Diamond Regulations, 2000: A Comprehensive Guide to Diamond Licensing, Permits, Security and Export Rules in Namibia
Explore Namibia’s Diamond Regulations, 2000, including diamond licences, permits, Kimberley Process certificates, imports, exports, security plans, transportation, recordkeeping and compliance requirements.
Namibia has a highly regulated diamond industry, reflecting the exceptional economic value of diamonds and the need to prevent illicit mining, trading, possession, transportation and international movement of diamonds. The Diamond Regulations, 2000 (Government Notice 84 of 2000) provide detailed administrative and compliance requirements under the Diamond Act, 1999 (Act 13 of 1999).
The regulations commenced on 1 April 2000 and were subsequently amended, including by Government Notice 104 of 2003. The version reproduced by NamibLII is identified as the version applicable at 15 November 2017, with amendments researched and incorporated by Laws.Africa.
For anyone intending to operate in Namibia’s diamond industry, these regulations are important because they go beyond simply requiring a licence. They establish requirements covering licensing, permits, premises, authorised representatives, recordkeeping, employee security checks, transportation, security plans, diamond cutting, prospecting and mining vessels, polished diamond exports, and the import and export of unpolished diamonds.
This article explains the major requirements and what they mean in practical terms for diamond businesses, investors, mining companies, cutters, dealers, exporters, importers and other persons involved in Namibia’s diamond industry.
What Are the Diamond Regulations, 2000?
The Diamond Regulations, 2000 are subsidiary legislation made under Namibia’s Diamond Act, 1999.
The regulations provide the administrative and operational framework necessary to implement several provisions of the Act. They prescribe forms, procedures, documentation, security measures, recordkeeping requirements and fees.
The regulations cover matters including:
- Applications for diamond licences
- Issuing diamond licences
- Licence fees
- Applications for diamond-related permits
- Issuing permits
- Import and export of unpolished diamonds
- Kimberley Process Certificates
- Approval of premises
- Registration of authorised representatives
- Diamond registers
- Security checks
- Employee and contractor records
- Transportation of unpolished diamonds
- Security plans
- Diamond cutter records
- Registration of diamond prospecting and mining vessels
- Export notifications for polished diamonds
- Searches under the Diamond Act
- Prescribed regulatory fees
The regulations therefore form an important part of Namibia’s diamond compliance framework.
The Diamond Act and Diamond Regulations Work Together
It is important not to treat the Diamond Regulations as an independent licensing system.
The regulations expressly define “the Act” as the Diamond Act, 1999, and use the Act as the legal foundation for the various licences, permits, certificates and controls. Businesses wanting to understand the broader legal framework should also review this guide to the Diamond Act 13 of 1999 in Namibia.
In practical terms, the relationship can be understood as follows:
Diamond Act, 1999
→ establishes the substantive legal framework
Diamond Regulations, 2000
→ provide detailed administrative and compliance procedures
Prescribed forms and fees
→ facilitate applications, licences, permits, registrations and notifications
This means that a prospective diamond business should consider both the Act and the Regulations rather than relying on the regulations alone.
Key Definitions Under the Diamond Regulations
The regulations introduce several definitions that are particularly important for international diamond transactions.
What Is an Unpolished Diamond Consignment?
A consignment means one or more packets or parcels of unpolished diamonds placed in a tamper-resistant container for export or import.
This is significant because the regulations attach specific security and certification requirements to the movement of such consignments.
What Does Export Mean?
For purposes of the regulations, export means taking something out of Namibia in any manner.
The definition is deliberately broad and therefore should not be interpreted as applying only to conventional commercial shipping.
What Does Import Mean?
Import means bringing something into Namibia in any manner.
Again, the broad definition emphasizes that diamond-control requirements can apply regardless of the particular method by which diamonds enter the country.
The Kimberley Process and Namibia’s Diamond Regulations
One of the most important aspects of the regulations is their incorporation of the Kimberley Process Certification Scheme.
The Kimberley Process is an international certification system designed to prevent the international trade in conflict diamonds.
The regulations define a Kimberley Process Certificate as a forgery-resistant document identifying a consignment of unpolished diamonds as compliant with the Kimberley Process Certification Scheme.
