Fair Trade Jewelry

Introduction:

“Part of me likes to believe that CSR is not only a rhetorical or theoretical exercise, but really is changing the way to do business,”

writes Dr. Barreto in an open letter on the Madison Dialogue list server. Here, she discusses her overview of CSR in the mining sector, as an expert in sustainability and mining.

Special thanks to Dr. Barreto for permission to reprint her comments.

I am very interested in the debate about sustainability in the mining sector and the role/contribution of CSR.

I spent a good part of my career as a researcher working to clarify (or at least trying to clarify) the concept of sustainable development in the mining sector, the ambiguous concept of nonrenewable resources and the implications for advancing the SD framework for the mining sector.

But yesterday, I talked with a colleague in Peru from Cooperaccion, a Peruvian NGO that has an impeccable record working with communities, including the ASM sector. She explained to me the problems that her organization is facing. (See Companion Post)

Part of me would like to believe that situation is an exception and not the rule. Part of me would like to believe that we have more mining companies in the phase one or two of Estelle’s company typology then in phase 0.

Part of me likes to believe that CSR is not only a rhetorical or theoretical exercise, but really is changing the way to do business. Finally, I would like to believe that the old paradigm of business as usual is in the past.

But I know that there too many cases like the one outlined there (at least this is my impression) and, unfortunately, only a very small group of mining companies can be considered in phase one or two of Estelle’s company typology, (again that is my impression).

My first question is what we can do to help and stop this kind of action against organizations like Cooperaccion, that are working towards sustainability in the sector?

My second question is how to create a system that verifies and certifies what is happening in the implementation of CSR that on one hand allows the market to safely provide a premium to the companies that have accomplished these standards and creates a meaningful economic incentive for them and others to join the club?

Until we create a system of verification and certification to translate the rhetoric into practical and market action, we are never going to know what is really happening on the ground in terms of CSR. We will only be left with impressions and beliefs and unverified claims…even when good things are actually being done. This is as bad for companies as it is for communities.

In the meantime, we can make a difference as an individual, organization or as the Madison Dialogue by helping Cooperaccion in its fight against injustice.

Special thanks to Laura Barreto, Phd. International Specialist in Mining and Sustainable Development Strategies, Policy and Law. She is Director of Materials Efficiency Research Group (MERG), located Ottawa, Ontario, Canada.

Tags: Ethical Initiatives, Sustainability, CSR, Transparency, Environment, Change Agents, Mining by Marc Choyt
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Introduction:

Here is a press release illustrating the power of share holders to demand Corporate Social Responsibility (CSR) from Gold Corp Inc. ~ Marc

In an unprecedented move Canadian mining firm Goldcorp Inc. has agreed to conduct an independent Human Rights Impact Assessment in Guatemala at the request of Canadian and Swedish shareholders.

The company has faced criticism regarding the environmental and human rights impacts of its mining operations. The shareholders hope that the assessment will become a benchmark for mining companies operating in high risk countries. The agreement was announced in a statement today.

The statement reads: “The Public Service Alliance of Canada (PSAC) Staff Pension Fund, The Ethical Funds Company, The First Swedish National Pension Fund and The Fourth Swedish National Pension Fund, have reached an agreement with Goldcorp Inc. and have withdrawn a shareholder resolution submitted to the company in March. Goldcorp Inc. has agreed to commission an independent human rights impact assessment of its operations in Guatemala.”

The intention of the assessment is to provide the company with concrete recommendations regarding its implementation of practices, policies and procedures, and the impact of its operations on human rights.

A steering committee is being formed to oversee the assessment process and will include representatives from the company, shareholders and other stakeholders.

Shareholders expect the assessment to be completed in the next 8-12 months, at which time the company will develop a plan for implementing recommendations of the assessment.”

A group of investors has been in dialogue with the company for more than two years, and stepped up engagement efforts in February by conducting a field trip to Goldcorp’s Marlin mine in Guatemala.

The group met with NGOs, indigenous people, government authorities and company representatives in order to get a clearer picture of the complex situation. The trip culminated in a shareholder resolution submitted to the company.

