War in Ukraine: the world’s largest diamond producer, Russian, fell under EU sanctions

A measure that wants to hit the Kremlin in the wallet. The European Union announced on Wednesday that it had adopted sanctions against the Russian diamond giant, publicly traded group Alrosa and its CEO as part of a package passed in December following Russia’s invasion of Ukraine.

The Twenty Seven has added ALROSA, the world’s largest diamond producer, and its boss Pavel Marinychev to its blacklist of entities and individuals subject to these sanctions, which essentially include an asset freeze and a ban on residence in the EU.

According to the EU, ALROSA, which produces 90% of Russian diamonds, “represents an important part of the economic sector, generating significant revenues for the Russian government.”

12th package of sanctions

European sanctions on natural or synthetic diamonds and jewelry came into force on January 1. Regulations against cutting Russian diamonds in third countries will come into force in September.

This is the 12th round of EU sanctions since Russia invaded Ukraine on February 24, 2022. Moscow is accused of financing part of the war against Ukraine through the lucrative diamond trade, which is worth an estimated four to five billion dollars a year.

Belgium has withdrawn its reservations to these sanctions adopted by the G7 countries and has proposed solutions, notably through a traceability system, to make them effective without harming its own industry, which thrives in Antwerp (northwest).