JVC Considered Ending WDC Involvement

"JVC is engaged in a process of weighing our options regarding our continued involvement in the WDC – and making a decision based on our mission," writes Cecilia Gardner, President and CEO of JVC, in a letter titled “Ethical Considerations For The Trade And For Trade Associations,” which has been  distributed to all its members.

The organization says it is trying to decide how to balance legal compliance in the U.S. and JVC's role in the WDC in light of criticism that KP is not fully aligned with U.S. legal requirements, such as the ban on trade in diamonds from Marange in Zimbabwe.

The letter states that recent coverage in the trade press of criticisms of the KP and the role of the WDC "have led to reflection by our Board on the JVC’s participation in these efforts, and on the role that industry associations play in grappling with ethical challenges."

The letter lists the pros and cons of JVC's involvement in the WDC, stating a more balanced representation in the WDC after recent changes to WDC's bylaws and the expected improvement in KP's operations following the formation of an administrative body at WDC's urging.

"In our view," the letter concludes, "while severing the relationship with the WDC may appease critics and appear prudent to some, it will also effectively eradicate our voice and influence going forward. Therefore, after considerable thought on this matter, and assessment of our collective conscience, JVC believes maintaining our work with the WDC is the right course of action."

The letter was circulated just days after WDC president Eli Izhakoff publicly announced that he will step down in June.