SEPTEMBER 21, 2016

With five weeks to go to the opening of the 2016 CIBJO Congress in Yerevan, Armenia, on October 26, 2016, the fifth of the CIBJO commissions’ Special Reports has been released. Prepared by the CIBJO Precious Metals Commission, headed by Stella Layton, the report examines the subjects of nickel release testing and conflict minerals legislation in the European Union.

In the report, Ms. Layton reports on an amendment, after intensive lobbying by CIBJO, to the EU’s REACH regulations, which are intend to protect human health and the environment from the harmful effects by chemicals. Specifically, it concerns testing for the release of nickel in jewellery, after prolonged contact with the skin, and the final decision, published early this year by the EU authorities, to abolish a “no clear decision category,” which was considered unacceptable by the Word Jewellery Confederation.

The new harmonised standards “replace any inconsistent national standards that were in place within the EU, and finally deliver a satisfactory suite of tests to ensure compliance with the nickel release levels imposed throughout the EU,” wrote Ms. Layton.

Progress on a long-waited law in the European Union, to prevent minerals associated with conflict from entering the legitimate trade, is also reported upon. In June of this year, the EU announced that a “political understanding” had been reached on many of the proposed statute’s substantive components, and this opens the way for it finally to be drafted and submitted to the European Parliament and Council for adoption.

The European law will cover the trade in tin, tungsten, tantalum and gold, but unlike the Dodd Frank Act in the United States, it will monitor key junctures in the pipeline, specifically regulating smelters, refiners and direct importers. Also, in contrast to Dodd Frank, the new law is not expected to limit its focus to the Democratic Republic of Congo and surrounding areas, but will require due diligence to be applied when importing from any conflict-affected or high-risk areas.

To download a full copy of the report, PLEASE CLICK HERE.

SEPTEMBER 15, 2016

Vancouver-based Crossworks Manufacturing Limited, the largest manufacturer of branded Canadian diamonds in the world, is set to become a carbon neutral company, within the framework of CIBJO’s Jewellery Industry Greenhouse Gas Measurement Initiative.

CIBJO’s Marketing & Education Commission set up the GHG Measurement Initiative in 2014, to help companies within the jewellery and gemstone industries understand their environmental impact, reduce it, and protect themselves and the industry as a whole. Companies that become part of the programme are invited to work with Carbon Expert, an environmental consulting organisation, which assists them in complying with ISO Standard 14064, specifying how to quantify and report greenhouse gas (GHG) emissions and removals, and apply ISO Standard 20121, which offers guidance and best practice for controlling the environmental impact of events.

Crossworks, which was a founder member of the CIBJO GHG Measurement initiative, recognised the benefits of developing and maintaining sustainability programs. “As a business we realise the importance of understanding future consumer trends,” said Dylan Dix, Group Executive, Marketing & External Relations. “Our own consumer research has confirmed the millennia consumers are particularly concerned about climate change, and, as a progressive forward-looking company, we felt it was absolutely right for us to make every effort to do what we can to negate our environmental impact. Since starting the project, having a sustainability policy, and dealing with business, greenhouse gas emissions has become an intrinsic part of business management.”

In recent years CIBJO’s Marketing & Education Commission has taken the lead in educating the jewellery industry on climate change, and its impact on the environment, society and business. Encouraging companies to proactively reduce their carbon footprint and neutralise their environmental impact, it has urged them to join a worldwide trend by which global businesses and brands recognise that this is a critical way to enhance one´s reputation.

“Today there are a significant number of organisations working with CIBJO on achieving carbon neutrality,” said Jonathan Kendall, President of CIBJO´s Marketing and Education Commission. “Over the coming months and years, it is clear there will be an increased focus on the environment, as both the USA and China ratified the Paris Agreement on greenhouse gas emissions in the past week. This is the right time for retailers, brands and their suppliers to adopt a proactive approach.”

As an organisation, CIBJO first measured and offset its carbon emissions for 2013, serving as a role model for the industry. The 2015 CIBJO Congress in Salvador, Brazil, was the first major jewellery industry event ever to be fully carbon neutral, and the upcoming 2016 CIBJO Congress in Yerevan, Armenia, scheduled to take place October 26-28, will be carbon neutral as well.

