeting ended with a vote in favour of retaining the references with slight modifications, and this would be reviewed at the next CIBJO Congress, in 2016.

The Coral Commission Steering Committee will review the references, and retain only those that relate to CITES, the Convention on International Trade in Endangered Species of Wild Fauna and Flora, which is an international agreement between governments. Its aim is to ensure that international trade in specimens of wild animals and plants does not threaten their survival.

Photo Caption: Coral Commission Chairman Enzo Liverino.

Meeting at the 2015 CIBJO Congress, the organisation’s CAENCOM Commission, which serves as a network for executives of industry organisations, was presented with a briefing about the Brazilian jewellery sector by Clarissa Maciel, International Affairs Manager for IBGM, the Brazilian industry association that is hosting the congress this year.

The presentation, entitled “Market Situation Trends and Opportunities,” gave an overview of Brazil’s financial situation. Among the economic details that she provided, Ms. Maciel stressed that Brazilian household consumption is high and accounts for about 63 percent of Gross Domestic Product.

The country, which has become a leading global economy in the past decade due to the commodities boom, has a labour force of 111 million people, while unemployment is just 5.7 percent.

Brazil, she said, is the world 11th largest gold producer, the 13th largest consumer of gold, and one of the top three gemstone producers in the world. She presented figures showing that exports of rough last year were $57 million, while exports of cut and polished stones had a value of $131 million.

Among the trends that had been identified in recent years in the country’s jewellery industry are that the number of independent retailers is declining, and there is increasing concern with sustainability, fair trade and compliance issues. In addition, jewellery companies are under continuous pressure to reduce production costs.

Ms. Marciel added that major international brands have entered the Brazilian market, and there is a growing number of chains of stores.

She explained that gold-plated jewellery and fashion jewellery set with natural stones are becoming increasingly popular with Brazilian consumers, as is fine jewellery made with smaller amounts of gold.

There has been a slight decline in silver jewellery sales, and rising imports of fine jewellery and fashion jewellery. As with countries in the rest of the world, Brazil’s jewellery industry also faces competition for disposable income from electronics products, travel and fashion labels.

IBGM, she said, is a trade association with two offices in Brazil. It is a non-profit organisation, representing the whole of the country’s jewellery pipeline from mines to market, and is the Brazilian representative to CIBJO and the International Colored Gemstones Association. IBGM is a member of the Responsible Jewellery Council.

IBGM organizes Brazil’s Feninjer trade fair which is held twice a year, with 150 exhibitors of all types of jewellery and watches.

IBGM partners with the government body, Apex Brasil, the Brazilian Trade and Investment Promotion Agency, to boost investment in Brazil and sponsor Brazilian firms at international tradeshows around the world.

Photo Caption: CAENCOM President Simon Rainer address the commission.

The issue of colour digital grading was widely discussed at the meeting of the Gemmological Commission. The debate followed a presentation by Menahem Sevdermish of the digital colour language in his GemeWizard system. According to Mr. Sevdermish, a digital system enabling precise colour grading and communication is possible.

The computerized system can provide precise colours of all stones, he said, adding that his company had worked together with the GIA to develop it. “It is a digital record of colours. Digitalisation is the future,” he said.

Gemmological Commission PresidentHanco Zwaan said that, regardless of CIBJO’s position on colour grading, digital colour detection methods already exist and he would like to explore further whether it is possible to pinpoint colours for certain of commercial terms used in the trade. But it is necessary to identify other factors that are considered when applying those commercial terms and to formulate standards for lighting and viewing techniques.

Mr. Zwaan made it clear that the Gemmological Commission does not have a preference for any particular system.

Douglas Hucker, CEO of AGTA, asked if CIBJO or the Gemmological Commission was intending to endorse commercial terms. “If a lab wants to pursue this language, that is okay, but are we saying CIBJO is getting behind it?”

James Riley commented that in any case labs are developing digital methodologies and those organisations that do not know about them will look to CIBJO for information.

Thomas Lind suggested a motion that the Gemmological Commission look into how these labs are using these terms and present a report to the Commission next year. The motion was passed unopposed. “CIBJO is not determining the terminology but looking at how labs are using this digital communication,” he said.

Among the other issues mentioned at the meeting were developments concerning lead-glass filled ruby – and a GIT report on the introduction of “organic ruby,” the enhancement of emeralds after certification, and tanzanite nomenclature in the Gemmological Commission Blue Book, and a short update regarding the Laboratory Manual Harmonisation Committee.

Photo Caption: Gemmological Commission PresidentHanco Zwaan addressing the commission. Together on the podium with him are Claudio Milisenda (left) and Pornsawat Whatanakul.

During its formal session at the 2015 CIBJO Congress in Salvador, Brazil, the Pearl Commission discussed the CIBJO Guide for Grading Natural Pearls and Cultured Pearls, which had been submitted by Nick Paspaley of Australia.

