Gemfields Completes Fabergé Branding Arrangements
Introduction:
In this press release, dated September 1, 2008, Fabergé reveals that they are now going to be able to trace their gemstones directly to their sources. This controlled mine to market custody represents a “best practice” for large and small scale companies in the jewelry sector.
We learn that Fabergé is going to use “ethically produced” gemstones, but they do not reveal what that might mean. This type of press release is as interesting for what it reveals as much as what it hides.
What is the wage scale of the ethically treated miners? What is the environmental restoration plans for the mines themselves, or is environmentally responsible mining not part of their ethics? What are they doing now that is not ethical and how are they changing to ethical? Or are they merely re-branding their current practices, calling them ethical to the market? Alas, we do not know.
Another interesting element of this article is the use of “conflict free gemstones.” The notion of conflict free, as I will discuss in future posts, has become so distorted, so misused that it is essentially meaningless in the market place. Companies use the term, conflict free, to push their own marketing agenda without ever defining how they are using it. Anyway, it is not often that you hear of the term “conflict free” in context to gemstones in a major press release.
Many large companies in the jewelry sector are going to jump on this mine to market band wagon– even Wal-Mart has. The real question is, how transparent are they going to be? ~ Marc Choyt, Managing Editor
Press Release:
Gemfields Resources plc is pleased to announce that it has completed the arrangements granting it an exclusive worldwide license to use the Fabergé brand name in respect of coloured gemstones (excluding diamonds).
Gemfields intends that the Fabergé name be reserved for high-end, conflict-free and ethically mined gemstones of guaranteed provenance. In addition, Fabergé gemstones will be individually numbered and certificated to ensure traceability.
Rajiv Gupta, founder and Executive Vice Chairman of Gemfields, said: ‘This is about doing justice to the most remarkable and special coloured gemstones in the world. The Fabergé name, one of the most revered in history, captures brilliantly how exclusive such coloured gemstones are. Importantly, Fabergé-branded gemstones will be available to a number of carefully selected partners and customers. We expect that the first Fabergé colour gemstones will be available in 2009’.
Gemfields CEO Sean Gilbertson said: ‘Coloured gemstones were a key theme in the remarkable works of Peter Carl Fabergé. Gemfields’ ability to deploy the Fabergé name on coloured gemstones continues that association and adds yet another compelling layer to Gemfields’ vision of bringing high grade, ethically produced, conflict-free gemstones of certified provenance directly from the mine to the market on an integrated basis
The licence, granted pursuant to an option which Gemfields acquired in June 2008, covers an initial 15 year term.
For more information: www.gemfields.co.uk
Richard James, CFO
[email protected]
Gemfields Resources plc Tel: +44 (0)20 7016 9416
Mike Jones/Tarica Mpinga +44 (0)20 7050 6500