“By taking on a Human Rights Impact Assessment (HRIA), Goldcorp is behaving responsibly and responding to the concerns raised by local stakeholders in Guatemala. Goldcorp is also setting a standard for others in the mining industry - for which they should be commended,” said Bill Brassington of the PSAC Staff Pension Fund, who will represent the investor group in the HRIA steering committee.

“Mining corporations are increasingly operating in high risk areas - both in terms of culture and environment and they need to address these risks in a way that satisfies local stakeholders, as well as investors,” said Peter
Chapman, Executive Director of the Shareholder Association for Research and Education (SHARE) which is providing research and engagement assistance to the PSAC and Meritas Mutual Funds.

“Business recognition of human rights obligations is relatively new,” said Robert Walker, Vice President of Sustainability at The Ethical Funds Company. “And human rights impact assessment is a relatively new concept for promoting human rights. We laud Goldcorp for embracing this tool as a foundation for protecting human rights and addressing community concerns in Guatemala. We look forward to reviewing the results.”

“The outcome of this process could set a precedent for the entire industry and is crucial for Guatemala, since the mining industry has rapidly expanded there. However, after ending 36 years of civil war, the country is extremely
vulnerable. Therefore, mining companies and others have a responsibility to make sure their business operations are sustainable over the long-term, and respect the Maya culture,” said Helene Regnell, Research Director of GES Investment Services, an advisor to the filing First and Fourth Swedish National Pension Funds as well as the Second and Third Swedish National Pension Funds who supported the resolution through their collaborative body, the Ethical Council.

For further information, contact: Bill Brassington, PSAC Staff Pension Fund, Phone: (604) 298-6301, Email: brassrouts@telus.net

Peter Chapman, Executive Director, SHARE, Phone: (604) 408-2456, Email: pchapman@share.ca

Robert Walker, Vice President, Sustainability, The Ethical Funds Company, Phone: (604) 714-3833, Mobile: (778) 772-2142, Fax: (604) 714-3861, Email: bwalker@ethicalfunds.com

Carl Rosén, Chairman, Ethical Council, Phone: +46 31 704 29 00, Mobile: +46 73 940 10 10, carl.rosen@ap2.se

Helene Regnell, Research Director, GES Investment Services, Phone: +46 8787 99 17, Mobile: +46 70 787 01 04, Email: helene.regnell@ges-invest.com

=== EARTHWORKS: Protecting Communities and the Environment

Stephen D’Esposito
President and Executive Director
EARTHWORKS
1612 K St., NW, Suite 808
Washington, D.C., USA 20006
202-887-1872×203
202-887-1875 (fax)
sdesposito@earthworksaction.org
www.earthworksaction.org

Tags: Spin, CSR, Ethical Initiatives, Sustainability, Transparency, Change Agents, Gold, Platinum, Ethics, Environment, Mining by Marc Choyt
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INTRODUCTION:

This is the urgent action appeal referenced by Dr. Barrito in the previous post. Special thanks to Julia Caudros of the organization, CooperAcción for informing us of this injustice.

With great concern I have come to learn about the news that 35 Peruvians, defenders of human rights and of the environment, municipal authorities, legal, technical and leading advisers of communities and community rondas, have been legally accused of terrorism for expressing their ideas, defending their rights and promoting a Local Referendum so that the population could express, freely, their opinion on the development of mining activities in their area.

Since 2003 the mining company Majaz S.A., today Rio Blanco Copper S.A., (of the British company Monterrico Metals PLC, whose major shareholder is the Chinese Consortium Zijin – Xiamen Zijin Tongguan Investment Development Co. Ltd.) have been promoting the Mining Project Rio Blanco located in the districts of Ayavaca and Carmen de la Frontera in northern Peru.

As you may know last September 16, the Local Referendum was carried out in the districts of Ayavaca and Pacaipampa in the province of Ayavaca and in the district of Carmen de la Frontera in the province of Huancabamba, both located in the northern region of Piura. More than 50 per cent (17,976 voters) of the electorate of these three districts took part in this civic event and 97% of them expressed their rejection of mining activities in their territories.