Work on the Guide began following a decision at the Moscow Congress in 2014, which called on the Pearl Commission to consider at producing a document that describes a uniform system for pearl grading, said Pearl Commission President Ken Scarratt.

A number of people drove this initiative forward under the leadership of Pearl Commission Vice President Jeanne Lecourt.

Mr. Scarratt said he had received a number of lengthy edit requests for the Guide, which aims to help people understand what the issues that need to be looked at during pearl grading. Various parts of the Guide were reviewed during the Pearl Commission meeting, and it was agreed to continue with the project.

Earlier, it was agreed that the Pearl Commission Blue Book changes at the 2014 Congress be incorporated.

Mr. Scarratt said that a tremendous amount of work harmonising the Pearl Blue Book with the other Blue Books had been undertaken.

It had been decided during the steering committee meetings that preceded the congress that definitions be removed from the Table of Contents of the Pearl and the Coloured Stone Blue Books, and to add the Coral Commission to the list in the Foreword of the books.

It was also proposed for the Pearl Book to remove the concept of a general declaration of treatments and make everything specific.  This would be looked at in the coming year.

There was a discussion on what is a gem, with cultured pearl added to the definition, and whether it this consistent with harmonisation in three other Blue Books. This is because a cultured pearl is not grown without human intervention. It was recommended and accepted that there be no changes.

There was also a discussion over the use of the word “carat” in weighing artificial products, and objections from the floor of the meeting. Thomas Lind proposed that it be stated that  carat is equivalent to 200mg, as a way of resolving the issue. Mr. Lind’s proposal was accepted.

A special session focusing on issues related to Corporate Social Responsibility, which was held during the afternoon of the first day of the 2015 CIBJO Congress in Brazil, focused on issues related to CSR compliance and carbon neutrality in the jewellery industry.

Professor Donald Feaver, of the Branded Trust foundation, which is developing an online CSR compliance system for the jewellery and gemstone industry together with CIBJO, spoke about the new agenda in Corporate Social Responsibility (CSR) that is emerging.

He said that the jewellery industry has traditionally focused on supply chain issues. But, he added that there is a change taking place, with a connection between the “soft side,” which is sustainability, with the “hard side” which is finance. “Sustainability is moving into the CFO’s office, not the CSR office. CSR is turning from a cost into an investment with return expected,” he explained.

Talking of future trends to help CSR create return on investment, he said that programmes are coming that can capture and measure sustainability, and that there are improvement-driven computer techniques as opposed to performance auditing.

In addition, Dr. Feaver added, there is green energy optimisation linking carbon reduction to carbon trading, and automated social reporting and stock exchange disclosure reporting.

He said that CIBJO has recognised new trends and introduced a jewellery course for professionals with insights into the new CSR agenda. This gives new information, not the old, already-known information, as well as a practical approach for firms to apply it with online lessons and tests.

Meanwhile, Jonathan Kendall, President of CIBJO’s Marketing and Education Commission, spoke of the issue of how environmentally aware the jewellery sector is becoming. CIBJO provides direction with policies and sets an example for the industry.

“It is clear that our industry is going to be challenged over next 10 years and more on this issue. CIBJO can claim to be a carbon neutral organisation. We have led from the front and set an example. We are beginning to move forward,” he stated.

He said that, in the diamond pipeline, significant steps have been taken by companies such as Rio Tinto, Alrosa, De Beers, and Petra Diamonds in reducing emissions. The big retailers are also active, such as Signet, Walmart, Chow Tai Fook, Tiffany & Co and Gucci.

Kendall said that the issue is being driven by consumers, especially those under 35, and women, as they want to trust a brand or business. Most consumers are concerned about the environmental impact and sustainability and want to see a positive approach to those topics.

CIBJO started a jewellery industry carbon measurement initiative, which aims to set an industry standard, last year in Moscow ,with several early adopters, he said, adding that it is hoped to launch climate leadership awards.

This congress is the first-ever significant industry event to be carbon neutral, and it follows CIBJO having achieved carbon neutrality both in 2013 and 2014. Present in Salvador, and explaining the process to the session was Moya McKeown, an environmental consultant with Carbon Expert, which had assisted CIBJO in the process.

Fairtrade activist Greg Valerio pointed out that most of the jewellery industry is comprised of smaller firms not corporates, so they do not have the resources to implement CSR. “However, CIBJO has come far in the last two to three years. There is something significant happening here,” he stated.

Also addressing the session was Hanifa Mezoui, a senior advisor at the United Nations, who complemented the jewellery industry on its efforts to incorporate responsible social and environmental policies into its operation.

Photo Caption: CIBJO President Gaetano Cavalieri (center), holding the certificates presented by Carbon, attesting to the organisation’s achiving carbon neutrality in 2013 and 2014. He is flanked by Jonathan Kendall, President of CIBJO’s Marketing and Education Commission, and Moya McKeown, an environmental consultant with Carbon Expert.