SEPTEMBER 14, 2016

With six weeks to go to the opening of the 2016 CIBJO Congress in Yerevan, Armenia, on October 26, 2016, the fourth of the CIBJO commissions’ Special Reports has been released. Prepared by the CIBJO Coloured Stone Commission, headed by Nilam Alawdeen, the report examines the subject of ethical sourcing in the coloured gemstones sector, specifically from the perspective of the welfare of the workers it employs.

The report is complementary about the efforts of companies involved in the industry to introduce measures that will support workers and their communities in the producing countries, but cautions that the interests of for-profit entities and the mining nations do not always converge. In particular, it expresses concern that systems based on audits and certification will have a detrimental effect on the ability of smaller companies, which employ a major share of the industry’s workers, to compete economically.

“Before we ask for audits and certification as conditions for ‘ethical’ and ‘responsible sourcing,’ should we not first look into what we, as socially responsible entities, are doing for the producers of the materials from which we derive our profits?” writes Mr. Alawdeen. “What percentage of our turnover or profits is constantly being returned to the producing areas for their workers’ welfare and the wellbeing of the mining communities?”

The report also tackles the issue of consistency in gem lab reports, and in particular the use of descriptive terms, such as “Pigeon’s Blood” and “Royal Blue,” to describe the colour and quality of fine rubies and blue sapphires, which are subjective descriptions, without agreed upon standards for deciding what stones qualify. This will be discussed in depth during the CIBJO Congress in Yerevan in October.

To download a full copy of the report, PLEASE CLICK HERE.

SEPTEMBER 7, 2016

Arguably the most substantial reconsideration in recent decades of the way in which diamond jewellery should be be promoted and sold was the focus of a seminar held September 4, 2016, the second day of the VICENZAORO September trade fair in Vicenza, Italy. Entitled “The Challenge of Marketing to Millennials: The Next Great Consumer Generation,” the event was co-organised by CIBJO and Fiera di Vicenza.

Born between 1980 and 2000, the Millennials represent one of the largest generations in history, and its members are about to move into their prime spending years. The unique experiences of Millennial consumers will change the ways the jewellery industry promotes and sells, and the manner in which it communicates with its customers. This will require companies to examine how they do business.

s the most heterogeneous generation ever in terms background and ethnicity, the Millennials grew up in digital society, where online and mobile skills were not learned but simply acquired. This changed the way they perceive the world, and how they interact among themselves and with others.

“When we market our products to Millennials, we no longer are able to get the exclusive attention of our clients,” said CIBJO President Gaetano Cavalieri, welcoming the crowd of participants that filled the room.” They have easy access to large amounts of information. They are more inclined to do research before buying, and they consult with their friends before making a decision.”

Importantly, when it comes to purchasing decisions, Millennial consumers are considerably more likely to consider issues such as product integrity, sustainability and social responsibility. Studies show that they are nearly twice as likely to purchase from a brand because of its social and or environmental impact.

“Already today, Millennials represent more than $2.45 trillion in spending power, and it is a number that will grow substantially,” said Corrado Facco, Managing Director of Fiera di Vicenza, who also serves as President of CIBJO’s Trade Show Commission, during his welcome to seminar participants. “According to a research carried out by Cone Communications, up to 70 percent of them will spend more on brands that support causes they care about.”

Seminar presenters (from left): Jean-Marc Lieberherr, CEO of the Diamond Producers Association, which is about to introduce the industry’s first sustained generic marketing campaign in 10 years, which will mainly be directed at Millennials; Roberto Coin, the leading Italian jewellery designer and brand developer; Ella Goldner, Global Strategy Director at IPG Mediabrands in London; Costantino Papadimitriou, head of global communication strategy and campaigns, and brand innovation at De Beers’ Forevermark; and  CIBJO President Gaetano Cavalieri.

