Kimberley Process experts representing the diamond industry, South Africa, Canada, Israel and non-governmental organization Partnership Africa Canada arrived in Brazzaville, Republic of Congo, on May 31. They will spend four days inspecting the country's diamond production and trade, reports the Financial Times of London.

The inspection's outcome could lead to Brazzaville's expulsion from the Kimberley Process. "Brazzaville is the biggest challenge the KP has faced since it came into being," a KP executive said. "There are clear indications there is a big smuggling issue, which we are taking very seriously." The former French colony, which has a tiny diamond production, nevertheless exports more than $200 million worth of diamonds every year.

In the absence of reported imports, the suspicion is that vast quantities are smuggled in from the neighboring Democratic Republic of Congo – and in some cases from Angola – and "legitimately" exported with a KP certificate. Brazzaville's lower export taxes and lax regulations are an incentive for unscrupulous traders to smuggle DRC-produced diamonds across the border, while the DRC government loses trade and potential revenue.

Brazzaville has long been a serious problem for the process. Two years ago, a report written by Christian Dietrich of Partnership Africa Canada described the country as "a major hub for the trafficking of illicit and conflict diamonds which has far too long escaped international attention and censure." He called for "a complete and credible audit into the origin and legality of its diamonds."

Despite protests from non-governmental organizations, Brazzaville was allowed to participate in the process because it complied with all formal requirements. Ironically, it was this compliance that prompted next week's mission. "In the annual report, which every participant country is required to compile, Brazzaville revealed its annual diamond production to be 55,000 carats," Abbey Chikane, the mission leader, told FT. "As its exports are 5.2 million carats a year, the discrepancy became glaring."

The Kimberley Process decided to send a review mission in March. "We have a very clear brief," said Chikane. "There can be no reasonable justification for the discrepancy. The onus is now on the Brazzaville authorities to account for it." The handling of Brazzaville is seen as a litmus test of credibility for the Kimberley Process. "This review mission is a very important event," said Alex Yearsley of Global Witness. "As there is nothing the government can do to justify the discrepancy, the mission's only possible outcome, as well as the most desirable one, is expulsion."

by Peggy Jo Donahue