The accusations of terrorism seeks to discredit those that exercise lawfully and peacefully the defense of rural communities’ rights; those that defend the moorlands and cloud forests where a mining project intends to develop but who choose for a model of development based on agriculture and eco-tourism. This act of accusations also seeks to intimidate the whole society for the mere fact of expressing their disagreement with certain politics that wishes to silence its citizens.

We consider these accusations to be an outrage against those that act within the boundaries of the law and exercise their civic rights that the Peruvian Constitution protects. We request the Government and the national authorities of Peru, take action in order to avoid the violation of rights and fundamental liberties, by rejecting the denunciation and reinstalling the Round Table of Dialogue, - paralyzed by the leave of the Cabinet President- and in this way seek a peaceful means to end the conflict in the area.

Join us in our act of solidarity!

How to help:

Send the letter to the electronic directions (addresses) that are indicated by copy to CooperAcción’s mail.

Send to:

Dr. Alan García Pérez
Presidente de la República del Perú
Palacio de Gobierno
Plaza Pizarro, Jr. De la Unión s/n
Lima 1 – PERU (511) 311 4200 (511) 311 4711 secretariageneral@presidencia.gob.pe

Dr. Jorge Del Castillo Gálvez
Presidente del Consejo de Ministros
Av. Manco Cápac 879, Miraflores
Lima 18 – PERU (511) 610 9800 (511) 610 9680 mtalledo@pcm.gob.pe

Dra. Beatriz Merino
Defensora del Pueblo
Jr. Ucayali 388
Lima 1 - PERU (511) 426 78000 (511) 4267889 gbocanegra@defensoria.gob.pe
mlevano@defensoria.gob.pe

Dr. Luis Gonzáles Posada
Presidente del Congreso de la República
Plaza Bolívar s/n
Lima 1 – PERU (511) 311 7777 (511) 3117703 lgonzales@congreso.gob.pe

Ing. Juan Valdivia
Ministro de Energía y Minas
Av. Las Artes Sur 260, San Borja
Lima 41 – PERU (511) 475 0065
(511) 618 8700 (511) 224 4490 jvaldivia@minem.gob.pe

Dr. Luis Alva Castro
Ministro del Interior
Plaza 30 de Agosto s/n, San Isidro
Lima 27 – PERU (511) 225 0202
(511) 225 0402
(511) 225 7234 desmin@mininter.gob.pe

Copy to:
cooperaccion@cooperaccion.org.pe

If you wish more information on the case please see the following websites:
www.cooperaccion.org.pe

www.redmuqui.org.pe

www.minesandcommunities.org

Tags: Transparency, CSR, Sustainability, Environment, Toxins, Gold, Ethics, Mining by Marc Choyt
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Kim Poole, www.aurorawildlife.com has over 25 years of professional wildlife experience in the public and private sector throughout western Canada, with extensive experience in the Northwest Territories where diamond mining is taking place.

His work focuses on wildlife research & management, and wildlife habitat management and assessment.

I met him in British Columbia, where we discussed diamond mining issues. These follow up questions were sent via email.

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Tags: Spin, Transparency, CSR, Ethical Initiatives, Sustainability, Change Agents, Environment, Fair Trade Gems, Interviews, Mining, Ethics, Diamonds by Marc Choyt
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Company’s Fair Trade International Manufacturing Will Now Be Eco-Friendly

Santa Fe, NM: May 29, 2008: Starting in July, 2008, all jewelry manufactured by Reflective Images will be done with 100% recycled precious metal.

The most toxic element of our supply chain has been internationally mined silver,” said Marc Choyt, President of Reflective Images. “We facilitated an agreement between

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Tags: CSR, Ethical Initiatives, Sustainability, Resources & Suppliers, Transparency, Change Agents, F*R*E*, Mining, Ethics, Environment, Jewelry Manufacturing by admin
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Here’s my best list of resources and suppliers. I will make additions to it as more information is passed to me. I put comments after those organizations that I know something about.

This list was drawn and expanded from the resource section my Ethical Jewelry Handbook, a free e-book available upon request.