For diamonds exported from Namibia, the certificate is issued and validated by the Namibian Exporting Authority.
For diamonds imported into Namibia, the certificate is issued and validated by the exporting authority of the relevant Kimberley Process participant.
This creates an important chain of documentation between the country of origin, the exporter, the importer and the Namibian authorities.
Applying for a Diamond Licence in Namibia
Regulation 2 provides that an application for a licence under section 16 of the Diamond Act must substantially follow Form 1 of Annexure A.
The regulations therefore establish a prescribed application format rather than allowing applicants to submit completely informal applications.
Once the licence is approved, Regulation 3 provides that it should substantially follow Form 2 of Annexure A.
The forms are important because they provide the administrative structure for the licensing process.
Diamond Licence Fees in Namibia
The regulations prescribe several fees.
According to Annexure B:
| Type of fee | Fee |
|---|---|
| Application for a licence | N$500 |
| Issue of diamond cutting, tool-making or research licence | N$1,500 |
| Issue of diamond dealer’s licence | N$10,000 |
| Application for certain diamond permits | N$250 |
These are regulatory fees specified in the Diamond Regulations, 2000. Businesses should nevertheless verify the applicable fee and administrative requirements with the relevant authority before submitting an application because regulatory procedures and administrative practices can change.
Diamond Dealer Licence
The prescribed fee for issuing a diamond dealer’s licence is N$10,000.
The regulations also provide that the fee is payable by the date of issue and annually thereafter on the anniversary of the licence’s issue. Businesses considering this route can also review this practical guide on how to get a diamond dealer or cutter licence in Namibia.
This makes ongoing compliance important. Obtaining the licence is not necessarily the end of the regulatory relationship.
Diamond Cutting Licence
A diamond cutting licence carries a prescribed issue fee of N$1,500, with the regulations providing for annual payment on the anniversary of issue.
Diamond Tool-Making Licence
The regulations similarly prescribe N$1,500 for the issue of a diamond tool-making licence.
Diamond Research Licence
The issue fee for a diamond research licence is also N$1,500.
Diamond Permits and Their Importance
Regulation 5 establishes application procedures for permits contemplated under section 27 of the Diamond Act.
Applications for permits under sections 27(a) through 27(j) must substantially follow Form 3 of Annexure A.
Applications for the permit under section 27(k) must substantially follow Form 4.
The corresponding permits are issued using Forms 5 and 6.
This distinction is important because not all diamond-related activities are dealt with through the same type of licence.
A business or individual must therefore identify the specific legal activity involved before determining whether it needs:
- A licence
- A permit
- A certificate
- Registration as an authorised representative
- Approval of premises
- Another form of regulatory authorization
When Can a Diamond Permit Expire Automatically?
The regulations impose particularly important consequences for certain permits issued under section 27(k).
Unless the Minister determines otherwise, such a permit automatically expires in several circumstances.
These include where the holder:
- Is convicted of an offence under the Diamond Act.
- Is convicted of an offence involving certain high-value or controlled minerals.
- Is convicted of specified dishonesty-related offences such as theft, fraud, forgery, robbery or bribery.
- Is convicted outside Namibia of an offence relating to unlawful dealing in or possession of diamonds.
- Loses the relevant work or temporary residence permit, subject to specified exceptions.
- Fails to comply with a condition endorsed on the permit.
This demonstrates that diamond regulation is closely connected with integrity, immigration status and criminal-record screening.
Exporting Unpolished Diamonds From Namibia
The regulations impose detailed controls on the export of unpolished diamonds.
This is one of the most important compliance areas for diamond exporters. For a more practical overview of the process, businesses can also consult this guide on how to get a rough diamond export permit in Namibia.
Export Declaration
Every unpolished diamond submitted for valuation for export purposes must be accompanied by an Export Declaration for Unpolished Diamonds in the prescribed form.
This establishes a formal declaration before the diamond can proceed through the export process.
Kimberley Process Certificate Required
A consignment of unpolished diamonds cannot be released for export unless a Kimberley Process Certificate has been issued and validated by the Namibian Exporting Authority for every diamond contained in the consignment.