At VicenzaOro September, CIBJO and Fiera di Vicenza convened what almost certainly was one the most expert panels ever gathered to consider the topic. It included:

• Ella Goldner, a Global Strategy Director at IPG Mediabrands in London, which is part of an advertising and marketing network that includes McCann World Group, Lowe and Partners and FCB. She specializes in marketing to Millennials, developing campaigns that meet their requirements, and delivering and reinforcing their content using new media tools.
• Jean-Marc Lieberherr, the CEO of the Diamond Producers Association, which has taken upon itself the task of reintroducing category or generic marketing for the diamond jewellery sector. He earlier served as Managing Director of Rio Tinto Diamonds, and before joining the diamond industry worked in international sales and marketing positions with LVMH and Unilever.
• Costantino Papadimitriou, who is responsible for global communication strategy and campaigns, as well as brand innovation, at De Beers’ Forevermark, which is far and away has the largest advertising budget in the diamond jewellery sector. He leads Forevermark’s London-based communication team as well as its Milan based Design and Innovation Centre. Previously he worked for J. Walter Thompson for 27 years.
• Roberto Coin, President, owner and visionary of the Roberto Coin Group and brand, which is sold in more than 1,000 outlets in 62 countries. Acutely aware of the growing sentiment among consumers for issues related to CSR and sustainability, in 2013 he was awarded an Andrea Palladio International Jewellery Award for Best Corporate Social Responsibility Brand.

The moderator of the seminar was Steven Benson, CIBJO’s Director of Communications.

CIBJO has made available for downloading the presentations delivered at the seminar, via a dedicated page on VOICES OF CIBJO section of the website. To access the page, CLICK HERE.

SEPTEMBER 7, 2016

With seven weeks to go to the opening of the 2016 CIBJO Congress in Yerevan, Armenia, on October 26, 2016, the third of the CIBJO commissions’ Special Reports has been released. Prepared by the CIBJO Diamond Commission, headed by Udi Sheintal, the report reviews the impacts of technology, both positive and negative, on the jewellery industry and trade, and investigates ways in which the business should react.

The report studies two developments in particular. The first is synthetic diamonds. In this respect it reiterates standards introduced by CIBJO to clearly distinguish between natural and man-made gems. In 2015 these essentially were adopted by the International Standards Organisation, when it released ISO International Standard 18323, which specifies a set of permitted descriptors for the diamond industry that are designed to be understood by the consumer. The report then outlines a number of variables, including investment in generic marketing campaigns, which ultimately will decide the degree to which the introduction of gem-quality synthetics into the market will affect the price of naturally mined stones.

The second development concerns scanning technologies that have been created in recent years that enable rough dealers to accurately map the internal inclusions in a stone. Specifically, the report investigates the ethical implications of such technologies, and considers whether rough dealers who have scanned their stones are obliged to inform clients that they have done so, and even possibly divulge the results.

“Technology has become an integral component in our business, and just as we need to adapt to the changes that it has instigated, the developers of technology should be cognisant that their products serve the greater good of the industry from which they benefit,” writes Diamond Commission President Udi Sheintal in the report. “In this respect it is important that constant dialogue take place between the industry and the technology developers with the understanding that, ultimately, our long-term interests are the same, and that is we should have a healthy and profitable diamond and jewellery business.”

To download a full copy of the report, PLEASE CLICK HERE.

AUGUST 31, 2016

With eight weeks to go to the opening of the 2016 CIBJO Congress in Yerevan, Armenia, on October 26, 2016, the second of the CIBJO commissions’ Special Reports has been released. Prepared by the CIBJO Ethics Commission, headed by Cecilia Gardner, the report reviews the World Jewellery Confederation’s efforts over the past year to promote Corporate Social Responsibility and economic and environmental sustainability, in countries and regions where the jewellery and gemstone industry is active.

In particular, the report lists CIBJO’s participation in a series of international forums, respectively organised United Nations Economic and Social Council (ECOSOC), the European Union, OECD, the U.S. Federal Bureau of Investigation and the U.S. State Department, the New York Times International and Chopard/EcoAge, the Association Française de Gemmologie and the Responsible Ecosystems Sourcing Platform (RESP); and reports on the launch of an online series of courses on the basic elements of Corporate Social Responsibility for the jewellery industry, in cooperation with Branded Trust of Australia, and the first Responsible Jewellery Industry Summit in New York, which discussed ways of reaching consensus over a broader industry vision for sustainable business and ethical sourcing.

“I am looking forward to our Congress in Yerevan, where we can work together to raise awareness about the importance of taking actions in our industry, to make the supply chain for our products the best it can be,” wrote Ms. Gardner. “Consumers expect these actions and a safe supply chain. Benefiting all players can benefit all, and improve the bottom line.”

To download a full copy of the report, PLEASE CLICK HERE.