RESOURCE LIST

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Tags: CSR, Transparency, Change Agents, Ethical Jewelry Handbook, Ethical Initiatives, Resources & Suppliers, Sustainability, Fair Trade, Environment, Ethics, Rubies, Madison Dialogue, Fair Trade Gems, Mining, Gold, Gem Lore, Platinum, Diamonds by Marc Choyt
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Introduction:

An article in the Journal Times from Racine WI discusses a local jeweler’s line of fair trade gemstones from Eric Braunwart’s Columbia Gem House, along with supporting comments from Steve D’Esposito from Earthworks.

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Tags: CSR, Ethical Initiatives, Fair Trade, Sustainability, Spin, Transparency, Rubies, Mining, Ethics, Change Agents, Fair Trade Gems by Marc Choyt
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Introduction:
Here is a brief statement that captures the spirit of the Madison Dialogue by the Diamond Working Group. ~Marc

The Way We Work

The Madison Dialogue is a cross-sector initiative established to promote communication and collaboration among companies, civil society groups and others seeking to encourage best practices, sustainable economic development, and verified sources of responsible gold, diamonds and other minerals. Organizations, companies and individuals participate in the Madison Dialogue on a voluntary basis.

Among the initiatives currently under way is an exercise that aims to develop standards for what we are calling “ethical diamonds”. These standards will apply to all diamonds, whether produced in large kimberlite mining operations, or in small-scale artisanal operations. We believe the initiative will have value for the entire diamond industry, but that it will have special value for small-scale producers in Africa and South America.

The process of developing viable standards begins with the enunciation of broad principles ­ such as ³no child labour². Many codes and sets of principles already exist, and the Madison Dialogue is in the process of distilling these into a document specifically relevant to the diamond industry.

The second step will be to convert the principles into meaningful and workable standards. Child labour, for example, may be understood differently in situations of extreme poverty, or where the laws defining the age of a child are ambiguous, or where birth records do not exist. The challenge of converting principles into standards will, therefore, be a more lengthy exercise. We will consult the International Social and Environmental Accreditation and Labelling (ISEAL) Alliance and others on issues relating to appropriate procedures and participation in the development of these standards.

The final stage in the development of effective standards is third party verification. We see this as an essential part of the exercise, but we understand that agreement on questions about how it will be done, who might carry it out, and how it would be financed need to be elaborated as the discussion about standards moves forward.

We do not underestimate the potential complexity of the exercise, but we believe that it is an important one that will have significant benefits for all stakeholders. In order to underline the importance we attach to it, we
will endeavour to complete the exercise within a period of two years, by the end of April, 2010.

This exercise is being undertaken by the Madison Dialogue Diamonds Working Group. The MDDWG is an open group where companies, NGOs and government officials can share information and ideas in this field. For more information, please email Lloyd Cotler (lcotler@earthworksaction.org) or contact the Acting Chair, Estelle Levin (estellelevin@resourceglobal.co.uk).

Tags: Spin, CSR, Ethical Initiatives, Sustainability, Transparency, Change Agents, Diamonds, Madison Dialogue, Mining, Editorial by Marc Choyt
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Introduction: This post is an ongoing discussion of fair trade issues in the gemstone sector. It was first posted on the Madison Dialogue list server. Laurent has worked on issues relating to artisanal mining in Madagascar and has studied global gem supply chains.

Midway through this writing, Laurent poses a question to me personally which I respond to in a companion post.

Laurent raises several critical issues around marketing, sourcing and spin that gets to the heart of why the fair trade gemstone market poses so many challenges to the jewelry sector.

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Tags: Transparency, CSR, Ethical Initiatives, Sustainability, Change Agents, Environment, Fair Trade Gems, Rubies, Mining, Ethics, Diamonds by Marc Choyt
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Buckhold Mountain in Late Spring

Introduction:

This article, describing a break through among conservation groups and mining interests, show what is possible through strong leadership and creative risk taking. ~ Marc

Tonasket, WA - An accord was reached between conservation groups and mining interests, ending an 18-year effort to stop the development of a large gold mine on Buckhorn Mountain in north central Washington State.

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Tags: CSR, Sustainability, Transparency, Change Agents, Gold, Environment, Mining by Marc Choyt
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