This is a central safeguard against illicit international diamond trade.
Requirements for Obtaining a Kimberley Process Certificate
The regulations specify several conditions for issuing and validating the certificate.
The unpolished diamond must:
- Be exported to a Kimberley Process participant.
- Be inspected by the Namibian Exporting Authority.
- Conform to the Export Declaration.
- Be placed into a tamper-resistant container.
- Be sealed according to the method determined by the Minister.
The authority may issue and validate the certificate once satisfied that these requirements have been met.
Documentation Must Accompany Exported Diamonds
When a consignment is released for export, the original Kimberley Process Certificate must accompany the consignment.
The exporter receives an authenticated copy.
The regulations also require particulars of every unpolished diamond in the consignment to be recorded in the appropriate register maintained by the Namibian Exporting Authority.
This creates a documentary trail that can help authorities trace diamonds through the export process.
Importing Unpolished Diamonds Into Namibia
The regulations also impose detailed requirements on the importation of unpolished diamonds.
A person may not import an unpolished diamond into Namibia unless the applicable conditions have been satisfied.
The importer must:
- Hold the appropriate permit.
- Import the diamond from a Kimberley Process participant.
- Have a valid Kimberley Process Certificate issued and validated by the exporting authority of that participant.
- Make adequate arrangements for examination of the consignment by the Namibian Importing Authority.
This means that importing rough or unpolished diamonds into Namibia is not simply a matter of customs clearance.
It involves diamond-specific regulatory controls.
Inspection of Imported Diamond Consignments
Upon examination, the Namibian Importing Authority must ensure that:
- The parcel is accompanied by a valid Kimberley Process Certificate.
- The container has been properly sealed.
- The seal has not been tampered with.
- The contents correspond with the certificate.
If the consignment appears to have been tampered with, it may be returned to the relevant Participant’s Exporting Authority.
If the requirements are satisfied, the diamond can be released to the authorised importer.
The details must then be recorded in the relevant register.
The Namibian Importing Authority must also confirm the consignment details with the relevant foreign exporting authority.
Importantly, the original Kimberley Process Certificate must be retained by the Namibian Importing Authority for at least three years.
What Happens if a Diamond Is Suspected of Being Illegally Imported or Exported?
Regulation 6C gives the Minister important powers where there is suspicion that the regulations have not been complied with or that an unpolished diamond may have been unlawfully acquired.
The Minister may retain the diamond.
The exporter or importer can then be requested to provide:
- Proof; and
- Reasons why the diamond should not be retained.
If the evidence is satisfactory, the diamond may be released in accordance with the relevant legal procedure.
If the evidence is not satisfactory, an investigation may follow.
After the investigation, possible actions include:
- Returning the diamond to its rightful owner;
- Returning the diamond to its country of origin; or
- Referring the matter to an appropriate law-enforcement authority.
This is an important warning for diamond businesses: documentation and provenance are not merely administrative formalities.
They can determine whether a diamond is released, retained or investigated.
Approval of Premises for Diamond Activities
Diamond businesses may also need approved premises depending on what they intend to do with unpolished diamonds.
The regulations provide for certificates relating to premises where unpolished diamonds are:
- Sold or disposed of;
- Received or purchased;
- Processed; or
- Used for research or testing.
Different prescribed forms apply to these different categories.
This means a business should consider not only whether it has the appropriate licence but also whether the physical premises from which it conducts diamond-related activities have the necessary approval.
Registration of an Authorised Representative
The Diamond Regulations also establish a procedure for registering an authorised representative.
An application under section 43(1) of the Diamond Act must substantially follow Form 10 of Annexure A.
Once registered, the certificate of registration is issued substantially in the form of Form 11.
For businesses with representatives dealing with diamond-related regulatory matters, this registration requirement can be particularly important. Applicants can also review this guide on how to register a diamond authorised representative in Namibia.
Diamond Registers and Recordkeeping
Recordkeeping is one of the strongest themes running through the Diamond Regulations.
Different participants in the diamond industry must maintain different registers.
