The Best Practice Principles (BPP) is a mandatory set of principles introduced by the Diamond Trading Company (DTC), a major arm of the De Beers Group . As another initiative to promote integrity and accountability in their trade, these oblige every member of the De Beers family to follow the highest standards in their professional, social, ethical and environmental responsibilities.

Best Practice Principles: Salient features

The following three salient points, also known as the triple bottom line, are the highlight of BPP

Ethical responsibility

This ensures that the company and all its operations act in a responsible and ethical manner while conducting business practices. This is fulfilled be controlling all activities like misuse as conflict diamonds , non disclosure of synthetics, simulants and treatments , usage of child labor and money laundering. Also all participants would need to follow the national law while conducting business.

Social responsibility

This keeps in view that participants continuously adhere to the stringent ‘social requirements'. It is kept in check by ensuring that all businesses comply with the national employment laws. Also the safe working conditions of employees and the provision of a healthy working environment without discrimination based on caste, color and creed would be considered. Finally, usage of child labor would be treated as a major offence with strict action being taken against those participating in it.

Environmental responsibility

Under this aspect, the company ensures that all operations regardless of their scale adopt the highest standards with respect to their impact on the environment. Adherence to the highest standards, policies and regulatory frameworks are followed to up keep the environmental responsibility. This would apply to the management of materials, water, biodiversity, energy, wastes, effluents and emissions. Through reduction, recovery, reuse and recycling; all these harmful substances would be carefully managed.

Best Practice Principles participants

The BPPs apply to all the units that are owned and operated by the De Beers group. This includes units in the areas of mining, exploration, sorting, recovery, valuation and marketing. Besides this, joint ventures and diamond related contractors also need to comply with the regulations of the BPP. Besides this, these principles apply to the units that are owned or controlled by the sightholders (organizations that receive rough diamonds from DTC) and their contractors.

Structure of BPP

Based on the participants there are three tiers of groups that would subscribe to the BPPs. Amongst them, the first tier applies to the De Beers group and its diamond related contractors and partners. Tier 2 includes sightholders while tier 3 includes the contractors that work for sightholders. Besides these three major tiers, a tier 4 has also been acknowledged, which would have to indirectly comply with the BPPs. This includes ancillary (non mining) contractors to the De Beers group operations and the independent companies that purchase or sell diamonds because of the business relations with the De Beers group or sightholders.

Assurance of BPP

All entities that are a part of the Best Practice Principles network are regularly assessed by an independent third party known as SGS. The assessment is objective and impartial and comprises of completing the ‘BPP workbook'. While the format of the workbook is common for all, the means of assessing its data changes for people of different tiers. The workbook is evaluated by SGS, whose work is further reviewed by an audit experienced body. Instances of failure to comply would promptly be reported to the De Beers board, which would take immediate action through ‘Corrective action plans'. The fourth tier, while it would not be assessed, also needs to demonstrate best endeavors. 

The future

What began in July 2000 has come a long way now. With the BPPs in place, the BPP assurance program is now under development. In the dynamic business environment, the BPPs ensure fair and transparent means for conducting the diamond business. These ensure that the diamond business is carried out in the best manner and all aspects: ethical, legal, social, environmental and professional are kept under check. This is a necessary move and a timely one from De Beers, the company that has carefully managed the business of diamonds since their discovery.