Emily MacDonald, The Incorporation of Goldsmiths
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Understanding the Ethical Supply Chain

In this second article, written by ethical advocates the Incorporation of Goldsmiths, we focus on ethical supply chains within the goldsmithing industry. Read on for an overview of what is currently involved and what you should be aware of when trying to source sustainably.

What should I be aware of in existing jewellery supply chains?

Before the rise of cheap factory labour, jewellery was a luxury product passed down through generations. With the growth of fast fashion, part of the jewellery industry has evolved to feed the demands of mass consumerist culture, with many supply chains moving materials across the world, creating waste, increasing emissions, and polluting waters. Further, there are some jewellery supply chains that profit on the unfair, forced and unsafe labour of workers. 

However, increasing awareness of where and how materials are sourced is improving supply chains and changing making practices. There is a growing movement of makers, suppliers and organisations who are championing transparent and responsible supply chains and helping to increase the environmental and social sustainability of the jewellery industry.

Jewellery supply chains consist predominantly of precious materials such as gold and silver, and base metals such as copper, brass and steel as well as precious stones. All these materials are limited natural resources and their extraction from beneath the earth’s surface through mining, puts pressure on the earth as well as exacerbating other environmental pressures such as those caused by climate change. Mining causes physical land damage and affects air and water quality which has further impacts on local ecology and human health (Jain et al., 2016). 

Mining of metals and stones occurs around the world through artisanal small-scale mining (ASM) and large-scale mining (LSM). ASM is characteristically less regulated, more physically laborious, riskier for miners, and is given less formal support by governments and industries. Despite this, a large proportion of workers depend on ASM for their livelihoods.

A report by the Intergovernmental Forum on Mining, Minerals, Metals and Sustainable Development (IGF) states there was an estimated 40.5 million people directly engaged in ASM in 2017, compared with 30 million in 2014.  The reported cause of this growth being the rising value of minerals and the increasing difficulty of agricultural and rural based incomes (IGF, 2017) This latter factor undoubtedly has been caused in part by effects related to climate change. 

The following proportions of precious materials are currently mined through ASM:

  • 20% of the global gold supply,
  • 80% of the global sapphire supply and 
  • 20% of the global diamond supply.  

Without formal support, ASM workers often do not have the capacity to demand a fair price for their work, gain direct access to international markets, fund health and safety equipment or ensure environmental protections. 

Further problems arise with precious materials where the materials are sourced in conflict areas. Conflict materials are those which have been extracted in areas that are characteristically plagued by war, violence and political unrest. In these situations, precious materials can be stolen and used to finance violence. The most well-known of these materials is conflict diamonds but this can occur with any natural resource. 

What is responsible sourcing?

Responsible sourcing means paying a fair price to material producers, supporting their communities, and ensuring health and safety measures and environmental protections are in place. Makers can help to improve the equality and sustainability of the jewellery supply chain by responsibly sourcing their materials.

Alliance for Responsible Mining

Responsible sourcing for Precious Metals

There are three widely accepted options for responsibly sourced precious metals. These are Fairtrade metals, Fairmined metals and, 100% recycled metals

Both Fairtrade and Fairmined are provenance accreditation schemes who work with ASM miners to bring their precious metals to market for a fair price. If a metal is certified Fairtrade or Fairmined, then the metals have been mined to their respective standard, the miners have been paid fairly, health and safety protections are in place and the mining community have been given access to support.   

Fairmined Gold Bars. Credit: Alliance for Responsible Mining

To sell Fairtrade or Fairmined metals you must be registered with the respective scheme. You can learn more about these schemes and find licensed suppliers through the following links:
 

Responsible sourcing options for Stones

Responsibly sourcing diamonds and gemstones presents some different challenges. It is common for stones to be mined in one country and cut and polished in another country with different health and safety standards. Additionally, it is much more difficult technically to appraise stones in order to trace them back to the mine of origin. 

There are not yet independently audited accreditation systems in place to certify gemstone origins as there are for precious metals. However, there are suppliers who are passionate about increasing the sustainable development of the gemstone trade who work directly with miners paying them fairly and supporting their communities. 

Raheli, 60, comes from a long line of pastoralists in eastern Tanzania. But as rainy seasons have become shorter and more intense, she says raising animals and crops has become harder. So about four years ago, she began mining gemstones, including tourmaline and sapphire.
“Through Pact's Moyo Gemstones project, Raheli is gaining valuable knowledge about her gems as well as access to international buyers. This is helping her get a fair price for her gems, raising her income. Raheli lives with three of her grandchildren and uses her mining income to help pay for their schooling.”