Producers and Prospecting Licence Holders
Producers, contractors, subcontractors and holders of certain prospecting licences must keep records covering diamonds:
- Won
- Recovered
- Received
- Transported
- Sold
- Disposed of
- Exported
Diamond Dealers
Dealers must keep records of diamonds:
- Purchased
- Imported
- Received
- Disposed of
Diamond Cutters
Cutters must keep records of diamonds:
- Purchased
- Imported
- Received
- Processed
- Disposed of
Diamond Tool-Makers
Tool-makers must maintain records concerning diamonds:
- Purchased
- Received
- Processed
- Disposed of
Researchers
Researchers must record diamonds:
- Purchased
- Received
- Processed
- Disposed of
How Should Diamond Registers Be Maintained?
The regulations require registers to be kept in numerical and chronological order.
They must contain the particulars prescribed in the applicable form.
The regulations also state that the relevant particulars are to be recorded in handwritten form.
Where applicable, separate registers must be maintained at each location where diamonds are kept, unless an approved security plan provides otherwise.
For businesses operating across multiple locations, this requirement can have significant compliance implications.
A company should therefore establish clear internal controls over:
- Where diamonds are received
- Where they are stored
- Who has access
- Where transactions are recorded
- How records are reconciled
- Who is responsible for the registers
Notes of Receipt or Purchase
The Diamond Regulations also require a prescribed form for notes of receipt or purchase relating to unpolished diamonds.
The note must substantially follow Form 17 of Annexure A.
For businesses handling unpolished diamonds, this provides another layer of documentary evidence supporting transactions.
Security Checks for Employees Working With Diamonds
Diamond businesses are expected to take employee screening seriously.
Regulation 13 sets out specific requirements for security checks involving employees or natural persons engaged in relevant diamond activities.
The process can involve obtaining:
- A certificate of conduct from the Namibian Police Force;
- A certified passport copy;
- A certified identity document;
- A temporary or permanent residence permit where applicable;
- A work permit where applicable; and
- For foreign employees, relevant information from the competent authority in the employee’s country of citizenship concerning criminal convictions.
The documents must generally be retained for at least three years, subject to the timing rules contained in the regulation.
Who May Be Unsuitable to Work With Diamonds?
The regulations identify several categories of criminal history that can make a person unsuitable for diamond-related activities.
These include convictions involving:
- Diamond offences
- Certain high-value or controlled minerals
- Theft
- Fraud
- Forgery
- Robbery
- Perjury
- Housebreaking with intent to commit a crime
- Bribery
- Other dishonesty-related offences
- Unlawful dealing in or possession of ivory or rhinoceros horns
- Unlawful dealing in or possession of diamonds
Pending charges or investigations relating to specified offences can also affect suitability.
This reflects the industry’s vulnerability to theft, fraud, smuggling and organised illicit activity.
Employees Must Report Relevant Convictions
The regulations place an ongoing obligation on persons engaged in relevant diamond activities.
If an employee or other relevant person becomes subject to a conviction or pending charge covered by the regulation, they must inform the relevant producer, prospecting licence holder or licensee.
Failure to comply can constitute an offence.
The regulation provides for a fine of up to N$50,000, imprisonment for up to one year, or both, upon conviction.
Records of Employees, Contractors and Subcontractors
Diamond-sector businesses must maintain written records of relevant personnel.
These records include:
- Names
- Identity numbers and/or passport numbers
- Employees
- Contractors
- Subcontractors
- Employees dismissed for dishonesty
- Contractors or subcontractors whose approval has been revoked
Certain records must be retained for at least three years.
This means diamond businesses need a reliable personnel compliance system in addition to their diamond transaction records.
Transporting Unpolished Diamonds in Namibia
The transportation of unpolished diamonds is another heavily regulated activity.
Unless an applicable security plan provides otherwise, a person transporting unpolished diamonds outside or between restricted areas must carry specific documentation.
The document must be issued by the relevant producer, contractor, subcontractor, prospecting licence holder, licensee or permit holder.
It must contain information including:
- Name of the person carrying the diamonds
- Identity or passport number
- Origin
- Destination
- Number of diamonds
- Weight
- Intended transport date
- Estimated travel time
- Required route
- Specific destination instructions
The transporter must also have an identity document or passport.
