Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania...

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Jewelry Development Impact Index Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and Yujia Wan Academic Supervisor: Hrach Gregorian, Ph.D.

Transcript of Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania...

Page 1: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Jewelry Development Impact Index

Case Study of Amethyst in Brazil and Tanzanite in Tanzania

Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and Yujia Wan

Academic Supervisor: Hrach Gregorian, Ph.D.

Page 2: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Introduction Case Study Comparison

• Statement of Work

• Methodology

• Tanzanite in Tanzania

• Amethyst/Citrine in Brazil

• Human Security Indicator score results

• Country comparison

Page 3: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Statement of Work

Tanzanite

Amethyst

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Research Methodology

13 Interviews

Academic Articles

Business Journals

NGO and Government Reports

Non-academic Resource

Page 5: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Methodology

Governance

Environment

Economy

Health

Human Security

Indicators

Human Rights

Page 6: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Tanzanite Mining in Tanzania

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Overview

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Formal Industry

Informal Industry

Overview

Page 9: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Jaipur, India

The tanzanite cutting center

The U.S.The biggest market for

tanzanite.

75% of the world

market share

ChinaThe rising market

Tanzania

Place of production

Kenya

Smuggling hub

Governance and Economy

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Cooperation with U.S. to strengthen security oversight of

tanzanite industry

Tucson Tanzanite Protocol 2010 Mining Reforms 2017 Mining Reforms

Raw tanzanite export banWall built around the site

Easier ASM licensingIncreased government ownership of

TanzaniteOne

Governance and Economy

Page 11: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Environment and Health

• Deforestation • Desertification• Water scarcity

Page 12: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Environment and Health

Depth (m) CO (ppm) Dust (mg/m3)

410 53 10.2

350 59 7.1

360 46 6.6

390 102 7.6

340 23 8.5

Average 66.2 8.0

US standard 50 3.0

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98.7% of the small-scale workers lack the proper equipment for protection. Many of them work more than 12 hours a day.

Tanzanite mines delve 100 m or more in narrow, straight and inclined shafts.

Environment and Health

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Human Rights

Women's RightsWorkers' Rights Children's Rights

• Non-payment of salaries • Lack of unions• A lack of social protection

• Women make up 18% to 20% percent of the entire tanzanite industry

• Reports of child labor in small scale operations

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Tanzanite

Page 16: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Amethyst Mining in Brazil

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Amethyst

Overview

Citrine

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The main occurrences of colored gems and diamonds in Brazil

Overview

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Santa Catarina

Pará

Tocantins

Bahia

Rio Grande do Sul

Produces the largest

quantity of amethyst

in the world

Overview

Parana

Rodônia

North

South

• Informal Industry• Individual mining permits are

hard to receive• Lack of resources• Miners are not local

• Formal Industry• Miners: members of Cooperatives

that handle all legal processes• Cooperatives support education

and health initiatives• Miners are local

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Rio Grande do Sul

Overview

Ametista do Sul

The Cooperative of Miners in Médio Alto Uruguai

(COOGAMAI)

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Governance

• The federal government owns mineral resources and deposits

• The government grants mining permits to Brazilian citizens or companies

• Government agencies:• The Ministry of Mining and

Energy (MME)• the National Mining

Agency (ANM)• Current goal: More extraction

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80% 8000

Economy

$100-$200

Amethyst extraction makes up 80% of Ametista do Sul's economy

In Ametista do Sul, 8,000 residents work for the 107 licensed mines nearby

Brazilian amethyst miners, on average, make $100 USD-$200 USD per month.

Page 23: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

12%

23%

65%

Revenue distribution

The Federal Government The State Government The Municipality

Economy

Little cross-border

smugglingLittle terrorist

involvement

Criminal

OrganizationsInformal Industry

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Economy

Washing

Amethyst Cutting

Gem & JewelryTrade Shows

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Environment

Little use of toxic materials

Cut down or burn the forest

Abandoned open-pit mines

Fail to enforce the environmental regulations effectively

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Health• Miners tend to not use proper equipment

• Injury and death is common in informal mines

• In Ametista do Sul, miners can attend local health centers

• In northern Brazil, health centers are not easily accessible.

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Human Rights

Workers' Rights Children's Rights Indigenous Groups Women's Rights

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Amethyst

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Scoring Methodology

7

6

5

4

3

2

1

Low Risk

Very High Risk

Category Questions Values (1-7)

Governance …

Economy What is the availability of the formalized industries?

… …

• 5 Categories • 23 Sub-Categories• 124 Questions

The Jewelry Development Impact Index (JDI)

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4.96

4.24

2.383.06

3.88

0

1

2

3

4

5

6

7

Governance Economy Environment Health Human Rights

Tanzania Jewerly Devleopment Impact Index

3.89 3.76 3.69 3.74

0

1

2

3

4

5

6

7

Governance Economy Environment Health Human Rights

Brazil Jewerly Devleopment Impact Index

Score >5 4< Score <5 3< Score <4 Score <3

Very Positive Positive Average Negative

Two Country Comparison

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Score >5 4< Score <5 3< Score <4 Score <3

Very Positive Positive Average Negative

Ten Country Comparison

4.84

4.31

3.81 3.77 3.713.39 3.35 3.33

2.92 2.88

0

1

2

3

4

5

6

7

BotswanaDiamond

South AfricaPlatinum

BrazilAmethyst

ColumbiaEmerald

TanzaniaTanzanite

PeruGold

MadagascarSapphires

ZambiaEmerald

MyanmarRuby

AfghanistanLapis Lazuli

Page 32: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Lack of Data

Gap Analysis

Contradictory statements

Page 33: Jewelry Development Impact Index€¦ · Case Study of Amethyst in Brazil and Tanzanite in Tanzania Sacha Brenac, Rachael Hilderbrand, Cleo Rogers, Hailee Shah, Alyssa Tender, and

Any Questions?