G7 BAN ON RUSSIAN DIAMONDS (Syllabus: GS Paper 3 – Economy)

Context: Recently, the Group of Seven (G7) nations made a decision to ban imports of polished diamonds made from Russian rough stones starting early next year, but this move is not expected to hurt Indian diamantaires.

oIndia, which cuts 14 out of 15 of the world’s rough diamonds, according to government data, does not import the stones directly from Russia but sources them from hubs like Antwerp and Dubai.

G-7

• About: It is an intergovernmental organization. The bloc meets annually to discuss issues of common interest like global economic governance, international security, and energy policy.
• Formation: 1975.
• G7 countries: UK, Canada, France, Germany, Italy, Japan and the US.

oIndia is not a part of the G7.

• Membership: Apart from the 7 member countries, the European Union (EU) has also participated fully in the G7 since 1981 as a “non-enumerated” member.
• Presidency: It rotates annually among the member countries, with each country hosting the summit and setting the agenda for the year.
• Meetings: The G7 holds annual meetings. 

Polished Diamond

• About: It is a general term for diamonds that have undergone processing, without any connection to their size, shape or any other feature.
• India is the world’s largest polishing center, while China, which has made giant steps in this area in the last two decades, is the second largest diamond polishing center.