For businesses dealing specifically with the handling and movement of diamonds, this practical guide to applying for a diamond handling permit in Namibia provides an additional point of reference.
Why the Prescribed Route Matters
The regulations require the route to be the shortest possible route that would be reasonable to follow.
A person transporting diamonds may therefore not simply make unnecessary deviations without good cause.
Failure to follow the prescribed route or instructions without good cause can result in criminal liability.
This demonstrates how seriously the regulations treat the physical movement of unpolished diamonds.
Penalties for Improper Diamond Transportation
The regulations provide significant penalties.
For failing to provide the required transport document, a person may face:
- A fine of up to N$50,000;
- Imprisonment for up to one year; or
- Both.
A person who transports unpolished diamonds without the required documents may face the same maximum penalty.
Failure to follow the prescribed route or destination instructions can result in:
- A fine of up to N$50,000;
- Imprisonment for up to six months; or
- Both.
Failure to retain required documentation can result in:
- A fine of up to N$25,000;
- Imprisonment for up to six months; or
- Both.
These provisions demonstrate that transport compliance should be treated as a core operational requirement rather than a minor paperwork issue.
Security Plans for Diamond Operations
A security plan is a major compliance component under the Diamond Regulations.
The regulations require security plans to address a wide range of operational issues.
A comprehensive security plan must cover matters such as:
- Employee policies and procedures
- Surveillance systems
- Control of business premises
- Safeguarding diamonds
- Access controls
- Movement of diamonds
- Movement of employees and other persons
- Diamond storage locations
- Responsible security personnel
- Mining-site security
- Recovery processes
- Storage of diamondiferous material
- Bulk sampling security
- Transport procedures
- Recordkeeping alternatives where applicable
- Other matters required by the Minister
The objective is clear: diamond security must be designed into the entire operation.
When Must a Security Plan Be Submitted?
The regulations specifically require a holder of an exclusive prospecting licence to submit a security plan within 30 days after the first diamond has been won or recovered, or after bulk sampling has commenced.
The security plan is not necessarily a static document.
If material changes occur in the matters covered by the plan, or in the scope of activities giving rise to the plan, the plan must be amended accordingly.
This is particularly relevant to mining companies whose operations expand or change over time. Companies progressing from prospecting into mining should also understand the broader mining-licensing process, including how to apply for a mining licence on Namibia’s Mining Cadastre Portal.
Diamond Cutting Record Requirements
Diamond cutters have particularly detailed recordkeeping obligations.
For every unpolished diamond purchased, received, imported, exported, sold or disposed of, the cutter must record a description containing relevant particulars such as:
- Weight
- Value
- Shape
- Colour
- Clarity
After processing, the cutter must promptly record the diamond’s:
- Weight
- Value
- Cut
- Colour
- Clarity
These records must generally be maintained for at least three years.
They must also be kept in a condition that allows them to be inspected by a diamond inspector or police official exercising lawful powers under the Act.
Penalties for Failure to Maintain Cutter Records
The regulations provide particularly serious penalties for non-compliance with the cutter recordkeeping requirements.
A person who contravenes the applicable requirements may be liable upon conviction to:
- A fine of up to N$100,000;
- Imprisonment for up to two years; or
- Both.
For a diamond cutting business, proper recordkeeping is therefore a significant legal responsibility.
Diamond Prospecting and Mining Vessels
Namibia’s diamond regulations also recognize offshore diamond prospecting and mining.
A producer, holder of an exclusive prospecting licence, contractor or subcontractor required to register a vessel as a diamond prospecting or mining vessel must submit the relevant document to the Commissioner.
The prescribed application follows Form 18 of Annexure A. Businesses involved in offshore diamond operations can also refer to this guide on how to register a diamond mining vessel in Namibia.
This is particularly relevant to Namibia’s offshore diamond mining sector.
Exporting Polished Diamonds From Namibia
The regulatory framework distinguishes between unpolished diamonds and polished diamonds.
For polished diamonds, Regulation 19 provides a notification requirement.
A person intending to export polished diamonds from Namibia with a total weight of 10 carats or more must notify the Minister as required by section 64(1) of the Diamond Act. Businesses planning such transactions can read more about how to export polished diamonds from Namibia legally.
