Press Release: The Dubai Multi Commodities Centre Authority (DMCC), the government authority dedicated to establishing Dubai as the global gateway for commodity trade, announced today that the Gem & Jewellery Export Promotion Council (GJEPC) of India supports the inclusion of imports of gold from Dubai Good Delivery Standard (DGD) compliant refiners into India. Simultaneously, Signet Jewelers Ltd. confirmed that based upon independent evaluation, the DGD standard is compliant with the Signet Responsible Sourcing Protocol (SRSP) for gold. Signet is the largest specialty retail jeweler in the U.S. and the U.K. Recognition will allow manufacturers in India to accept gold from refineries on the DGD list, as well as re-assuring others in the supply chain that gold from DGD refineries is responsibly sourced. DGD refineries are all required to adhere to DMCC’s Practical Sourcing Guidance and Review Protocols.
Gautam Sashittal, the chief operating officer of DMCC, said, “The DMCC Practical Guidance and Review Protocol ensures that the DGD benchmark sets the highest global standards in responsibly sourcing minerals. Signet Jewelers’ confirmation of our alignment with their own guidelines and the support of the GJEPC of India of the inclusion of gold from DGD refineries are further testimony of the robustness of our approach and standards.”
The SRSP for gold outlines the procedures for suppliers to Signet Jewelers to ensure that all products that include gold are from conflict-free sources. The SRSP recognizes global industry guidance and standards, including the recently added Dubai Good Delivery Standard.
Pankaj Parekh, the vice chairman of the GJEPC, added, “We are encouraged to know that the Dubai Good Delivery Standard has been endorsed by Signet Jewellers, confirming that DGD-accredited refineries are in line with not only Signet’s benchmarks but international best practice as well. With Signet being one of our most significant clients, we are certain that this recognition will have a positive impact on the gold market in India, in the near future, in particular with regards to responsible supply chain management.”
The DGD standard, launched by DMCC in 2005, is the adopted quality standard for gold and silver bars production and technical specification in the Middle East, and is benchmarked to international standards.
David Bouffard, the vice president of corporate affairs at Signet Jewelers, commented, “Signet holds itself and its suppliers to the highest social, ethical and environmental principles and is very focused on ensuring a responsible supply chain for the gold industry. After reviewing an independent assessment of DMCC’s responsible sourcing guidelines, audit protocol and the independent audit of DMCC’s processes versus those of other international bodies engaged in determining standards for responsible sourcing, we are pleased to recognize that DGD-accredited refineries operate in accordance to our protocol for gold.”
In 2012, the value of gold traded through Dubai increased to $70 billion from $56 billion in 2011, making it the leading global physical gold hub with over 25 percent of the world’s physical gold passing through the Emirate.
DMCC has been at the forefront of issuing and implementing guidelines in conjunction with the OECD and other international bodies to promote responsible supply chain management for gold and other precious metals. DMCC’s Responsible Sourcing of Precious Metals Review Protocol, requires that Dubai Good Delivery accredited member refineries are compliant with the DMCC’s Practical Guidance for Responsible Sourcing of Precious Metals. Adherence to the Guidance is certified by an independent panel of DMCC-approved international audit firms.
In 2013, DMCC appointed SGS to conduct an expert report comparing DMCC’s Practical Guidance for market participants in the Gold and Precious Metals’ industry with other international practical guidelines and industry standards. The report, published in August 2013, concludes that the DMCC’s Responsible Sourcing Guidance is fully in line with the OECD standards and other international benchmarks. The full report is available here. A full list of DGD-accredited members is available on DMCC’s website.
About The Dubai Multi Commodities Centre
The Dubai Multi Commodities Centre (DMCC) is a strategic initiative of the Government of Dubai, was established in 2002, with a mandate to provide the physical, market and financial infrastructure required to set up a commodities market place in Dubai. The group attracts key players throughout the entire value chain of a wide range of commodities sectors, together with relevant support industries such as finance, logistics and insurance. DMCC has established a robust infrastructure, including free zone status, trade networking platforms, secure vaults and purpose-built storage facilities. Resident companies of DMCC are offered highly attractive benefits under a free zone status, including 50-year guaranteed 0% corporate and personal income tax, 100 per cent business ownership, full ownership of business premises, and a secure regulated environment. DMCC has also implemented a dedicated compliance policy in the organization, which is in line with the compliance related laws and regulations of the UAE Federal Government and the competent international bodies. DMCC owns three fully operational towers which host the majority of the physical, market and financial infrastructure including the “Jewellery & Gemplex” facility, the specialized diamond and pearl exchanges and gold vaults.
About the Dubai Good Delivery Standard
The DGD Standard was originally launched by DMCC in 2005 as an international benchmark for quality and technical specification standards for the production of gold and silver. The objectives of the system are to increase confidence in the gold and silver industry, create more opportunities for trade finance activities and provide a delivery standard for the Dubai Gold & Commodity Exchange (“DGCX”). In addition this delivery service will provide the technical robustness that brings credibility in the market.
About the Practical Guidance for Responsible Sourcing of Precious Metals
DMCC issued this practical guidance in April 2012 to assist DMCC licensed members and non-members within the UAE’s gold and precious metals industry on the implementation of the OECD guidelines on conducting due diligence and developing a risk management framework for responsible supply chain management of gold and precious metals when sourcing from conflict-affected and high risk areas. The guidance provides a common reference for all actors in the supply chain on a step-by-step basis to ensure responsible sourcing and chain of custody of the gold and precious metals and to eliminate the risk of direct or indirect support to any kind of conflict in accordance with international standards.
About Signet Jewelers Ltd.
Signet Jewelers is the largest specialty jewelry retailer in the US and UK. Signet’s US division operates over 1,400 stores in all 50 states primarily under the name brands of Kay Jewelers and Jared The Galleria Of Jewelry. Signet’s UK division operates approximately 500 stores primarily under the name brands of H.Samuel and Ernest Jones.
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