– MoyoGemstones

There are three main options for responsibly sourced stones. These are; stones from suppliers with transparent and close relationships with the miners, recycled stones, and lab created stones. For more information and links to stone suppliers visit the stone sourcing section on the Incorporation of Goldsmiths Ethical Making Resource

Purchasing responsibly sourced materials requires developing an open dialogue with suppliers. It should be acceptable to ask questions about a supplier’s supply chain. If you are met with criticisms or empty answers when you ask questions, this may be a sign of unethical supply chains. Even if a supplier is not aware of the origins or practices involved in parts of their supply chains, they should still be transparent about this and open to discussing their sources. No supplier will have all the answers, but many are working to improve the industry and are happy to share this journey with their clients. 

Supply and Demand

For some responsibly sourced materials such as Fairtrade and Fairmined gold and silver, the supply may not yet be as steady as non-certified metals. The reasons behind this are at times complex and often relate to the socio-political circumstances of the Fairtrade or Fairmined mines.

Sally Grant 18ct Fairtrade Gold ring featuring a MoyoGemstone garnet. Credit: James Robertson

However, suppliers of Fairtrade and Fairmined metals are usually keen to share this message with makers. Reach out to suppliers and communicate what requirements you have, they will most likely do whatever they can to help you source responsibly.

As with any supply chain where actors are working towards responsible and sustainable improvements, the change cannot happen overnight and there is a degree to which consumers, makers and suppliers must work together. 

Throughout the jewellery supply chain, transparency is key. This includes communicating your journey of sustainability and responsible sourcing as a maker to your clients as well. 

Further information

References from this article:

There are many reputable sources of information relating to the jewellery, silversmithing and allied industries. Whether you are trying to find information on technical skills, processes, materials, makers or inspiration some resources relating to sustainability and ethics within the goldsmithing industry can be found below:

The Goldsmiths’ Company Library relates specifically to gold and silversmithing, jewellery, assaying and hallmarking, precious metals, and the City of London and its guilds. The Library includes 8,000+ books and 15,000+ images, magazines, periodicals and journals, technical guides, films, special research collections, design drawings produced during the early and mid-twentieth century by British or UK-based craftspeople and subject files on a wide range of industry related topics. The Library is also responsible for the Company’s archives, which date back to the 14th century. 

Sustainability and ethics related film content includes: 

Sustainability and ethics related articles include:


Further sources of information on sustainability and ethics can be found here:

Ethical Making Resource

The Ethical Making Resource is an online resource, for jewellers and silversmiths as well as consumers, looking for information about what ethical making means, why it is important and ways to adopt an ethical approach within a practice. The resource provides buyers and collectors with information on what responsible jewellery and silver means and what questions they should ask retailers. The resource includes: 

  • What ethical making means and the benefits of adopting an ethical approach
  • Information on the Fairtrade and Fairmined precious metal certification schemes 
  • Studio method alternatives including safer chemical alternatives
  • Tips for reducing the carbon footprint of a studio
  • Supplier lists of responsibly sourced precious metals, diamonds and gemstones 
  • Information on key initiatives in the industry and definitions of key terms
  • Links to critical papers and articles for further reading
     

Ethical Making Pledge

The Incorporation supports ethical making through their work with the art colleges in Scotland that offer silversmithing and jewellery courses at HND level and above. The Ethical Making Pledge was created to help these college departments implement ethical making into the way jewellery design and silversmithing is taught, both theoretically and practically. 

With the launch of the Ethical Making Pledge, Scotland is now the only country in the world with a national pledge to implement ethical making into their higher education programs. The pledge will lead to an improved awareness of ethical issues in graduating students and consequently to more jewellers and silversmiths in the trade with an ethical practice as their foundation.
 

Who are the Incorporation of Goldsmiths

The Incorporation of Goldsmiths of the City of Edinburgh has been in existence since 1457 and was Incorporated by Royal Charter in 1687. Its dual purpose has always been to promote and preserve the trade of goldsmiths, silversmiths and jewellers within Scotland, and to protect their customers. The Incorporation is a non-profit organisation operating two charities and trades as Edinburgh Assay Office. 

The Incorporation’s Ethical Making Programme aims to promote and educate on responsible and sustainable making. The Incorporation has created open access information about how to do this, and through the Ethical Making Programme they aim to empower makers and students to develop their own ethical making approach. To achieve these aims, the Ethical Making Programme consists of the Ethical Making Resource and the Ethical Making Pledge. Ethical Making is also used to deliver other Incorporation aims in separate projects such as a theme for exhibitions, workshops and conferences.

The Ethical Making Resource and the Pledge were created collaboratively with key industry leaders such as Ute Decker, Greg Valerio, Peter Oakley, the Fair Luxury team and the jewellery and silversmithing department heads across Scotland’s art colleges. The Incorporation has also collaborated with the Goldsmiths Centre to add ethical making workshop days to the Goldsmiths’ Centre’s Tutor Masterclasses within the Scottish Hub. The Incorporation is keen to collaborate with organisations who share the ethos of promoting environmentally and socially responsible practices to the jewellery and silversmithing community.