The notification must substantially follow Form 19 of Annexure A.
Importantly, delivery of the notification is not considered complete unless the Minister has acknowledged receipt in writing.
This creates a practical requirement for exporters to retain evidence that their notification was actually received.
Searches Under the Diamond Act Can Include Animals
One unusual provision is Regulation 20.
It provides that a search carried out under sections 66 or 67 of the Diamond Act may include a search of any animal.
While this may seem unusual, it reflects the extensive powers created to combat unlawful possession and movement of diamonds.
Given the small size and high value of diamonds, authorities have historically faced challenges involving concealment and smuggling.
Understanding the Forms in Annexure A
Annexure A contains the prescribed forms referenced throughout the regulations.
They include forms associated with:
- Licence applications
- Diamond licences
- Permit applications
- Permit issuance
- Premises approval
- Authorised representative registration
- Diamond registers
- Notes of receipt or purchase
- Vessel registration
- Polished diamond export notification
- Unpolished diamond export declarations
- Kimberley Process certification
The version reproduced by NamibLII notes that the forms themselves have not been reproduced in the online text.
For an actual application, businesses should therefore obtain the current prescribed forms and confirm the correct submission procedure with the relevant authority.
Practical Compliance Checklist for a Diamond Business in Namibia
A company entering the diamond industry should approach compliance systematically.
Before Starting Operations
Determine:
- What exact diamond activity the company will conduct.
- Whether the activity requires a licence, permit or registration.
- Whether premises require approval.
- Whether an authorised representative must be registered.
- Whether employees require security checks.
- Whether a security plan is required.
- What registers must be maintained.
- What documentation is required for diamond transportation.
- What export or import requirements apply.
Before Buying or Receiving Diamonds
Verify:
- The identity and authority of the seller.
- The origin of the diamonds.
- The required documentation.
- Whether the transaction must be entered into a prescribed register.
- Whether the premises are approved for the relevant activity.
- Whether the diamond is subject to import or export controls.
Before Transporting Unpolished Diamonds
Confirm:
- The carrier’s identity.
- The origin.
- The destination.
- The number and weight of diamonds.
- The intended transport date.
- The estimated travel period.
- The authorised route.
- The required destination.
- The original transport document.
- The carrier’s identity document or passport.
Before Exporting Unpolished Diamonds
Confirm:
- Export declaration completed.
- Diamond valuation requirements satisfied.
- Inspection completed.
- Kimberley Process Certificate issued.
- Certificate validated.
- Consignment sealed correctly.
- Tamper-resistant container used.
- Required registers updated.
- Original certificate accompanies the consignment.
- Authenticated copy retained.
Before Importing Unpolished Diamonds
Confirm:
- Appropriate permit.
- Exporting country is a Kimberley Process participant.
- Valid Kimberley Process Certificate.
- Proper seal on the container.
- Arrangements for examination.
- Certificate and consignment details match.
- Required records are maintained.
Common Compliance Mistakes Diamond Businesses Should Avoid
1. Treating the Licence as the Only Requirement
Having a diamond licence does not necessarily mean every related activity is automatically authorised.
Businesses should separately consider permits, premises approvals, security plans, registrations and transaction records.
2. Ignoring Recordkeeping
Diamond regulations place substantial emphasis on documentary records.
A company should not wait until an inspection to reconstruct its diamond transactions.
Records should be created as transactions occur.
3. Using Informal Transport Arrangements
Moving unpolished diamonds without the required documentation can create serious legal consequences.
Transport should therefore be handled through documented procedures.
4. Failing to Screen Personnel
Because the regulations contain specific security-check requirements, businesses should establish a formal employee screening process.
5. Treating Security as Physical Security Only
A compliant security plan involves much more than guards and cameras.
It can encompass:
- Access controls
- Personnel
- Transportation
- Storage
- Mining operations
- Recovery processes
- Documentation
- Movement of people
- Movement of diamondiferous materials
6. Assuming Old Fees Are Always Current
The fees reproduced in the Diamond Regulations are useful for understanding the regulations, but applicants should verify the applicable current charges and administrative procedures before making payments.
Why the Kimberley Process Matters to Namibia’s Diamond Industry
The Kimberley Process provisions are particularly important because diamonds are traded internationally.
Without an effective system for establishing the legitimacy of rough diamonds, illegal diamonds could potentially enter legitimate supply chains.
Namibia’s regulatory framework therefore creates several layers of control:
Origin
→ Declaration
→ Inspection
→ Certification
→ Secure packaging
→ Export
→ Import verification
→ Recordkeeping
This chain helps establish traceability and accountability.
For legitimate diamond businesses, compliance can therefore be viewed not merely as a legal obligation but as part of maintaining confidence in Namibia’s diamond industry.
What Businesses Should Do Before Applying for a Diamond Licence
Anyone planning to enter Namibia’s diamond industry should first map the entire proposed operation.
A useful approach is to prepare a compliance matrix covering:
| Area | Question to answer |
|---|---|
| Business activity | What diamond activity will the business perform? |
| Licence | What licence is required? |
| Permit | Is a separate permit required? |
| Premises | Does the location require approval? |
| Personnel | Which employees require security checks? |
| Representative | Is an authorised representative required? |
| Records | Which registers must be maintained? |
| Transport | What documents must accompany diamonds? |
| Security | Is a security plan required? |
| Import | What Kimberley Process requirements apply? |
| Export | What valuation and certification requirements apply? |
| Polished diamonds | Is an export notification required? |
| Fees | What fees are payable? |
| Retention | How long must records be retained? |
This approach reduces the risk of discovering additional requirements after the business has already commenced operations.
The Difference Between Polished and Unpolished Diamond Controls
One of the most important distinctions in the regulations is between polished and unpolished diamonds.
Unpolished diamonds
The regulations impose extensive controls involving:
- Kimberley Process certification
- Export declarations
- Import permits
- Inspections
- Tamper-resistant containers
- Seals
- Registers
- Transport documentation
- Security plans
- Provenance and traceability
Polished diamonds
The regulations specifically provide for notification to the Minister when exporting polished diamonds with a total weight of 10 carats or more.
Businesses should therefore identify whether the diamonds they handle are polished or unpolished at each stage of their operations because different regulatory requirements can apply.
A Compliance-First Approach Is Essential
The Diamond Regulations, 2000 demonstrate that operating in Namibia’s diamond industry requires considerably more than obtaining permission to trade.
The regulatory framework is built around several fundamental principles:
- Authorisation — businesses and individuals must have the appropriate licences, permits or registrations.
- Traceability — diamond movements and transactions must be documented.
- Security — diamonds and diamondiferous materials must be protected throughout the operation.
- Personnel integrity — individuals working with diamonds are subject to security screening.
- Controlled transportation — unpolished diamonds must be accompanied by prescribed documentation.
- International certification — rough diamond imports and exports are subject to Kimberley Process requirements.
- Record retention — important records must be maintained for prescribed periods.
- Enforcement — violations can lead to significant fines, imprisonment, retention of diamonds and investigations.
For investors and entrepreneurs, this means regulatory planning should take place before the business begins buying, selling, processing, transporting or exporting diamonds.
Final Thoughts
The Diamond Regulations, 2000 provide one of the key operational layers of Namibia’s diamond-control framework. They translate the broader requirements of the Diamond Act into practical procedures covering licences, permits, certificates, security, transportation, recordkeeping and international diamond trade.
For anyone considering a diamond-related business in Namibia, the most important lesson is that compliance must be treated as an ongoing business function.
A successful diamond operation should have systems for:
- Licensing and permit management
- Employee screening
- Secure premises
- Diamond registers
- Transaction documentation
- Transportation controls
- Export and import documentation
- Kimberley Process certification
- Security plans
- Record retention
- Regulatory reporting
The regulations also illustrate why professional assistance can be valuable when establishing a diamond-related business. The exact requirements depend heavily on the nature of the activity, the type of diamonds involved, whether the operation is domestic or international, and whether mining, cutting, dealing, research or transportation is involved.
Before relying on a particular fee, form, permit or procedure, prospective applicants should consult the current legislation and the relevant Namibian authority, because administrative requirements may be updated after the version of the regulations reproduced by NamibLII.
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